A German company running a fleet of Volkswagen vehicles is planning to sue the company for misrepresenting its vehicles as environment friendly.

Reports say the German fish distributor  Deutsche See is the first major German customer to sue the company over its diesel test 'cheats'. Deutsche See is one of Germany's major fish and seafood producers.

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Media reports in Germany say that Bremerhaven-based Deutsche See leases about 500 vehicles from Volkswagen and has been unable to reach an out-of-court settlement.

German tabloid Bild am Sonntag said Deutsche See was suing for EUR11.9m, which it wants as recompense for leasing fees paid on its fleet since 2009.

"Deutsche See only went into partnership with VW because VW promised the most environmentally friendly, sustainable mobility concept," said a statement from Deutsche See.

German media reports that Deutsche See filed its complaint for 'malicious deception' at the regional court in Braunschweig, near Volkswagen's Wolfsburg headquarters.

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Volkswagen is facing a number of class-action legal cases from individual owners, regulators, dealers and local government agencies in the US. The Deutsche See case if the first brought by a large corporate customer in VW's domestic market and how VW responds is sure to be closely watched by – among others – other VW fleet customers.