Daimler Sued For $1 Billion In German Court Over Diesel Cheating
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Investors have sued Daimler for 896 million euros ($1 billion) in a regional court in Stuttgart, accusing the carmaker of concealing its use of emissions cheating software, German law firm TILP said on Tuesday.
The suit was filed on behalf of institutional investors who accuse Daimler of failing to inform investors about the risks and costs of using such devices, which amounts to a violation of capital markets law, the law firm said.
In a statement, attorney Andreas Tilp said: “This means that the plaintiffs bought the Daimler stock at too high a price, and it is our conviction that Daimler is liable to them for compensation of damages.”
Daimler said it had not yet been formally notified of the lawsuit adding it believed that the lawsuit was without merit.
“We will defend ourselves against the accusations with all legal means,” a spokeswoman said on Tuesday.
Questions & Answers
Q.What is the specific accusation against Daimler in this lawsuit?
What is the specific accusation against Daimler in this lawsuit?
Investors allege Daimler concealed its use of emissions cheating software. They claim the carmaker failed to inform them about the risks and costs associated with these devices, which constitutes a violation of capital markets law.
Q.Who has filed this lawsuit against Daimler?
Who has filed this lawsuit against Daimler?
The lawsuit has been filed by institutional investors. German law firm TILP is representing these investors in the regional court in Stuttgart, seeking compensation for alleged damages.
Q.What is Daimler's initial response to the lawsuit?
What is Daimler's initial response to the lawsuit?
Daimler has stated it has not yet been formally notified of the lawsuit. The company believes the lawsuit is without merit and intends to defend itself against the accusations using all legal means available.
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