Tesla Lawsuit Claims Alleged Sale of Defective Vehicles, Lemons

Tesla Lawsuit Claims Alleged Sale of Defective Vehicles, Lemons

A former Tesla employee has called foul, filing a new lawsuit against the automaker for demoting and firing him unfairly while revealing questionable alleged sales practices in the process.

According to the lawsuit, as reported by The Verge, the plaintiff, former New Jersey regional manager Adam Williams, was let go from Tesla after revealing a sales practice of not disclosing pre-delivery damage repairs to consumers, equating to sales of “lemons” re-classified as “used” or “loaner” vehicles. These claims were reported to his immediate supervisor, as well as a regional manager and a vice president before receiving two consecutive demotions to service manager and mobile manager, respectively, before Williams’ Sept. 2017 dismissal.

“There’s no merit to this lawsuit. Mr. Williams’ description of how Tesla sells used or loaner vehicles is totally false and not how we do things at Tesla,” said a company representative in a statement.

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“It’s also at odds with the fact that we rank highest in customer satisfaction of any car brand, with more owners saying they’d buy a Tesla again than any other manufacturer. Mr. Williams was terminated at Tesla for performance reasons, not for any other reason.”

Tesla has had a long history of lawsuits filed by consumers and employees. In mid-January 2018, 79 Model S P85D owners in Norway filed a lawsuit for overstated horsepower numbers, in part due to unclear marketing language. In April 2017, Tesla was also sued in a class action by Model S and Model X owners for “dangerously defective” autopilot software belonging to 47,000 sold vehicles.

On the employee front, the company faced a lawsuit by a terminated employee, who called its Fremont, Calif., assembly plant a “hotbed for racist behavior,” which the automaker vehemently denied in a public blog post.

This article originally appeared on HybridCars.com

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