Germany okays class action suits

10 May 2018  2209 | World Travel News

Reuters

BERLIN (AFP) – The German government yesterday approved a draft law allowing US-style class action lawsuits, opening the door for drivers to seek compensation over Volkswagen’s diesel emissions cheating scam before the case expires.

Justice Minister Katarina Barley said she expected the law, which still needs to be approved by parliament, to take effect on November 1 – just ahead of the year-end statute of limitations for claims against German car giant VW.

“There are estimates that some two million diesel owners could benefit from this,” Ms Barley said.

Very common in the US, class action lawsuits allow large numbers of plaintiffs with a similar complaint to sue a defending party together, sparing them the time and cost of arguing their cases individually.

In one of the largest class-action settlements to date, Volkswagen in 2016 agreed to pay out some $10 billion in buybacks and compensation to 475,000 US car owners after it admitted to equipping millions of vehicles worldwide with software designed to dupe pollution tests.

The massive payout angered drivers in Europe where far more cars were rigged but who have so far only been offered software updates.

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