Damages From Dieselgate Based On EU-Law For The First Time

The Regional Court of Stuttgart ordered Volkswagen AG to pay damages pursuant to § 823 para. 2 of the German Civil Code (BGB) in conjunction with Regulation (EC) No. 715/2007. Thus, the Regional Court was the first German court to base a claim for damages on the direct violation of European registration law.

German regional court affirms damage due to VW's violation of European registration law

In the proceedings, the Stuttgart judges ruled that the owner of a VW Golf 1.6l TDI with EA288 engine had suffered damages due to VW's violation of European registration law. According to the judgement, Volkswagen AG had assumed that it was sufficient for a type approval if the emission values were met on the test bench. However, EU Regulation 715/2007 clearly states that the emission limits mentioned must also be complied with under normal operating conditions - i.e. in road traffic. The owner of the Golf 1.6l TDI accused the VW group of having installed an illegal defeat device in the engine of the type EA288, similar to the scandalous engine EA189.

The Regional Court of Stuttgart is apparently breaking new ground, which will have a positive effect for dieselgate car owners. Up to now, VW was primarily convicted of immoral intentional damage according to § 826 BGB. However, the prerequisite for this compensation is immoral behaviour on the part of the car manufacturer is almost impossible to prove, according to prevailing legal practice. Instead, the judges now confirmed that even negligence is sufficient for damages, making it easier for dieselgate car owners to enforce their claims.

The ruling could have a legal impact across Europe.

The court recognized that an injured party may even claim damages if the injuring party violates the law setting emission limits on the EU level. With this judgement, for the first time a German court has recognised EU Regulation 715/2007, which, among other things, regulates the limit values for emissions as a prerequisite for registration of a car for use on public roads.

The ruling could also have an impact throughout Europe. In many other European countries, damages are also awarded if buyers suffer losses as a result of violating the EU regulation. The further development of case law both in Germany (in that lawsuits can be filed against VW from other European countries using the respective national tort law) and in Europe therefore remain exciting.

Stuttgart Regional Court - 20 O 553/20

Learn more about how to enforce claims for damages in Dieselgate cases here.