VW faces first legal test case over emissions in Germany

German consumer rights champion myRight filed the first legal test case against Volkswagen (VW) in Germany on Tuesday, raising pressure on the carmaker to compensate customers in Europe over the emissions scandal, according to Reuters. VW has pledged billions to compensate US owners of its diesel-powered cars, but has so far rejected any compensation for the 8.5 million affected vehicles in Europe where different legal rules weaken the chances of affected customers winning a pay-out. Instead, VW is in
January 6, 2017 Read time: 2 mins
German consumer rights champion myRight filed the first legal test case against 994 Volkswagen (VW) in Germany on Tuesday, raising pressure on the carmaker to compensate customers in Europe over the emissions scandal, according to Reuters.

VW has pledged billions to compensate US owners of its diesel-powered cars, but has so far rejected any compensation for the 8.5 million affected vehicles in Europe where different legal rules weaken the chances of affected customers winning a pay-out.

Instead, VW is in the process of removing the illicit software that cheated emissions tests and insists the technical fixes will inflict no loss of value on car owners in Europe. It hopes to have completed repairs to all affected vehicles by the end of the year.

MyRight, which has gathered more than 100,000 VW owners through its web site, has accused VW of breaching European Union law by selling cars with software that was banned under EU rules, according to the 93-page legal document seen by Reuters.

Rather than seeking compensation for a decline in value, the lawsuit aims to force VW to repurchase the vehicles at the original price, myRight founder Jan-Eike Andresen said.

MyRight has retainede US law firm Hausfeld to pursue the claims. Hausfeld represents aggrieved VW owners and shareholders on both sides of the Atlantic.

The purpose of the proceedings by myRight is to act as a model - resolving generic or common issues for other related cases. However, unlike in a US class action, it does not have the legal effect of resolving all individual claims.

Volkswagen has said the software fitted into the engine at the centre of the scandal, codenamed EA 189 does not violate European law and declined comment on the myRight suit. "We have taken note that myRight has announced the submission of diesel lawsuits for 3 January. The lawsuits have not yet been made available to us, which is why we cannot comment on the contents at the moment," the carmaker said.

Air Quality & Weather Systems

For more information on companies in this article

Related Content

  • VW and partners to bring EV autonomous ride-hailing service to Israel
    November 2, 2018
    Volkswagen (VW), Mobileye and Champion Motors are to deploy a self-driving taxi service in Israel over the next four years. Operating under the name ‘New Mobility in Israel,’ the service is being tested as part of a Mobility as a Service (MaaS) model which uses autonomous electric vehicles (EV). Mobileye, an Intel company, will equip VW’s EVs with a level-4 autonomous vehicle kit – a driverless solution which consists of hardware, driving policy, safety software and map data. Champion Motors, an Isr
    Read More
  • Germany’s toll plan could ‘generate US$540 million’
    March 28, 2017
    Germany's Bundestag, the lower house of parliament, has passed a law which would see the introduction of a road toll for cars registered abroad with prices linked to environmental criteria, according to Reuters. Under the toll, cars that pollute less will pay a lower rate. The maximum annual cost for a foreign vehicle would be US$141 (€130). Originally proposed in 2015, the law was disputed by the European Commission and other European countries, which claimed it would be discriminatory towards non-Germ
    Read More
  • FIA urges more rigorous vehicle emissions testing
    September 28, 2015
    In light of the VW emissions testing scandal, FIA Region I continues to urge the introduction of a more rigorous testing procedure for vehicle emissions and fuel consumption in the EU. Although vehicles are passing the tests, a growing body of evidence shows that virtually no vehicle, whether diesel or petrol, can comply with emissions levels achieved in testing when in real-world settings. The FIA and its members have consistently supported the introduction of a robust test cycle and real driving emiss
    Read More
  • EU defines and limits scope of tolling concessions
    September 16, 2014
    New regulations are set to standardise the process of awarding concessions across the European Union. In the wake of several inconsistent judgements at the European Court of Justice, the European Commission has approved new legislation that defines a concession. The basic demarcation from a public contract remains the same in that concessions include the right to exploit the work or services provided instead of payment. However, at the point of signing, the regulations impose an all-inclusive threshold of €
    Read More

Highlighted Content