German courts okay claims against carmakers over illegal diesel exhaust software

The German Federal Court of Justice (BGH) on Monday opened the way to further compensation claims against carmakers that installed illegal diesel exhaust treatment software, following a landmark European ruling.

Diesel owners whose cars had the “thermal window” programme would be entitled to damages if their vehicles risked being taken off the road as a result, the court in Karlsruhe ruled.

If successful, claimants would be entitled to between five and 15 per cent of the price of the automobile. 

Watch: France launches legal probe into VW in Dieselgate scandal

The European Court of Justice (ECJ) in March said consumers had a right to compensation if their vehicles had the software installed, leaving it to German courts to determine the exact scope for claims.

The illegal programme reduced or even completely deactivated emissions filtering when temperatures were below 15 degrees Celsius (59 degrees Fahrenheit) and higher than 33 degrees Celsius. 

Carmakers long argued that their use of the software was necessary to protect the engine — even if it made the car more polluting.

German judges had until now set high hurdles for “thermal window” damages, asking plaintiffs to prove that the car manufacturer had intentionally harmed the buyer rather than merely being negligent.

German consumer lawyer Claus Goldenstein, who represents some 50,000 claimants in emissions-cheating cases, said the BGH ruling could benefit “millions of consumers in Europe”.

“It has never been easier to assert claims for damages than it is now,” Goldenstein said in a statement.

The “thermal window” software issue is different from the scandal that erupted in 2015 when Volkswagen admitted to installing illegal defeat devices in millions of diesel cars to dupe emissions tests.

The software behind the so-called dieselgate scandal made cars seem less polluting in the lab than they were on the road.