Tesla
Tesla

Tesla faces lawsuit for allegedly exaggerating EV range in false advertising

What To Know

  • Tesla is currently grappling with the aftermath of a report that alleges the company exaggerated the ranges of its electric vehicles (EVs) and attempted to suppress customer complaints.
  • Should the lawsuit achieve class-action status, it would encompass all California residents who bought a Tesla Model 3, Model S, Model X, or Model Y.
  • This legal action comes in the wake of a Reuters report, which suggests that the Company began modifying its EV ranges approximately a decade ago.
  • Nevertheless, the combination of the report and the ongoing lawsuit suggests that Tesla’s range estimates might be less accurate compared to other brands, and the company may have attempted to suppress grievances from dissatisfied customers.

Tesla is currently grappling with the aftermath of a report that alleges the company exaggerated the ranges of its electric vehicles (EVs) and attempted to suppress customer complaints. Three car owners in California have taken legal action by launching a proposed class action lawsuit, accusing Tesla of false advertising.

According to the plaintiffs, their vehicles fell significantly short of the promised estimated ranges, and despite their attempts to raise concerns, they received no resolution. They claim that had they known the actual ranges, they either wouldn’t have purchased the cars or would have paid considerably less for them.

The lawsuit alleges that Tesla engaged in fraudulent practices, breached warranties, and engaged in unfair competition. Should the lawsuit achieve class-action status, it would encompass all California residents who bought a Tesla Model 3, Model S, Model X, or Model Y. The plaintiffs are seeking unspecified damages. The company’s communications team has been disbanded, and the company is currently unavailable for comment.

This legal action comes in the wake of a Reuters report, which suggests that the Company began modifying its EV ranges approximately a decade ago. The cars purportedly displayed inflated figures when fully charged and only revealed accurate numbers when the charge level dropped below 50 percent. To manage complaints, Tesla is said to have formed a “Diversion Team” to persuade customers to abandon range-related support calls.

While it remains uncertain whether Tesla continues to use such alleged exaggerations, the Environmental Protection Agency did request the company to adjust its range estimates from the 2020 model year onward.

Additionally, South Korea recently imposed a $2.2 million fine on Tesla for allegedly failing to adequately inform customers about the decrease in EV ranges in cold weather.

Although it’s not uncommon for electric cars to fall short of their advertised ranges in real-world conditions, a study by SAE International found that they tend to be approximately 12.5 percent off their stated figures.

Nevertheless, the combination of the report and the ongoing lawsuit suggests that Tesla’s range estimates might be less accurate compared to other brands, and the company may have attempted to suppress grievances from dissatisfied customers.

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