Ever since the Dieselgate scandal, Volkswagen and related vehicles have been trying to settle litigation that has been leveled against them. The vehicles, which were advertised to be fuel-efficient diesel, did not meet environmental standards when out on the road. When connected to an emissions testing machine, the vehicles had hardware and software that would kick in to allow the vehicle to pass emissions testing. Federal and state governments, as well as owners of the vehicles and investors, have entered into litigation against the automaker. The New Jersey Herald reports on the trial as it gets underway.
The trial involving Volkswagen investors who claim that the company did not give them timely notice of the erupting Dieselgate Scandal has gotten underway.
The investors are seeking $10.4 billion in damages, alleging that Volkswagen did not provide them with enough notice to decide what to do with their shares in the company stock before the scandal hit.
The case opened on Monday in the higher regional court in Braunschweig and will serve as a model for future cases. The proceedings are being held in a convention hall rather than the customary courtroom due to the number of litigants and public interest.
Attorneys for Volkswagen argued that previous industry cases of emissions violations had been settled with modest penalties. They claim that there was no way that management could be aware that it would face billions in fines and settlements as well as face severe reputation damage.
Volkswagen has set aside $31.7 billion to cover fines, settlements, recalls, and buybacks.
Have you been affected by the Volkswagen scandal? We can help. Call today.