Sensational ruling: BGH & ECJ strengthen consumer rights and pave the way for differential damages in diesel proceedings

The recent ruling of the Federal Court of Justice (BGH) of 26 June 2023 (VIa ZR 335/21) has significantly changed the legal landscape in the dispute over compensation for diesel vehicles with so-called thermal windows, after the European Court of Justice (ECJ) had already ruled in March 2023 (C-100/21) had set groundbreaking standards. This news essentially opens up the possibility for consumers to claim compensation if the so-called "thermal window" was installed, as this has already been classified as an illegal switch-off device on several occasions. Millions of diesel drivers now have easier access to claim compensation in the diesel scandal.

Far-reaching implications for ongoing proceedings

This decision does not only focus on individual cases, but has far-reaching effects that affect all manufacturers who use illegal defeat devices such as the common "thermal window" used by almost all diesel vehicle manufacturers. In total, around 2,100 cases are directly affected by the Federal Court of Justice, while an estimated 100,000 lawsuits are pending in lower courts.

What is a “thermo window”?

Modern diesel engines use exhaust gas recirculation (EGR) to reduce nitrogen oxides during combustion. In extreme outside temperatures, this strategy can damage the engine, which is why manufacturers are allowed to temporarily forego EGR under these conditions. The temperature window in which exhaust gas recirculation is active is called the "thermal window". However, the lower limit of this window - often around 10°C - means that nitrogen oxide reduction is not active for much of the year in Central Europe, resulting in excessive nitrogen oxide levels that violate legal requirements.

turnaround in the emissions scandal per injured consumer

The latest BGH ruling marks a significant turning point: It established differential damage as a new model for compensation for diesel vehicles affected by manipulations such as the thermal window. This decision followed the ECJ's finding that consumers are entitled to compensation even without proof of intent or immorality. This means that manufacturers are now also liable for negligence. The BGH sets the compensation range between 51% and 151% of the purchase price. However, if the residual value of the vehicle and any applicable compensation for use are lower than the purchase price reduced by up to 151%, compensation will be paid.

R&U lawyers advise you

The significance of the ruling goes far beyond the court proceedings: it is crucial for many diesel owners who want to make claims for damages. It could lead to an increase in the number of cases. In order to prevent possible statute of limitations and to protect your own rights, we recommend using a free initial telephone consultationThis allows affected consumers to get a clear assessment of their situation and protect their claims. Use the decision of the BGH & ECJ to your advantage and start your proceedings immediately to receive compensation more quickly.

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