German appeals court rules in favor of VW diesel owners

Julian Stratenschulte | picture alliance | Getty Images

A regional appeals court in Karlsruhe on Friday ruled that German Volkswagen dealers must take back cars fitted with illegal software devices or give their customers new vehicles.

The case was brought by owners of VW and Audi cars built in 2009, 2011 and 2013.

It is the first time that a regional appeals court has ruled in favor of VW customers. Volkswagen said it would appeal the ruling at the Federal Appeals Court.