Daimler sued for $1 billion in German court for diesel cheating

Investors have taken legal action against Daimler for 896 million euros ($1 billion) in a regional court in Stuttgart, alleging the automaker of concealing its use of emissions cheating software, German law firm TILP stated on Tuesday.

The suit was filed on behalf of institutional investors who allege the German automaker of failing to alert investors about the risks and costs of using such devices, which amounts to a violation of capital markets law, the lawfirm stated.

In a statement, attorney Andreas Tilp stated: “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 stated it had not yet been officially notified of the lawsuit adding it believed that the lawsuit lacked any merit. “We will defend ourselves against the accusations with all legal means,” a spokeswoman stated on Tuesday.