October 13, 2024 – A group of Mercedes-Benz EQE electric vehicle owners in South Korea have filed a class-action lawsuit against the German automaker and other related parties, accusing them of falsely advertising the batteries used in the EQE models.
The class-action lawsuit arises from a severe apartment fire incident that occurred in Incheon City this August, which was caused by a Mercedes-Benz EQE electric vehicle parked in the apartment complex. The blaze resulted in damage to over 100 vehicles, causing significant economic losses and emotional harm to the owners.
According to local media reports, 24 Mercedes-Benz EQE owners have initiated the lawsuit in the Seoul Central District Court, alleging that “most of the Mercedes-Benz EQE models that caught fire” were equipped with batteries produced by China’s Farasis Energy, despite Mercedes-Benz informing consumers that these vehicles were equipped with batteries from CATL.
The plaintiffs’ lawyer, Ha Jong-sun, stated in a declaration, “We have filed a damages suit in the Seoul Central District Court against seven sales companies, including Mercedes-Benz’s German headquarters, Mercedes-Benz Korea, and Hanseong Motors, as well as two leasing companies, Mercedes-Benz Financial Services Korea.”
Initially, each plaintiff is seeking compensation of 10 million Korean won, and the amount may increase by an additional 70 million Korean won once the Korea Fair Trade Commission announces the results of its investigation into Mercedes-Benz’s false advertising.
Ha Jong-sun further clarified, “Each plaintiff has suffered losses of up to 70 million Korean won due to false advertising, which represents the cost of replacing the battery packs installed in the vehicles. Mercedes-Benz was aware of these defects, or at least became explicitly aware of them after the Incheon parking lot fire, but did not conduct a recall and concealed the defects.”
Since the incident, domestic and overseas automakers in South Korea have been disclosing information about the battery suppliers used in their electric vehicles to enhance transparency and alleviate public concerns regarding battery safety.
