European Union Court orders Commission to implement proposed measures accordingly
ECJ Ruling Strengthens Consumers' Rights in Diesel Emissions Scandal
In a landmark decision, the European Court of Justice (ECJ) has confirmed that consumers who own diesel vehicles affected by defeat devices have a clear right to compensation, regardless of software updates or registration timing.
The ruling, which applies throughout Europe, holds Volkswagen and other manufacturers accountable for using unlawful defeat devices that manipulated emissions levels in diesel vehicles, even if they met EU standards under certain conditions such as low temperatures. This liability extends to software updates installed to fix emissions issues, which are also deemed unlawful.
All affected diesel vehicle owners in the EU are entitled to just and fair compensation, regardless of whether their vehicles have had software fixes. Compensation claims cannot be blocked by manufacturers citing initial vehicle registration or previous updates. Compensation amounts can be adjusted based on factors such as vehicle use but must genuinely reflect the damage suffered by consumers.
Owners of potentially affected vehicles, including those who underwent recalls or software fixes, are advised to seek legal advice to file claims within legal time limits. This is especially important as national laws must allow reasonable access to redress without excessive obstacles.
The ruling strengthens the legal position of consumers in ongoing and future Dieselgate-related litigation throughout the EU, potentially increasing manufacturer payouts beyond the billions already paid for fines, settlements, and retrofits since 2015.
Other car manufacturers like Mercedes, Nissan, Renault, Peugeot/Citroën, and Ford face court orders to disclose extensive internal documents, which could further establish liability and strengthen consumer claims across the EU.
Dr. Stoll & Sauer, a leading consumer law firm, is currently leading a model declaratory action against Mercedes-Benz Group AG and previously negotiated a settlement of 830 million euros for 260,000 consumers against Volkswagen AG. The firm offers a free initial assessment in the Diesel Online Check for affected vehicle owners.
The ruling also declares the use of thermo windows that control exhaust gas purification based on outside temperature as illegal. The Federal Court of Justice confirmed in November 2023 that motorhomes also fall under the diesel jurisprudence.
Courts have started to significantly reduce compensation claims using the "use value", but this may change due to the ruling. As consumers continue to seek justice, the implications of this ruling are expected to reshape the landscape of the diesel emissions scandal in Europe.
- The European Court of Justice (ECJ) ruling, applicable to all environmental-science related product falsifications, such as the diesel emissions scandal, now encompasses the use of illegal defeat devices in other scientific fields, potentially implicating manufacturers of non-automotive products.
- In light of this ECJ ruling, financial institutions and investment firms should be wary of the potential financial impact on the stocks and market valuations of companies involved in environmental-science fields, especially those found liable for the use of unlawful practices that compromise consumer rights.
