May 16 (Reuters) - General Motors ( GM ) and South

Korea's LG Energy Solution, LG Electronics

reached a settlement to establish a $150 million

fund to provide relief to Chevrolet Bolt EV owners affected by

defective batteries, documents filed in a U.S. court on Thursday

showed.

General Motors ( GM ) first launched Chevrolet Bolt EVs in 2015,

and used batteries made by LG entities as part of a business

arrangement with the car manufacturer. GM started recalls in

2020 after it faced numerous complaints about fires in some

vehicles.

"GM, LG Energy Solution and LG Electronics have agreed to a

settlement with plaintiffs to resolve class action litigation

related to the Bolt EV battery recall," GM said in an emailed

statement to Reuters.

"As a result, Bolt owners who received a battery

replacement or who have installed the latest advanced diagnostic

software may qualify for compensation," the company said.

Owners of the recalled Bolt EVs who installed the final

software remedy at a GM-authorized dealership before Dec. 31,

2023 may receive up to $1,400, according to documents filed with

Michigan eastern district court.

Owners who sold or terminated the lease of their vehicle

before the software remedy became available and those who

already received a battery replacement will receive a minimum

$700 payment, according to the filing.

Last year, GM ended production of the Bolt EV to make room

for new electric vehicles.

In 2021, the company had announced a billion dollar recall

campaign to cover thousands of Bolts over battery fire risks.

The recall prompted GM to halt Bolt production and sales for

more than six months at that time.