Volvo Wins Dismissal of Electric Car Mileage Class Action

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In a win for Volvo, an Illinois federal judge dismissed a consumer class action lawsuit over the mileage performance of its hybrid electric sport utility vehicles, ruling that since Volvo offered a complete refund of the purchase price, there is no harm or injury to be redressed.

U.S. District Court Judge Harry D. Leinenweber granted Volvo’s motion to dismiss plaintiff Xavier Laurens’ class action lawsuit stating that “the rule of mootness is different after a class has been certified and a plaintiff has been appointed class representative[:] Refusal of an offer of complete relief does not moot the case. This prevents a defendant, during the course of the proceedings, buying off a representative who is actively representing the class. Here no such concerns are present.”

Volvo had offered “a full refund of the purchase price upon the return of the T8. The offer was unconditional and did not require the dismissal of the case against it, nor to sign a release, or perform any act other than to return the vehicle. … The plaintiffs rejected this offer,” the judge said.

In his lawsuit against Volvo, Laurens sought redress amounting to the difference between the cost of the T8 and the non-hybrid Volvo, which is $20,000.

However, Judge Leinenweber noted in his order that the acceptance of a full refund would allow Laurens to purchase the non-hybrid and have the $20,000 difference left, pointing out this “amounts to distinction without a difference.”

Laurens filed the class action lawsuit against Volvo on April 21, arguing the 2016 Volvo XC90 T8 – a twin-engine plug-in hybrid SUV which was capable of running solely on electricity – he purchased in 2015 drastically underperformed the advertised 25-mile range in a full battery charge.

The model year 2016 XC90 T8 hybrid SUV advertisements claim a single battery charge would get 25 miles without using gasoline. Laurens says he paid $72,000 for the Volvo T8, which he alleged only gave him eight to 10 miles on a full charge.

Laurens claims that reduced performance means he uses more gasoline than he expected when he drives the vehicle, cutting into the savings he expected to obtain by spending more on a hybrid.

The Volvo XC90 T6 model, which like the T8 also seats seven, does not have an electric motor and starts at $49,800 compared to the $68,100 for a base model T8, the complaint said.

With all the other features identical, the plaintiff says buying the plug-in hybrid version of the XC90 T8 cost him nearly an additional $20,000, a huge price he wouldn’t have paid if Volvo wouldn’t have advertised 25 miles per charge.

Laurens plans to appeal the decision, according to a statement issued by his attorney.

Laurens is represented by Joseph Siprut, Todd McLawhorn and John Marrese of Siprut PC.

The Volvo Electric Car Mileage Class Action Lawsuit is Laurens, et al. v. Volvo Cars of North America LLC, et al., Case No. 1:16-cv-04507, in the U.S. District Court for the Northern District of Illinois.

UPDATE: On Nov. 8, 2017, Volvo will continue to face false advertising claims from an Illinois couple who allege the hybrid vehicle they bought does not perform as advertised. Following an appeals court’s reversal of a previous dismissal, a federal judge concluded that the plaintiffs adequately alleged Volvo falsely represented the electric-only driving range of its XC90 T8 plug-in hybrid sport utility vehicle.

UPDATE 2: On April 30, 2018, the plaintiffs say that the Volvo class action lawsuit should be moved to New Jersey, the headquarters of Volvo, to avoid questions about jurisdiction in the case.