Dutch Group Prepares to Sue VW for Diesel Refunds

A Dutch group is readying a lawsuit against Volkswagen AG on behalf of 180,000 customers that demands full refunds for vehicles equipped with diesel engines that VW rigged to cheat emission tests.

The complaint is being developed by Rotterdam-based law firm AKD NV for the Stichting Volkswagen Car Claim Foundation. The case seeks some €4.5 billion ($5 billion) in damages and is expected to be filed this autumn, the Financial Times reports.

The foundation is trying to present an American-style class-action lawsuit on behalf of numerous affected owners. The option, not recognized by German law, enabled similar complaints to be aggregated in a single court.

In January, Germany’s myRight consumer group filed a test lawsuit demanding full refunds on behalf of more than 100,000 VW owners. The complaint’s aim is to establish a precedent that others could use. Other attorneys tell FT that additional partnerships with strategies similar to that of the Stichting Foundation are being organized in Europe.

VW denies any wrongdoing and is trying to force customers to file lawsuits individually within their local jurisdictions. Last December Germany’s transport ministry approved VW’s proposed repairs to the cars, declaring the work would make the cars meet emission standards without affecting engine performance.

Analysts say the agreement, which applies to VW diesels across Europe, undermines the plaintiffs’ claim of loss. AKD claims the modifications continue to allow cars to emit much more pollution under real-world driving conditions than the regulations stipulate.