#Lawsuits

Volkswagen’s emission-related malfeasance was promptly identified and dealt with in the United States. The company was accused of using suspect software to game testing scores on diesel-equipped models in 2015. By October of 2016, VW was on the hook for a $15.6 billion financial penalty, in addition to mandatory fixes or buybacks on affected vehicles.

Things progressed differently on the European front. Germany has subjected the manufacturer to numerous investigations, ultimately deciding to fine the firm $1.18 billion in 2018 and enact widespread recalls. Civil suits have largely focused on VW’s legal representatives denying the software had any ill intent, claiming it was simply code that mistakenly allowed the cars to become non-compliant with regulatory limits. This didn’t fly, however, with a gigantic UK lawsuit finding the automaker guilty of intentionally misleading customers in April.

This week, VW lost another important legal battle in Germany when the Bundesgerichtshof found it guilty of cheating on emissions testing years earlier. The Federal Court of Justice in Karlsruhe decided disenfranchised diesel van owner Herbert Gilbert was entitled to a €28,000 payday, setting a precedent for thousands of other claimants seeking revenge.

California announced late last week that it will allow the cautious reopening of manufacturing operations across the state, but Alameda County resisted, claiming it will keep non-essential businesses shuttered until the end of the month.

Guess which county Tesla’s Fremont assembly plant is located in.

Now guess Tesla CEO Elon Musk’s reaction to the country’s announcement. If you speculated that Tesla might sue Alameda Country, with Musk launching an online tirade in which he promises to move Tesla HQ and all future products out of the state, you’d be right.

The hosts of the Discovery Channel’s Diesel Brothers have been fined $851,451 for selling modified pickups that violate Utah law and the federally recognized Clean Air Act.

U.S. District Court Judge Robert Shelby also said the plaintiffs, Utah Physicians for a Healthy Environment, could submit their attorney fees for the defendants to pay. Cole Cannon, lawyer to the stars, has said the plaintiffs’ attorneys previously told the judge they were seeking $1.2 million.

Friday’s court documents stipulate that David “Heavy D” Sparks, Joshua Stuart, Keaton Hoskins, and “Diesel Dave” Kiley pay $761,451 to the U.S. government with the remaining $90,000 going to Davis County in Utah. The group has already been found guilty of removing particulate filters and exhaust recirculation systems on the cars used for the television program. The only genuine surprise was the sizable fine — as well as some court-appointed rules that will probably make the show less exciting to watch.

Reid Bigland, the towering Fiat Chrysler exec who made waves by suing his employer last year, has announced he’s leaving the company after 22 years of service. His last day will be April 3rd.

Head of U.S. sales, the Ram brand, and president and CEO of FCA Canada, Bigland was once seen as a potential replacement for late CEO Sergio Marchionne, but a spat with his employer tainted the longstanding relationship. That lawsuit apparently came to a head earlier this year.

Volkswagen has had to spend mountains of money since being caught using illegal software to hide excessive diesel pollution during regulatory testing five years ago. As if millions of vehicle buybacks and repairs weren’t costly enough, VW also had to contend with billions of dollars in regulatory fines and countless consumer lawsuits — and the hits keep on coming.

While the United States enacted swift justice upon VW, Europe has been slower to take action. That, in addition to EU laws making it much more difficult for class-action suits to get off the ground, meant Europeans received nothing as VW’s American customers saw checks cut to the tune of $20,000 apiece. Germany has only allowed class-action lawsuits since 2018, providing an opportunity for Volkswagen to continue playing legal hardball. But it’s been backpedaling all across Europe.

Citing a breakdown in negotiations with German consumer association VZBV, which was attempting to reach a settlement deal for German customers attached to its class-action suit, the automaker said Friday it is willing to offer €830 million (about $899 million).

Jeez, it’s a good thing they didn’t have kids.

Nissan has responded to former chairman and CEO Carlos Ghosn’s escape from Japanese captivity — and subsequent doubling down on his accusations of a corporate coup orchestrated by Nissan execs, with the help of Japanese officials — by filing a lawsuit.

As it attempts to free up cash elsewhere in the company, the struggling automaker is seeking to recoup losses from Ghosn’s alleged financial impropriety.

The unfathomably boneheaded and childlike series of events that culminated in the defamation lawsuit against Tesla CEO Elon Musk are well-covered on these digital pages, but the results of that suit will soon become clear.

Musk plans to testify in his own defense in a trial scheduled to begin on Dec. 3, Reuters reports. If seats in the public gallery were available online, this writer would slap $100 down on one in a heartbeat.

As members of the media swarm over new vehicles in Los Angeles, a legal drama is playing out in Detroit. General Motors has filed a federal racketeering lawsuit against cross-town rival Fiat Chrysler, alleging FCA conspired to undermine the collective bargaining process and create unfair advantages by bribing UAW officials.

This cost GM lots of money, the automaker claims, and now it wants to collect.

“This lawsuit is intended to hold FCA accountable for the harm its actions have caused our company and to ensure a level playing field going forward,” said Craig Glidden, GM Executive Vice President and General Counsel, in a statement.

Reid Bigland, head of U.S. sales for Fiat Chrysler and chief of the mighty Ram brand, has withdrawn a lawsuit against his employer in the hopes of gaining whistleblower protection.

The top FCA executive filed the suit in June after the automaker allegedly made him take the financial fall for dodgy sales practices that preceded his tenure. Bigland, who was on the short list of possible successors for late CEO Sergio Marchionne, claimed FCA withheld bonuses and severely cut his pay — payback for a federal probe that forced the company to revise its sales history.

The lawsuit will be back on come December.

If you’ve grudgingly followed the unseamly goings-ons in the defamation case filed against Tesla CEO Elon Musk by a British cave diver, things just took a turn. Documents filed to a California federal court this week by Vernon Unsworth’s lawyers reveal a plotline worthy of a better-than-average sitcom.

In stating their client’s side of the story, Unsworth’s legal team showcased communications from from Musk, in which the CEO expressed regret for calling the cave diver “pedo guy” on Twitter and sending accusatory emails to a Buzzfeed reporter. It also seems that the private eye Musk hired to dig up dirt on Unsworth is a convicted fraudster who’s now back in jail for parole violation.

While Volkswagen Group’s diesel lawsuits are more or less settled in the United States, 470,000 diesel owners in Germany are still fighting to see their payday. Unfortunately, the courts aren’t certain they’re deserving.

The court hasn’t settled on anything, but Monday’s introductory hearing concluded with presiding Judge Michael Neef wondering what customers actually lost by having their vehicles equipped with emissions-cheating software. The court claims its primary goal is to assess whether or not any loss in value can be attributed to vehicle bans that came years after VW’s diesel scandal broke. It’s concerned that drivers’ ability to continue using the automobiles doesn’t warrant awarding owners damages.

“It doesn’t make sense to us that drivers should be granted the right to use cars for free,” Neef said on behalf of the three judges hearing the case, according to Bloomberg. “Otherwise, we would have to grant punitive damages that do not exist under German law.”

On Friday, California and 23 other states filed a lawsuit against the Trump Administration over efforts to reverse state-driven emissions standards. Earlier this week, the president confirmed speculation that the federal government would be taking steps to revoke California’s fuel waiver — making the suit about as predictable as the setting sun.

We’ve told the story countless times. The Golden State wants to maintain stringent emission laws for automobiles, the Trump administration wants a fuel rollback, and automakers want a universal national standard. After months of nonproductive talks and all sides attempting to make their case to the public, it looks at though the Supreme Court will have the final say.

Man, it never ends. Removed from the many, many issues at play both inside and outside Tesla’s Palo Alto HQ, a lawsuit sparked by a childish spat between Tesla CEO Elon Musk and a British cave diver still hangs over Musk’s head.

If you don’t recall the ridiculous episode, Vernon Unsworth, who was instrumental in organizing the successful rescue of a Thai soccer team last summer, told Musk to shove his experimental, homemade submarine up his ass. Musk responded by referring to him as “pedo guy”on Twitter.

On Monday, Musk sought to have the defamation suit tossed out on the grounds that “pedo” could mean a lot of things. This is 2019, people, and it’s Silicon Valley.

No, Walmart was not using fleets of pricey electric vehicles to get 56-cents-a-pound bananas to budget-conscious shoppers; rather, the chain had outfitted a slew of its stores with rooftop solar panels assembled and managed by Tesla subsidiary SolarCity.

Now Walmart’s feeling burned. Literally.

Following rooftop blazes at at least seven stores and a recent investigation, the shopping giant filed a lawsuit against Tesla on Tuesday, alleging the company “engaged in widespread, systemic negligence and had failed to abide by prudent industry practices in installing, operating, and maintaining its solar systems.”

As if preordained to coincide with Ford’s announcement of its electric F-Series prototype, news of a class-action lawsuit accusing the automaker of falsified fuel economy tests surfaced last night. The suit, filed on Monday in the U.S. District Court for the Eastern District of Michigan by Seattle law firm Hagens Berman, asks $1.2 billion in damages for customers it claims are overspending on fuel.

The legal action piggybacks on the Justice Department’s criminal investigation of Ford’s testing procedures for the 2019 Ford Ranger in April. However, the civil suit also ropes in the F-Series — claiming that customers could spend upwards of two grand in gas they never budgeted for.