Car Defects

Dealer Fraud

Insurance Bad Faith

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FOR IMMEDIATE RELEASE - September 30, 2013 Sherman Oaks, CA – The Law Offices of Hovanes Margarian files a major class action lawsuit against Volkswagen Group of America, Inc., the company which manufactures Audi and VW vehicles.

The class action lawsuit, in pertinent part, alleges that an estimated five million (5,000,000) vehicles were manufactured and retailed by Volkswagen Group of America, Inc. with defective engines which cause overconsumption of oil. The condition is so severe in some vehicles that drivers are required to top off the engine oil every two (2) weeks or else risk ruining their vehicles’ engines. The lawsuit alleges that Volkswagen Group of America, Inc. has been aware of this defect for years. And yet it has failed to provide a proper remedy to its customers. Moreover, Volkswagen Group of America, Inc. has continued to manufacture and retail these vehicles without disclosing this material defect to the consumers.

Hovanes Margarian, Esq., the lead attorney for the class, states, “We suspect that millions of consumers have lost time from work and suffered financial loss due to this defect. We also believe that VW and its affiliated dealerships have conspired to avoid documenting complaints by many consumers and have engaged in a campaign to avoid recalling these vehicles by paying off individual consumers who have filed complaints.” While Margarian is not at liberty to divulge the full details of the evidence against VW, he is confident that the evidence against VW is overwhelming. “Many VW and Audi drivers have been told that the oil consumption is normal and many have been refused documentation of their complaints,” states Margarian. Under most state lemon laws, a consumer must have documentation of his/her visits to a dealership in order to be able to subsequently make a claim for a refund under the lemon law. When dealerships systematically fail to document visits, that results in the consumer being unable to utilize his/her rights under the state lemon law as he/she has no means to prove that the dealership had multiple opportunities to repair the vehicle. “As part of this lawsuit, we seek not only to provide a remedy to VW drivers who have been harmed to date, but to also ensure that VW enforces stricter documentation guidelines at its dealerships so that consumers’ rights are not restricted in the future,” states Margarian.

The estimated amount of the claim within this class action lawsuit exceeds one billion dollars ($1,000,000,000). The lawsuit was filed this morning in Los Angeles Superior Court, Central District, however, Margarian suspects that the lawsuit will likely be removed to Federal Court, in light of the fact that it affects millions of VW vehicles sold in not only California but the entire United States.

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