tesla hit with class action lawsuit
IRVINE, CA - July 23, 2019
The Law Offices of Edward C. Chen has filed a class action lawsuit against Tesla, Inc. on behalf of Plaintiff Hugh Nguyen.
The lawsuit, titled Hugh Nguyen v. Tesla, Inc., case number 8:19-cv-01422-JLS-JDE, filed in the U.S. District Court, Central District of California, arose after Tesla’s continuous denial of a battery replacement for Nguyen’s Tesla Model S 60 vehicle.
Our client purchased a used, certified pre-owned (CPO) Tesla vehicle in late 2017. Despite promising a full inspection of the car prior to purchase, Tesla failed to disclose any material information regarding such inspection and failed to inform Nguyen that his car was only capable of reaching 166 miles at maximum battery capacity as opposed to the EPA rated 210 mile estimate for the same year’s model.
Our client learned for the first time after driving the car home that the battery was severely degraded and potentially defective, and notified Tesla immediately without any success. The complaint includes allegations of Tesla’s various violations of state and federal warranty and consumer protection laws.
Ed Chen, lead attorney for the plaintiff and proposed class members in the case, stated,
“This lawsuit is the culmination of and a last resort effort to bring attention to Tesla’s fraudulent and deceptive business practices. What started as a minor and relatively simple warranty battery replacement case, further investigation has necessitated this action to bring justice for Mr. Nguyen.
My client has been beyond reasonable throughout the entire process of these claims, yet Tesla has unreasonably and, unlawfully, chosen to ignore and neglect the duties it owes to consumers nationwide and those that have suffered similarly as he (Mr. Nguyen) did.
I certainly believe that they (Tesla) are aware of these issues and have had every reasonable way and opportunity to make things right. Unfortunately their unwillingness to abide by their own promises has uncovered more details and sheds light further into their fraudulent intent.”
Subsequently, it was discovered that Tesla had potentially failed to display and provide purchasers of its used vehicles with the written “Buyer’s Guide” form as required by federal law.
The Federal Trade Commission (FTC) is the governmental authority tasked with enforcing the law and can fine offenders and used-car dealers like Tesla with penalties of up to $42,350 per violation.
It is estimated that over 13,000 used, certified pre-owned, Tesla vehicles were sold by Tesla beginning from April 2015. Based on these numbers alone, Tesla would therefore be subject to a payment of penalties for $500,000,000 (five-hundred million dollars) or more if the FTC were to seek the maximum penalty per violation in a separate enforcement action.
If you or someone you know has purchased a car from Tesla and have been denied a rightful under-warranty repair, you may be able to recover a portion of costs and damages by joining in the suit as class member.
