Mercedes Benz may face up to £10billion in compensation charges as up to half a million UK vehicles could be affected, according to a leading law firm. The latest action comes a year after Daimler AG – commonly referred to as Mercedes – was fined $870million by German prosecutors in 2019 over the diesel emissions scandal.
Lawyers say total compensation could amount to £10,000 for each driver in the UK. This is because half a million cars could be affected with an average of two owners each resulting in one million affected consumers.
The firm also says previous damages for similar issues have been over £10,000 per vehicle.
The action comes after law firm PGMBM filed a group litigation claim against Daimler over the emissions scandal.
They claim Mercedes may have misled customers and authorities over the amount of emissions produced by their diesel cars and vans between 2007 and 2018.
Mercedes are suspected of installing something known as a “defeat device” in vehicles which would allow cars to pass testing by showing a lower reading.
The device detects when the car is being tested and limits the amount of nitrogen oxide emissions the vehicle produces.
PGMBM Managing Partner, Tom Goodhead said: “This case highlights how Mercedes has abused the trust of its customers by egregiously misleading them in the pursuit of profit.
“We believe that Mercedes must be held to account for its unlawful and deceitful actions.
“This case will give consumers the opportunity to do so, and be compensated for being misled by a supposedly trustworthy company.”
The law firm has urged consumers who may be affected to come forward and join the claim on a no win, no fee basis.
PGMBM says by joining the action against the firm, claiming they have the “greatest chance” of ensuring they receive compensation and “justice”.
Daimler issued a voluntary recall of three million of its diesel cars built to Euro 5 and Euro 6 emissions standards in 2017.
A year later a German motor authority found 380,000 cars had been fitted with illegal defeat devices.
However, Mercedes have denied the latest claims, adding they will “defend” against any action filed.
In a statement provided to Express.co.uk, a Daimler spokesperson said: “We believe that the claims are without merit and will vigorously defend against any group action.”
This will not be the first case of owners trying to overthrow big manufacturers for bending the rules.
Last month, the Volkswagen Group lost the first round of its legal proceedings against 90,000 owners of the firm’s vehicles.
The High Court ruled the firm had unlawfully installed “defeat devices” in their cars between 2007 and 2015 which claimed cars were under emissions limits.
However, evidence presented by a legal team claimed the vehicles were emitting up to 40 times the legal limit while they were out on the roads.
In a statement, Volkswagen said they were “disappointed” with the outcome but said the ruling only related to “preliminary issues”.
Published at Mon, 11 May 2020 12:07:00 +0000