Volkswagen Act

[1] In order to maintain government control in the privately owned company, it stipulated that the votes in major shareholder meeting resolutions require 4/5th (80%) agreement.

[3] After a series of challenges from 2007 to 2013, the German parliament finally amended the part in 2013 to EU Court of Justice satisfaction.

The government of the German state Lower Saxony held a voting share of 20.2 percent, which gave it the ability to veto major decisions and prevent takeovers by other shareholders, regardless of the extent of the ownership.

[5] It also allowed the government of Lower Saxony to appoint two members to the Volkswagen Group's board of directors.

In October 2007, the European Court of Justice ruled that the VW law was illegal because of its protectionist nature.