VW Salesman Class Action Lawsuit Seeks Compensation for Loss of Commission

Class action investigators are reaching out to United States residents who currently work as a VW salesman and who suffered losses in commission after news of the dieselgate scandal broke out.

After it was revealed that Volkswagen sold diesel cars that had much higher emission levels than advertised, VW salesmen had a difficult time making reasonable income due to the drop in demand.

When demand for these vehicles dropped, VW salesmen faced much harder times making sales, as fewer vehicles were being sold. Even though the automobile company allegedly knew the full extent of the potential fallout of the dieselgate scandal, the company allegedly failed to warn VW salesmen and other employees about how the news could affect them.

A class action lawsuit has already been filed against Volkswagen, alleging the company failed to warn or protect their VW salesmen from the fallout of the dieselgate scandal. Plaintiff Mickey Gaines is filing this VW salesmen class action lawsuit on behalf of himself and other similarly situated, alleging he had lost significant income working as a VW salesman.

Since VW salespersons are typically paid by commission, they are not eligible for minimum wage benefits, and are not guaranteed a basic minimum salary. VW salesmen are normally paid based on the “front end” of the vehicle sales, which is the different between the dealer’s invoice cost and the amount the customer actually paid, typically in the neighborhood of $150.

Gaines began work as a VW salesman in 2011, building a loyal customer base that initially resulted in sales and repeat customers. Gaines claims he and other VW salesmen were relying on the company’s status and reputation of being one of the world’s largest car companies and producing cars environmentally friendly.

However, the Environmental Protection Agency (EPA) alleges the company implanted “defeat devices” in 11 million cars worldwide, which produced faulty results for the emissions tests. At all times relevant, Gaines allegedly suffered from significant financial strain while working as a VW salesman.

Gaines ultimately alleges he and other VW salesmen were not aware of the brewing dieselgate scandal and were caught off guard when it was announced.

Overview of VW Emissions Scandal

The dieselgate scandal refers to when it was discovered in 2015 that the diesel emissions were higher than what the product label stated.

According to the Notice of Violation letter to Volkswagen to America on Sept. 18, 2015, the EPA stated it had discovered 500,000 VW diesel cars sold in America had produced 40x more diesel emissions than permitted under the Clean Air Act.

Volkswagen has since admitted that over 11 million vehicles are affected by the emissions scandal, with a defeat device installed on the cars’ engine software. This software allegedly manipulated the results of the emissions test, which told the car when it was being tested and to cut down on diesel emissions through various “clean diesel” techniques.

Gaines is filing this VW salesmen class action lawsuit on behalf of himself and others similarly situated, alleging the company failed to notify them of a potential scandal.

This VW Salesman Class Action Lawsuit is Mickey Gaines v. Volkswagen Group of America Inc., Case No. 3:17-cv-01114-CRB, in the U.S. District Court of Northern California, San Francisco Division.

Join a Free Volkswagen Sales Commissions Class Action Lawsuit Investigation

If you worked as a Volkswagen sales representative when the VW dieselgate scandal broke and you saw a drop in your commissioned sales, you may qualify to join this VW sales representative class action lawsuit investigation.

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