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The third-party funder will be bankrolling over 25,000 claims in a collective action against five titans of the truck industry.
Dublin-headquartered Nera Capital is set to fund a EUR 1 billion antitrust class action as consumers continue to seek redress in the ongoing trucks cartel saga.
The action, which will take place in Germany, is targeting truck manufacturers Daimler, MAN, Volvo/Renault, Iveco and DAF.
In July 2016, the European Commission found the vehicle makers guilty of participating in a price-fixing cartel, with all but MAN – which had blown the whistle on the alliance – hit with a fine totalling EUR 2.93 billion. The five truck giants admitted to their involvement and agreed to settle the case.
The Commission discovered the cartel had colluded on the price of medium and heavy trucks at ‘gross list’ level over a 14-year period between 1997 and 2011, and had also passed on the cost of low-emission technology to customers.
Speaking at the time, Competition Commissioner Margrethe Vestager said the trucks affected accounted for three-quarters of inland transport of goods in Europe, with a total of 30 million trucks on European roads.
The scandal has resulted in a stream of follow-on damages claims in the UK, Europe and beyond. In February 2023, the UK Competition Appeals Tribunal ordered Dutch truck goliath DAF to pay GBP 17.5 million in damages to BT and Royal Mail for overcharging the companies for trucks on both outright purchases and leasing agreements.
Aisling Byrne, director of Nera, which has appointed a German law firm to act for the claimants, said its investment will ensure consumers receive justice for the damage the cartel caused.
“While the cartel stopped running in 2011, the after-effect was felt by truck owners in the following years, and it is important that those affected get their chance for justice,” she said in a statement.
Byrne added that this was a “pivotal moment” for corporate accountability. “This class action is not just about compensation but also about holding accountable those who undermine fair competition.”
In June, Nera – which has committed over GDP 475 million in aggregate into claims – provided a USD 50 million credit facility to Tribeca Capital as it continued its expansion in the US.
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