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Home / Business

Kiwis caught up in Volkswagen scandal to take action

NZ Herald
13 Oct, 2015 12:03 AM4 mins to read

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Volkswagen has updated its website to disclose that 5548 of its own vehicles in this country are affected by the emissions-cheating software. Photo / iStock

Volkswagen has updated its website to disclose that 5548 of its own vehicles in this country are affected by the emissions-cheating software. Photo / iStock

Kiwi owners of more than 8800 vehicles caught up in Volkswagen's global emissions scandal are being invited to join a class action being organised by a Wellington law firm.

Buyers of Volkswagen, Audi and Skoda models in New Zealand were duped into believing the vehicles met European emission standards, and should not be left out of pocket from "the misleading and deceptive actions of others", Gibson Sheat litigation partner Edward Cox said.

"We believe a group action is the best way for individual vehicle owners in New Zealand to hold Volkswagen to account over its actions," he said today.

Although the German car-maker had indicated it is working on a "fix" to remove emissions-cheating software from affected cars -- powered by 1.6-litre and 2-litre diesel engines fitted since 2009 -- there were concerns that could reduce horsepower and fuel efficiency, Mr Cox said.

"The reputation of the affected cars may now be tainted, due to no fault of the vehicle owners, and this could lead to a reduction in the value of the cars," he said.

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"Volkswagen has given no indication that it is considering compensating vehicle owners for the losses they may suffer.

Barrister Nicole Smith was working with his firm on the group action, Mr Cox said, forming the same team that had achieved success with a group action for Tauranga business owners affected by the grounding of the container ship Rena on Astrolabe Reef four years ago.

Volkswagen has meanwhile updated its website to disclose that 5548 of its own vehicles in this country are affected by the emissions-cheating software, which it said can continue to be used without restrictions pending a technical solutions.

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That is an increase from the company's previous estimate of 4639 vehicles, and includes 2222 Tiguan SUVs and 1433 Passat cars as well as varying numbers across six other models.

Audi has 1937 and Skoda has 1371 vehicles caught up in this country in the scandal, which Volkswagen says could affect up to 11 million vehicles worldwide.

Volkswagen NZ expects a recall to fix New Zealand-registered vehicles to take much of next year.

General manager Tom Ruddenklau said this afternoon that the company would not comment on the law firm's "solicitation", although he acknowledged that VW owners were free to seek help from wherever they wished.

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"People have bought Volkwagens and they have been cheated on - they are aggrieved and disappointed and they want to know that someone cares about what's important to them," he told the Herald.

"I'd really like to think they can come to us and our dealers."

"However, if they want to get external advice and help from whoever that is - and if that helps - that's fine."

"But I'd like to think the way we operate as an independent distributor by being open and honest and upfront, that their best course of action is actually to come and have a chat to us."

Mr Ruddenklau would not comment on whether owners could ultimately expect any compensation.

"Until we know what the solution will be, I would be just speculating," he said.

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"All I can say is VW globally is doing everything they can to avoid impacting the vehicles' driveability."

"Our priority is making sure we keep our customers updated and get this thing fixed."

He expected a remedy would be approved by a German federal agency to allow VW New Zealand to start "tearing into the physical recall side early next year."

The company was also trying to trace owners through the Transport Agency database of several hundred used diesel VWs that may have been imported with the offending software.

Gibson Sheat is meanwhile inviting owners of affected Volkswagen, Audi and Skoda vehicles to register their details for the group action at http://www.gibsonsheat.com/news-and-publications/latest-news/volkswagen-emissions-claims

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