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$1.7 Billion Lost! Cargo Ship Fire Sinks Nearly 4000 Cars into the Deep Sea: Volkswagen Sued Twice

La Mu Tue, Mar 12 2024 10:43 PM EST

On March 8th, do you remember last year's incident with the car transport roll-on/roll-off ship fire in the Atlantic? Well, Volkswagen not only lost $1.7 billion due to this incident but is also facing two lawsuits as a result.

Reportedly, in February 2022, the Felicity Ace cargo ship caught fire and eventually sank into the depths of the Atlantic, with approximately 4000 cars destroyed in the fire, most of which belonged to various brands under the Volkswagen Group.

According to overseas media reports, Volkswagen has been sued twice over this incident, as the plaintiffs believe the fire was caused by a Porsche (possibly a Taycan).

The reports suggest that a Porsche caught fire due to a lithium-ion battery pack while being transported to a customer. The plaintiffs argue that in the shipwreck incident, one out of 1100 Porsches experienced a similar situation, ultimately leading to the fire and resulting in a catastrophic event.

One of the lawsuits was filed in Stuttgart, the headquarters of Porsche, by the cargo ship operator Mitsui O.S.K. Lines and the insurer Allianz SE of the Felicity Ace.

Interestingly, this lawsuit was initiated a year ago, but due to mediation negotiations for a second lawsuit conducted at the Brunswick court in Lower Saxony, Germany, the proceedings were halted. If no settlement is reached, the lawsuit will resume.

According to documents related to the initial 2023 lawsuit, the plaintiffs allege that Volkswagen concealed information regarding risks associated with transporting electric cars. Additionally, the lawsuit filed in the Stuttgart court alleges that Volkswagen failed to disclose necessary precautions for safely transporting vehicles. Sf9a41ad2-edbd-48eb-b6cc-c9de7256dc5d.png