Monday 15th November 2021
Supreme Court denies motions
VW suffers failure in the diesel scandal
For Volkswagen, the diesel scandal is already a financial disaster. Three US districts want to make the group liable again due to local laws for manipulated exhaust gas values. VW takes action against it – and suffers a major setback.
Volkswagen suffered a defeat in the dispute over further damages in the diesel scandal in the USA. The US Supreme Court declined to hear motions from the Wolfsburg-based car maker and supplier Bosch against the judgment of a lower court. The court had allowed districts in the US states of Florida and Utah to hold the companies liable for manipulated emissions under local laws. The chief justices also dismissed VW’s appeal against a similar ruling in the state of Ohio.
Volkswagen had argued that only the US government could make claims under the Clean Air Act. This was contradicted by the administration under President Joe Biden, which had been asked by the Supreme Court for a legal assessment. She recommended that the court not hear the case. VW stated that the Supreme Court decision did not take into account whether the company’s arguments were founded or not. The rejection is based only on the presentation of the plaintiffs. The car manufacturer is convinced of the strength of his arguments and will defend them in the course of the further proceedings.
The Wolfsburg take the view that the company settled the damage six years ago with its billions in comparison with the US judiciary and environmental authorities. They fear a patchwork of legal requirements if individual states and municipalities enact environmental standards that deviate from federal laws.
For Volkswagen, the diesel scandal is already a financial disaster. The reparation of the exhaust gas manipulation has cost the group more than 32 billion euros so far – mainly fines and compensation payments in North America. Damage claims from diesel owners are still pending worldwide. In addition, investors want to seek compensation for price losses suffered as a result of the diesel scandal before the Braunschweig Higher Regional Court. The sum of the claims there amounts to around nine billion euros.