“VW Under Pressure” – EU officials call for a similar settlement made in the U.S., for EU victims

Although the German car giants Volkswagen have admitted manipulating emissions management through the so-called “defeat device”, they have yet to provide compensation to affected vehicle owners in the EU area.

EU authorities have been in talks with Member States to discuss tactics to force a pay-out from VW, and we represent thousands of affected owners here in the UK, and we’re working with European lawyers on certain collaborative solutions.

As pressure continues to mount, we call for Volkswagen to do the right thing and start settlement talks with European customers as soon as they can, or we continue fighting them through the courts!

EU laws

The EU appears to not have any real power to impose fines on the German manufacturer, but they are working with 20 Member States who can. Many Member State’s also have domestic consumer laws that can be used to penalise VW financially as well.

The executive branch of the EU are said to be joining forces with Member States to aid the fight for compensation. The applicable EU laws that Volkswagen can be found in breach of are:

1. Sale of Consumer Goods Directive and;
2. Unfair Businesses to Consumer Commercial Practices Directive.

Recall initiative is not sufficient compensation

It’s noted that the current ‘recall initiative’ (offering a repair on the vehicle) is not enough to compensate affected vehicle owners, as the manufacturer’s actions have caused health risks and, even worse, premature deaths from the air pollution, experts say. The EU has backed the general consensus from affected vehicle owners that compensation is more of an appropriate remedy. As of yet, the VW Group has failed to implement a settlement pay-out in the EU like the one in the U.S.

The situation in the U.S.

In the U.S., a settlement of $10 billion is on the table to compensate victims for the scandal, with part of the settlement used for further research into sustainable and eco-friendly vehicle projects. According to settlement documents, VW are obliged to report to California’s Attorney General on an annual basis for at least the next five years. Bloomberg reported that the agreement prohibited VW from selling, leasing, marketing, or distributing any VW or Porsche vehicles with the alleged “defeat device” software installed within the U.S. To do so would violate the terms negotiated in the settlement, and will probably see the return of VW in the State’s court.

A settlement in the EU?

If VW entered into a similar compensation settlement scheme in the EU, it’s estimated that damages could total $40 billion to compensate the millions of victims affected. That may be why VW are reluctant to do so at this stage, but we believe it’s only a matter of time until they surrender to the pressure – especially given that they don’t have a leg to stand on in terms of any defence in our view.

Pressure from EU officials

European Union consumer commissioner Vera Jourova has increased the pressure on VW by supporting compensation claims for EU victims. Jourova has also asked the manufacturer to give an undertaking that the fix they’ve offered will be successful and will not have any negative impact on the owners. The pressure is piling as she wrote to VW asking for proof of pledge that all VW vehicles will comply with the regulated limits by Autumn 2017.

We know this in itself is one of VW’s biggest hurdles. We’re acting for thousands of people here in the UK, and the majority of people who have had the recall are reporting issues with their vehicles post-recall.

EU frustration

This shows that there is a growing frustration, not just amongst affected vehicle owners, but amongst EU officials as well, as VW continue to deny compensation to their EU owners, while offering speedy settlements in the States.

With organisations like the EU overseeing and hopefully pressuring VW, rejecting the advice and continuing to defend a weak case could see their already-damaged reputation fall further down the drain.

Nothing can stop us…

The denial of damages from VW won’t be stopping us in our fight for justice. There’s a reason we’re leading the fight on behalf of thousands of affected owners and offering No Win, No Fee services.

If you have yet to join the action, please get in touch as soon as you can.

Sharing is caring!

“Final Settlement in the U.S.” – Judge Charles Breyer approves VW’s $15 billion settlement offer

“Have the Spanish courts got the ball rolling?” – VW owner receives 5,000 Euros against VW for emissions scandal