— A Mercedes-Benz C300 fuel leak class action lawsuit won't be dismissed even though Mercedes issued an extended warranty and reimbursement program for the problem.
The four owners who filed the fuel leak lawsuit assert 2015-2019 Mercedes C300 (W205) vehicles leak fuel into the engine compartments from the fuel line connections to the fuel pumps.
The Mercedes class action alleges the automaker knew about the fuel leak problem when the plaintiffs purchased their C300 vehicles. But instead of warning the plaintiffs, Mercedes-Benz allegedly concealed the information from the plaintiffs and all consumers.
According to the Mercedes C300 fuel leak lawsuit, the vehicles are dangerous because vehicle occupants suffer from fuel odors in the cabins. Leaking fuel in the engine compartments can also cause vehicles to stall, or may even cause a fire if fuel makes contact with a hot ignition source.
And by not admitting that fuel would leak into the engine compartments, the Mercedes lawsuit alleges the automaker concealed how the alleged problem would cause a loss of resale value. In addition, the plaintiffs contend they were never warned about the cost associated with the fuel leaks, even when the vehicles are covered by warranties.
Mercedes-Benz has also allegedly been unable and/or unwilling to adequately repair the W205 vehicles.
And Mercedes-Benz has also allegedly denied requests to provide a repair under warranty and instead forced C300 customers to pay for repairs with their own money.
Mercedes Fuel Leak Extended Warranty
Mercedes-Benz created a warranty extension program in August 2021 to cover fuel leaks, and a court hearing was held regarding the warranty extension. In addition to covering fuel leak repairs, Mercedes customers would be reimbursed for past repairs.
Mercedes and the plaintiffs didn't reach an agreement and a second amended class action lawsuit was filed in June 2022.
Mercedes-Benz filed a motion to dismiss the lawsuit by arguing the extended warranty and reimbursement program makes all the lawsuit claims moot. Additionally, Mercedes told the judge the claims made by the plaintiffs shouldn't come into play because they have not taken advantage of the new warranty program.
According to Judge William M. Ray, II, a "case is moot if 'the parties lack a legally cognizable interest in the outcome' because 'the court can no longer provide meaningful relief. If a case is indeed moot, district courts lack jurisdiction to hear it."
Mercedes argues other courts have dismissed lawsuits as moot in similar or the same circumstances, namely where an automaker offers a program to repair defects.
But the judge found in the multiple cases referred to be Mercedes, the plaintiffs sought reimbursement for repairs which were covered by a program offered by the defendants.
But in this fuel leak lawsuit, the plaintiffs do not simply seek reimbursement for repairs. Instead, the plaintiffs seek damages to for the diminished value of the vehicles.
According to Judge Ray:
"Plaintiffs specifically allege that the Program fails to provide these damages. Likewise, Plaintiffs allege that the Program does not fix the underlying defect with their vehicles. They assert that the Program provides the same defective parts that caused the fuel leak in the first place."
However, Mercedes asserts the plaintiffs cannot claim the extended warranty program does not address the alleged fuel leak defects until they take advantage of the program.
But the judge ruled the fuel leak lawsuit will continue in court because the plaintiffs sufficiently allege claims for damages not covered by the extended warranty program. Therefore, their claims are not moot.
The Mercedes-Benz fuel leak class action lawsuit was filed in the U.S. District Court for the Northern District of Georgia, Atlanta Division: Rosen, et al., vs. Mercedes-Benz USA, LLC, et al.
The plaintiffs are represented by Webb, Klase & Lemond, LLC, and Sauder Schelkopf.
