VW emissions scandal: Today TILP filed the first German investor claim against the Volkswagen corporation before the District Court of Brunswick together with a motion to open model case proceedings according to the German investor model case proceedings act (KapMuG)- VW did not respond to a fixed deadline regarding an offer to reach an out of court agreement for a claimant represented by TILP - free of charge registration for harmed investors possible under www.vw-klage.de
Kirchentellinsfurt, 10/01/2015
TILP Rechtsanwaltsgesellschaft mbH, a highly specialized capital market and banking law firm from Germany, known for the representation of investors for over 20 years filed today the first investor claim against the automobile group of Volkswagen AG, headquartered in Wolfsburg for an investor represented by TILP. At the same time, TILP filed a motion to open proceedings under the model case proceedings act (Kapitalanlegermusterverfahrensgesetz - KapMuG) with several applications for declaration on relevant securities issues.
On September 20, 2015, Volkswagen officially admitted having manipulated the emission standards for diesel cars in the USA during emission tests. Thereafter, the stock price for common stock and preferred stock of VW plummeted. Also reports concerning the change of the head oft he managing board did not help to revive the stock price in the long-run.
In front of the District Court in Brunswick, the plaintiff claims for economical damages result from the purchase of VW preferred stock in the amount of 20,000 Euros which have been bought in April and July 2015. Specifically, the claimant asks for a rescission of the stock purchases and in the alternative for out of pocket damages of approximately 60 Euro per share.
"The Volkswagen group did not react to our deadline for an out of court agreement. Therefore it was necessary to file a complaint to demonstrate VW that our client is serious about it" says Attorney Andreas W. Tilp, managing partner of TILP. "During the current proceedings, Volkswagen should use the chance to admit their responsibility and offer compensation for loss suffered. Already as of today our law firm represents enough retail and institutional clients to achieve compulsively a model case under the model case proceedings act (KapMuG) in front of the Higher Regional Court in Brunswick. Tilp continues: "We assume that we are able to represent the model case plaintiff in these proceedings who has the strongest procedural position in the case."
TILP's law firm is specialized in maintaining actions under the KapMuG proceedings act. This specific procedural law was implemented in the year 2001 to cope with the multitude of claimants and to bundle these claims within one model case concerning lawsuits against Deutsche Telekom that also have been initiated by TILP.
Such actions clearly increase the chances of success for investors and offer substantial cost advantages. TILP inter alia represents the respective lead plaintiff against Deutsche Telekom AG regarding its 3rd IPO and also against Hypo Real Estate Holding AG (HRE). In October 2014, the Federal High Court of Justice in Germany decided in the 3rd IPO Telekom case in favour of the lead plaintiff, the Higher Regional Court in Munich did the same in December 2014 in the HRE-case.
Following TILP's legal opinion VW is liable for damages against its shareholders in several points of failed and incomplete capital market information. This concerns especially purchases of shares between June 06, 2008 and September 17, 2015. In the opinion of TILP, investors which held the shares until September 17, 2015 as well as those which sold them already before, are eligible for damages. Also losses in shares of Porsche and derivatives on VW shares as for example warrants or certificates are included under the liability for damages, is TILP's result of the legal examination.
"Due to the deliberate manipulation Volkswagen crossed the line. Besides claims under § 37b of the German securities trades act, also so-called tort claims of different kinds exist according to our legal opinion. These claims are separately for independent breaches of duties of VW for quite different points of time regarding the estimated timeframe we assume to start as of June 2008", explains TILP's lawyer Axel Wegner. "This is the reason what makes this case very complex, especially as many different statute of limitation periods run; so for example could it be that one claim which we think is especially promising already gets time-barred on March 14, 2016", added Wegner.
TILP implemented a platform for harmed investors to register their claims free of charge under www.vw-klage.de. Via this platform, investors also can get further information in the future.
contact
TILP Rechtsanwaltsgesellschaft mbH
Andreas W. Tilp | Rechtsanwalt
Einhornstraße 21
D-72138 Kirchentellinsfurt
Telephone: + 49-7121-909090
Mobile: +49-151-58009911
Telefax: +49-7121-9090981
E-Mail: medien@tilp.de
www.tilp.de
TILP Rechtsanwaltsgesellschaft mbH - Pioneer for investor rights
TILP Rechtsanwaltsgesellschaft mbH ("TILP") is one of Germany's leading and most experienced law firms with an exclusive focus on effectively protecting since 1994 the interests of aggrieved investors, whether they are institutional clients, family offices or private investors. The media and even their competitors share this opinion: For many years now TILP is considered as one of the absolute market leaders in the fields of banking law and capital market law in Germany. The publisher NOMOS in its "Handbuch der Kanzleien 2014" (Handbook of German Law Firms 2014) calls TILP " 'the' leading capital market law firm". The handbook for corporate law firms 2014/2015 of JUVE, the leading legal expert publication, evaluates TILP as one of the top leading law firms in the area of capital market litigation for over ten years. According to publications of JUVE, TILP is "one of the leading law firms representing both, institutional and private investors in banking and capital market law matters ... which ranks among the top tier addresses for years now and ... which decisively has shaped this field of law". Moreover, competitors attest TILP an "archetype function and high professional competence". Since then, the law firm has effectuated about more than 100 decisions of the German Federal Court of Justice (Bundesgerichtshof) and the German Federal Constitutional Court (Bundesverfassungsgericht) which were of fundamental importance for investor rights in Germany. The journal FOCUS referred to the German Federal Court of Justice's decision on hidden commissions charged to investors (the so called "kickback decision"), which was argued by TILP in December 2006, as a "sensational decision" (edition 11/2007). For consumer advocates this decision constituted a "major milestone in consumer protection".
TILP is partner of the law firms TILP PLLC, New York as well as TILP Litigation Lda & Comandita (ZFDM), Funchal/Madeira, which are specialized in the international representation of institutional investors and corporations in the field of capital market law and antitrust law.
TILP's practice has designated expertise in the area of national and international collective redress, in particular regarding national collective redress mechanisms under the German Capital Market Model Claims Act (Kapitalanleger-Musterverfahrensgesetz, KapMuG). The KapMuG - enacted in 2005 - was the legislature's reaction to the "Deutsche Telekom" securities litigation in Frankfurt, which began in 2001 on the basis of lawsuits initiated by TILP and which involved around 17.000 plaintiffs. In November 2012, following an evaluation of the act, some moderate changes came into force and Andreas Tilp was one of the nine experts by the Committee on Legal Affairs of the German Federal Parliament. TILP is representing for example the model case plaintiffs in the model case proceedings against Deutsche Telekom AG regarding DT3 and Hypo Real Estate Holding AG (HRE). In October 2014 the German Federal Court of Justice (Bundesgerichtshof) ruled in favor of the model plaintiffs in the model case proceeding DT3. Also did the Higher Regional Court (Oberlandesgericht) of Munich in December 2014 in the model case proceeding HRE. As vice chairman of the legislative committee for banking and capital market law of the German Bar Association (Deutscher AnwaltVerein) and within statements for the European Commission Mr. Tilp is standing up since years for the adoption of a class action at the European level.
