Tesla has initiated legal proceedings challenging the California Department of Motor Vehicles, aiming to annul a decision made by the agency. The state’s DMV had concluded that Tesla engaged in misleading promotional tactics to exaggerate the autonomous driving features of its vehicles, thereby contravening state law.
This litigation resurrects a controversy that seemed settled last week, after the DMV announced it would not revoke Tesla’s sales and production permits for a month. This decision was based on the fact that the electric vehicle manufacturer had conformed to the directive by ceasing to employ the term “Autopilot” in its California-based promotional content. CNBC initially broke the news of this lawsuit.
The DMV possessed the authority to sanction Tesla but opted against it, despite an administrative law judge having concurred with the DMV’s demand for a temporary revocation of Tesla’s permits for 30 days as a punitive measure. Rather than withdrawing its authorizations, the governmental oversight body granted Tesla two months to adhere.
Tesla indeed conformed, albeit through highly drastic measures. The company not only ceased employing the phrase Autopilot; in January, it fully phased out Autopilot across the U.S. and Canada. It is conceivable that Tesla now laments that choice and is exploring avenues for its reintroduction.
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