deneme bonusu
Tesla hit with right-to-repair class action lawsuits alleging monopolistic practices | Insider Feeds %

Tesla hit with right-to-repair class action lawsuits alleging monopolistic practices




In a nutshell: Tesla is no stranger to lawsuits, but the two new antitrust claims filed against the company aren’t so much related to the cars themselves but the high prices and long waits at the EV giant’s service centers, allegedly a result of its monopolistic practices. “Once consumers have purchased a Tesla EV, they are locked into repair and maintenance services specific to their Tesla vehicles,” said one of the complaints.

A proposed class action lawsuit was brought in US District Court, Northern District of California, by Model S owner Virginia Lambrix on Tuesday. She says Tesla caused her to suffer lengthy delays in repairing or maintaining her vehicle.

The suit claims that purchasing a Tesla locks the customer into repair and maintenance services specific to their vehicle. Unlike traditional gas-powered automobiles that allow owners numerous options from different companies when it comes to parts, repairs, and maintenance – or carrying out work on the vehicles themselves – Tesla owners are limited to using Tesla parts and receiving services from the company or its approved service centers. The suit says this is because Tesla “purposely designs its vehicles” to give it a monopoly on repairs and maintenance.

Tesla restraints have resulted in “exorbitant wait times” for drivers who, in other circumstances, would have gone to an independent repair shop, the suit adds.

The company is accused of charging “supracompetitive prices” for its parts and servicing. It’s also claimed that the EV firm’s warranties and policies make threats to owners about losing coverage should their car be serviced outside of Tesla.

The suit calls for Tesla to dismantle its repair services and parts monopoly. It is also ordered to make its repair manuals and diagnostic tools available to individuals and independent repair shops at a reasonable cost.

A second, almost-identical suit was filed Wednesday by Robert Orendain. Both class actions would include anyone who has paid for Tesla repairs or parts since March 2019.

As Reuters notes, the right-to-repair movement is impacting companies beyond just Tesla. Harley-Davidson is facing a similar class action suit, and farmyard equipment maker John Deere, which locks its products so customers cannot repair them without going through an authorized dealer, is also defending against allegations in federal district court.


Source link

Subscribe to our magazine

━ more like this

Understanding and Excelling in the HSC Short Syllabus in Bangladesh

Introduction: The Higher Secondary Certificate (HSC) Short Syllabus in Bangladesh has been introduced to overcome academic challenges and ensure effective learning. This comprehensive guide explores...

A Detailed Exploration of SSC Exam Routine 2024 in Bangladesh

Introduction: Embarking on the academic journey, the Secondary School Certificate (SSC) exam holds paramount significance for students in Bangladesh. This comprehensive guide navigates the intricacies...

A Comprehensive Guide to PESP Finance Gov BD

Introduction: In the intricate world of financial management, PESP Finance Gov BD emerges as a key player. This comprehensive guide explores the various aspects of...

Innovative Uses for Coffee Burlap Bags in Your Garden

Demystifying Coffee Burlap Bags Before we dive into their myriad uses, let's acquaint ourselves with coffee burlap bags. Made from robust natural burlap fibers, they're...

Unlocking the Benefits of Online Shopping with Credit Cards: Why OneCard Might Be Your Best Bet?

Indians are increasingly opting for online shopping over in-store purchases, with credit card transactions online outpacing those at physical Point of Sale (PoS) locations...