A closely-watched trial involving hundreds of thousands of diesel drivers demanding compensation from Volkswagen over the emissions-rigging scandal got underway on Monday, in Germany’s first-ever class-action lawsuit.
“The court deems the class action case admissible,” presiding judge Michael Neef said as the proceedings began in the Braunschweig Higher Regional Court.
More than four years after the scandal became public in the United States, Volkswagen is facing the national vzbv association of consumer groups, which is acting on behalf of around 470,000 owners of diesel-powered vehicles produced by the Volkswagen Group.
Neef suggested the parties should seek to settle the case between themselves. “A settlement is very difficult, but possible,” he said, noting that placing a value on the damage done to diesel owners was far from simple.
The association of consumer groups expressed satisfaction with the start of the proceedings in Braunschweig, located not far from the German carmaker’s headquarters in Wolfsburg.
“The court has conducted the case very well thus far and has given indications in our view that it could reach a judgement in our favour,” vzbv lawyer Ralf Stoll said. “I’m positively surprised.”
Germany began allowing class action lawsuits only last year, meaning the VW case is a first for German court proceedings.
Due to the expected massive public interest, the first hearing in the case was moved to Braunschweig’s civic hall.
“We are of the opinion that Volkswagen deceived them and now they must face the consequences,” vzbv head Klaus Mueller said.
The carmaker argues that customers did not suffer any damage as all the cars could be driven and were safe.
It has reached settlements with individual customers in many cases, but in the case of the class action its lawyers see settlement as “barely conceivable.”
VW has so far spent some 30 billion dollars dealing with the fallout of the diesel scandal in Germany and abroad, particularly in the United States. The former and current bosses of the car giant are also facing court cases.
The scandal has not however put the carmaker in financial crisis. VW had net profits in the first half of the year of 7.2 billion euros, or 8.4 per cent more than in the same period last year.
