By Top Class Actions  |  February 4, 2026

Category: Auto News
Volkswagen Teramont,Closeup of a clean motor block, . Internal combustion engine
(Photo Credit: Everyonephoto Studio/Shutterstock)

Volkswagen class action lawsuit overview:

  • Who: Four consumers filed a class action lawsuit against Volkswagen Group of America Inc., Audi of America Inc., and their parent companies.
  • Why: The plaintiffs claim certain Volkswagen and Audi vehicles have defective engines that consume excessive oil.
  • Where: The class action lawsuit was filed in New Jersey federal court.

A new class action lawsuit alleges Volkswagen and Audi vehicles equipped with a certain engine have a defect that causes excessive oil consumption.

Plaintiffs Lauren Reece, Margaret Ponder, Diana Ferrara and Loretta Moutra claim Volkswagen and Audi vehicles equipped with the EA888 2.0-liter TSI engine have an oil consumption defect that causes carbon buildup.

The plaintiffs claim the carbon buildup causes the positive crankcase ventilation (PCV) valve to stick, resulting in crankcase overpressurization that damages seals and expands and cracks the plastic oil pan cover, resulting in substantial oil leaks and consumption.

“Had Plaintiffs and the other Class Members known about the Defect, they would not have purchased or leased the Class Vehicles or would have paid substantially less for them,” the Volkswagen class action says.

Volkswagen, Audi refuse to honor warranties, plaintiffs claim

The plaintiffs argue the defect is covered by Volkswagen and Audi’s warranties, however the automakers refuse to honor the warranties.

“Moreover, Defendants have not released or made freely available a countermeasure that adequately fixes the Defect, including more robust piston rings,” the Volkswagen class action says.

They want to represent a nationwide class and state subclasses of consumers who purchased or leased a Volkswagen or Audi vehicle equipped with the EA888 2.0-liter TSI engine.

The plaintiffs claim Volkswagen and Audi are guilty of breach of express and implied warranties, fraudulent omission and violations of state consumer protection statutes.

They demand a jury trial and request declaratory and injunctive relief and an award of compensatory, exemplary, statutory and punitive damages for themselves and all class members.

Recently, Volkswagen recalled 356,000 Audi vehicles due to a software error that may prevent the rearview camera image from displaying correctly.

Have you ever purchased a Volkswagen or Audi vehicle equipped with this engine? Let us know in the comments.

The plaintiffs are represented by James E. Cecchi and Caroline F. Bartlett of Carella Byrne Cecchi Brody & Agnello P.C. and W. Daniel “Dee” Miles III, H. Clay Barnett III, James Mitchell “Mitch” Williams, Dylan T. Martin and Trenton H. Mann of Beasley, Allen, Crow, Methvin, Portis & Miles P.C.

The Volkswagen class action lawsuit is Lauren Reece, et al. v. Volkswagen Aktiengesellschaft, et al., Case No. 2:26-cv-00745, in the U.S. District Court for the District of New Jersey.


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93 thoughts onVolkswagen class action alleges vehicles have oil consumption defect

  1. Sukie Gruesbeck says:

    How do I join this class action lawsuit? This is the exact issue with my VW Passat 2022. So disappointing.

  2. Rheann Giomo says:

    I have a 2022 Tiguan and had the PCV valves replaced twice in 8 months. Luckily warranty has covered it all…so far. I don’t have faith in this vehicle anymore though.

  3. Antonia Ramirez says:

    How do I sign up for the class action lawsuit? I’ve replaced my water pump, fuel injector harness and now my atlas is at the dealship for oil consumption and their asking for 3500, and state they can’t cover anything. My car is a 2022 Volkswagen Atlas 2.0

  4. Julia McFarland says:

    I have the same issue with my 2019 Volkswagen Tiguan sounds to me like this should be enough issues to create a recall, can I be added to the case?

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