RICO Charges Continue Against Bosch, Mercedes

The ongoing lawsuit against Mercedes for alleged emissions violations gained momentum recently as the presiding judge ruled that Bosch, a major supplier of the manufacturer, must face RICO charges as part of the larger class action. Bosch, a key part of the development of the emissions systems in Mercedes BlueTEC diesel vehicles, had previously argued it should not be included. However, due to the court’s ruling, Bosch will now have to face challenges that they worked in coordination with Mercedes to develop a vehicle lineup that does not comply with federal emissions standards.

Without going into the legal technicalities argued by Mercedes in the matter, the scope of their arguments surrounded the issue of whether RICO (Racketeer Influenced and Corrupt Organization Act) charges were appropriate for an emissions case, as well as whether Bosch was a responsible party in a case between the auto owner and the manufacturer. The defenses they raised were struck down by the judge who found it was appropriate for Bosch to be held as a defendant in the class action’s emissions cheating charges. The judge further found that, while the class action lawyers’ claims of 10% devaluation did not have a firm basis, discovery in the case may allow that argument to proceed.

All of this is important to owners of BlueTEC diesel vehicles because it expands the range in which fact-finding will uncover any conspiracy between Mercedes and its suppliers/partners/vendors. Since Bosch is now a defendant as part of these RICO charges, their employees will be vulnerable to depositions and testimony while their internal documents, reports, communications and more will be open to discovery. That means class counsel will be able to aggressively review what Bosch knew (and when) regarding the regulatory non-compliance of the emissions systems in order to prove their case. The conspiracy charges also expand the potential financial liability of Mercedes and other defendants.

In addition, it is important to note that Bosch was also included in RICO charges for their role as an emissions systems supplier to Ford in that company’s emissions scandal involving their Super Duty truck lineup.

Owners should be concerned if this development leads to settlement pressure in a way that helps Mercedes and its co-defendants. They may escape liability and you may not be properly compensated for your damages. If Mercedes acknowledges their vehicles are not compliant, the government will require corrective action, including significant modifications to the vehicles to ensure compliance with the law.

The modifications that can be required can significantly impact the performance of the vehicles and affect resale value. A class settlement that does not offer a fair deal for buybacks, and more, is not fair.

Stern Law represents owners of vehicles impacted by emissions scandals who do not believe a class action settlement meets their needs. We can help you pursue an individual claim, outside of any class action, to help protect your individual rights and interests. We are dedicated to helping our clients receive the maximum compensation to which they are entitled - not what is dictated by a class action settlement.

Stern Law charges nothing out-of-pocket to commence an individual claim against a car manufacturer such as Mercedes in connection with an emissions scandal. We will discuss your legal options and remedies, and make sure you have all the information you need to make a decision concerning the opting out of any class action lawsuit. If you are concerned about how your Mercedes vehicle could be impacted by a future class action settlement, contact us to learn how we can help. Call (844) 808-7529 or fill out our form today.