I spent most of last week at the National Consumer Rights Litigation Conference in San Antonio. Among the many benefits is the chance to visit with colleagues who are the best consumer-side advocates in the country. I caught up with my colleague, Elizabeth Cabarser, one of the most talented consumer lawyers I know, and we had a chance to visit about the VW customer goodwill package. Elizabeth pointed out this order StipOrdReGoodwillProgram USDC MI from the U.S. District Court in Michigan, in which Volkswagen stipulated that participation in the program would not impact claims in the fraud case against it.
This is an important development for those who are concerned about the fine-print in the loyalty cards. Elizabeth and her team in Michigan have done a great job in getting this order entered. It’s stronger because Volkswagen stipulated to the order. That means that the issue is completed, and there is no effective means of appealing. This is a good development.
Let’s not lose sight of a few things. These benefits are mixed, and they are tiny. There is still a problem that it looks to me like VW is trying to establish a direct link with customers. Also, it’s possible that part of this is being done so that VW lawyers can point to all the good things they did, in order to argue that VW should not be punished for their misconduct.
That said, for those consumers who wish to take advantage of these benefits, the order provides protection.