|The European Commission threatened on Thursday to take Germany to court for failing to revoke a law shielding Volkswagen from a hostile takeover in the latest round in a furious legal battle over the future ownership of the car giant. |
Germany had hoped to salvage an important provision of a law that safeguards the role of the state in Volkswagen, the largest European automaker.
But the commission, which polices Europe’s internal market, accused Berlin of flouting an order by the European Court of Justice to dismantle the law.
The so-called VW law, in place since 1960, gives the German state of Lower Saxony a blocking vote that effectively preserves workers from layoffs.
Thursday, June 5, 2008
Europe Warns Germany About Shielding Volkswagen
EU: This is the sort of protectionist laws American Unions salvate over.