Volkswagen to get compensation for Dieselgate

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Words: Nile Bijoux
10 Sep 2018

While UK owners of Volkswagen cars affected by the diesel emissions furore from 2015 are still awaiting compensation from the company, VW itself has pocketed nearly $NZ1 million.

It’s the result of a High Court ruling, which found that the carmaker had been pushed into unnecessary and ineffective hearings throughout 2017 by legal firms acting on behalf of owners.

As a result, the Volkswagen Group was awarded reimbursement due to the premature application for a Group Litigation Order made by clients of compensation law firms Slater & Gordon and Harcus Sinclair.

An initial sum of £168,000 ($NZ330,000) will be paid to the Volkswagen defendants and two other defendants before the end of September. Further costs will be due from the claimants' funders at the end of the litigation, expected to cross the £300,000 ($NZ594,849) mark.

Nicolai Laude, a spokesperson for Volkswagen AG, said: “We have been concerned about the conduct of some claimant firms in relation to this action, which has been disorganised and hindered the efficient progression of the litigation. This judgment clearly supports our view.”

A statement released on behalf of the German manufacturer said: “The Volkswagen Group has always said that it will vigorously defend itself and is confident in its case. That remains the position.”

Across the Atlantic, VW has paid out $14 billion in fines but the same hasn’t happened in the UK. Affected owners will have their vehicles fixed free of charge, a process that evidently can lead to a drop-off in performance.

Owners have until October 26 to register a claim for compensation.

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