The European Commission on Thursday said it will take Germany to the EU’s highest court for a second time to force the repeal of the VW Law, Reuters reports.
The European Commission said it would ask the court to impose fines on Germany for every day that it fails to cancel the law; around €31,000 a day from the date of the 2007 ruling until Germany complies with the original judgment.
“Since Germany has failed to take all the necessary measures to fully comply with the court’s judgement, the commission has now decided to bring the case before the court again,” the EU-based regulator said.
The dispute over the VW law has been brewing for years. Now it comes to blocking minority, the state of Lower Saxony at the Wolfsburg-based carmaker is guaranteed.
Under the “Volkswagen Law” any shareholder in VW could not exercise more than 20% of voting rights, even if their stake in the firm was bigger.
The European Court of Justice said the law discouraged foreign investors from taking a stake in Volkswagen.
However, back in 2008 A German Justice Ministry spokesman said “We believe our draft law is compatible with European law.”