Court backs VW damages claims
Business
By
Reuters
| May 26, 2020
Volkswagen must pay compensation to owners of vehicles with rigged diesel engines in Germany, a court ruled on Monday, dealing a fresh blow to the automaker almost five years after its emissions scandal erupted.
The ruling by Germany’s highest court for civil disputes, which will allow owners to return vehicles for a partial refund of the purchase price, serves as a template for about 60,000 lawsuits that are still pending with lower German courts.
Volkswagen admitted in September 2015 to cheating emissions tests on diesel engines, a scandal which has already cost it more than 30 billion euros (Sh3.5 trillion) in regulatory fines and vehicle refits, mostly in the United States.
US authorities banned the affected cars after the cheat software was discovered, triggering claims for compensation.
READ MORE
Is government on 'fuliza' mode?
Expert: The shilling has regained value, but don't expect it to last
EAC Central Bank Governors meet in Juba as single currency race debate heats up
Ruto to push for global finance reforms at World Bank meeting
Unearthing the artifacts of WWII: A journey through Matuu and beyond
Roam, County Bus Service partner to deploy 200 electric buses
Budget cuts loom for Parliament thanks to Sh9.6b Bunge Towers
Private sector partnerships important to catalysing sports
Tax stand-off as boda boda riders defy county call to pay
Islamic banking gets traction in Africa as Salaam Bank feted
But in Europe vehicles remained on the roads, leading Volkswagen to argue compensation claims were without merit. European authorities instead forced the company to update its engine control software and fined it for fraud and administrative lapses.
Volkswagen said yesterday it would work urgently with motorists on an agreement that would see them hold on to the vehicles for a one-off compensation payment.
- Over 42 people dead after Mai Mahiu dam burst its banks
- Is government on 'fuliza' mode?
- Budget cuts loom for Parliament thanks to Sh9.6b Bunge Towers
- Lenders raise interest on loans despite CBK holding key rate