Investor Test Case in Volkswagen Emissions Scandal Goes to Court Next Week

Outcome of lawsuit brought by Deka Investment would inform rulings on hundreds of other pending investor lawsuits

BERLIN—Volkswagen AG could have to pay as much as $11 billion in damages related to its diesel emissions-cheating scandal if a German court sides with investors in a lawsuit that goes to trial next week.

The suit represents the most significant outstanding legal challenge still facing the company in the wake of the three-year-old scandal.

The...