Germany Volkswagen owners file suit for compensation News
Germany Volkswagen owners file suit for compensation

Lawyers representing a German owner of a diesel-powered Volkswagen (VW) [corporate website] vehicle equipped with a software that could cheat emissions tests filed the first lawsuit seeking compensation for damages on Tuesday. According to the Braunschweig district court [official website, in German], the German firm MyRight [firm website] filed on behalf of only a single VW consumer effected by the scandal. Although VW has paid damages to 535,000 US-based consumers, they have refused to do so in European countries. They cite differences in regulations as the basis for this decision and have only offered technical remedies to European consumers. Because Germany does not allow for American-style class-action suits, the decision on the present case will serve as a model for future litigation concerning other consumers seeking damages against VW. Should the current plaintiff succeed in his individual suit, VW may see similar suits filed all over Europe.

VW is facing legal difficulty around the world over the emissions scandal. South Korea announced in December that it plans to fine [JURIST report] VW over false advertising. In October a Spanish court ordered [JURIST report] Volkswagen to pay damages to a VW vehicle owner who purchased his car in 2011. A US judge approved [JURIST report] a $14.7 billion settlement in October between VW and the US Department of Justice, the Federal Trade Commission, the state of California and car owners who filed a class action lawsuit over the company’s emissions scandal. In September a German court said VW faces over USD $8.2 billion [JURIST report] in damage claims from investors. That same month, the Australian Competition and Consumer Commission sued [JURIST report] VW and its local subsidiary for misleading customers. In August a district court in Germany ruled [JURIST report] that a collective complaint against VW may move forward. Like US-style class-action lawsuits, the collective complaint was launched on behalf of multiple investors who lost money following the diesel emissions cheating scandal. Last March the US FTC filed suit [JURIST report] against VW for false advertising.