Disgruntled VW Clients Demand Reparations
In a continuing legal saga, Volkswagen is facing a new redress action in Austria over the diesel emissions manipulation scandal that was first exposed nearly a decade ago. The Consumer Protection Association (Verein zum Schutz von Verbraucherinteressen, vsv) has filed a lawsuit on July 11, 2025, offering Austrian victims of the VW diesel scandal another opportunity to claim damages without the risk of legal costs.
The new lawsuit follows a previous substantial settlement in 2024, where Volkswagen agreed to pay 23 million euros in damages to around 10,000 victims. The vsv aims for further compensation amounts "around 1,500 euros or more" per claimant, after fees paid to the litigation financier are deducted.
The vsv is calling on affected customers to join a major campaign against Volkswagen, with the deadline for active registration within the next three months. Only current Volkswagen car owners, former owners, used car buyers, and lessees can participate in the lawsuit.
The responsible party for the lawsuit against VW has used harsh tones, stating "If you want peace, prepare for war. That's what we've done with VW." If the injunctive relief lawsuit is successful, the process financer will receive a 37 percent success fee. A process financer has taken the risk of the lawsuit against Volkswagen, with the potential costs for the carmaker in Austria rising significantly beyond the already paid 23 million euros.
The average damage per manipulated Volkswagen vehicle, according to the vsv, is 4,000 euros. The total amount in damages claimed is 1.2 billion euros. The engines in question were manipulated with special shut-off devices, leading to increased emissions of nitrogen oxides during normal driving conditions.
Around 300,000 car owners in Austria have been waiting for compensation from Volkswagen, with the claims for these customers about to expire due to Austria's favorable statutes of limitation, which allow claims up to 30 years from knowledge of the damage. The vsv expects thousands of owners to secure their claims now, urging affected customers to join the campaign against Volkswagen.
The ongoing legal process in Austria continues to put pressure on diesel manufacturers, with broader European regulatory and litigation trends putting additional strain on the industry. The direct financial exposure in Austria is currently centered on these class actions managed through Austrian courts and consumer groups. Volkswagen could face significant financial losses due to this backlash, with the exact total cost depending on the number of claimants in the new action and the settlement outcomes.
In the ongoing legal struggles, Volkswagen faces another business challenge in Austria, as the Consumer Protection Association seeks further finance for damages arising from the diesel emissions scandal. The vsv aims to secure around 1,500 euros or more per claimant, after deducting fees paid to the litigation financier.
