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Details behind Model X owner’s $5M+ class action lawsuit against Tesla
Following our report that a Model X owner has filed a class action law suit against Tesla, claiming a widespread defect in the vehicle’s onboard software causes sudden unattended acceleration (SUA), new details behind the suit have been obtained by Teslarati that shows a legal team aggressively targeting the core component to the Silicon Valley-based electric car maker’s fleet of vehicles.
The class action filed in federal district court claims Ji Chang Son – Korean star residing in Orange County, Calif. – crashed through his garage and into the living room of his home after his Tesla Model X accelerated suddenly and without warning on September 10, 2016, approximately one month after Mr. Son took delivery of the electric SUV. The suit claims that “Tesla has failed to properly disclose, explain, fix, or program safeguards to correct the underlying problem of unintended acceleration”, adding that “over sixteen thousand Model X owners with vehicles that could potentially accelerate out of control.
Son’s attorneys gave the court a full account of the development of the Model X, focusing on the company’s claim that the Model X is “the safest, fastest and most capable sport utility vehicle in history.” On the contrary, according to Son’s attorneys. They allege the Model X has a safety defect that permits the car to accelerate at full speed directly into solid objects, such as the exterior wall of Son’s home. In particular, they point out that 8 written complaints have already been filed with the National Highway Transportation Safety Administration from other Model X owners who report similar occurrences while driving their cars.
The lawsuit reads,
“Irrespective of whether the SUA events in the Model X are caused by mechanical issues with the accelerator pedal, an unknown failure in the electronic motor control system, a failure in other aspects of the electrical, mechanical, or computer systems, or some instances of pedal misapplication, the Model X is defective and unsafe. Tesla’s lack of response to this phenomenon is even more confounding when the vehicle is already equipped with the hardware necessary for the vehicle’s computer to be able to intercede to prevent unintended acceleration into fixed objects such as walls, fences, and buildings.
Despite repeated instances of Model X drivers reporting uncommanded full power acceleration while parking, Tesla has failed to develop and implement computer algorithms that would eliminate the danger of full power acceleration into fixed objects.This failure to provide a programming fix is especially confounding for a vehicle that knows when it is located at the driver’s home and is being parked in the garage, yet carries out an instruction, regardless of whether through an error by the vehicle control systems or by driver pedal misapplication, to accelerate at full power into the garage wall.
Further, not only has Tesla failed to fix the problems, it has chosen instead to follow in the footsteps of other automobile manufacturers and simply blame the driver.”
One problem, according to Son’s attorneys, is the software that controls the Automatic Emergency Braking system. Tesla has programmed that feature to disengage in order to allow drivers to make emergency maneuvers, “in situations where you are taking action to avoid a potential collision. For example:
- You turn the steering wheel sharply.
- You press the accelerator pedal.
- You press and release the brake pedal.
- A vehicle, motorcycle, bicycle, or pedestrian, is no longer detected ahead.”
In other words, say the attorneys, a Model X will drive straight into a solid wall if that is what the system thinks the driver wants it to do. “Apparently, this includes situations where the computer believes, rightly or wrongly, that the driver is commanding full power acceleration directly into fixed objects immediately in front of the vehicle.”
Class action lawsuits are complex and highly specialized legal actions. Federal law requires that the damages alleged for the entire class exceed $5 million. The plaintiff’s attorney have done so by claiming that Tesla is aware of at least two other instances in which drivers allege sudden unintended acceleration occurred while driving their Model X at low speeds. They then extrapolate those numbers to suggest that the rate of SUA incidents attributable to the Model X is 64 per 100,000 vehicles — substantially higher than for any other vehicle in history.
They point out that the incidence rate of SUA incidents for Toyota vehicles — which grabbed national headlines in 2010 — was far lower. They then go on to remind the court that Toyota paid several hundred million dollars to SUA victims as well as a $1.2 billion federal fine. Notice that the chart included in the pleadings shows an exaggerated and disproportionate projected SUA incidence rate for the Model X highlighted in bright red.
Tesla says its data retrieved from the vehicle’s blackbox shows the accelerator in Son’s Model X was fully depressed when the accident occurred. The question for the court will be whether the driver pressed the wrong pedal or whether the vehicle accelerated on its own. It is unclear whether a software failure would register the pedal as fully depressed even if it was not physically operated by the driver.
Plaintiffs always have the burden of proving their allegations. Attorneys for injured parties often rely on a legal doctrine known as res ipsa loquitur, which is Latin for “the thing speaks for itself.” Loosely translated, it means “we don’t know what is wrong with your product that you designed and built, but you know or should know.” Res ipsa loquitur shifts the burden of proof onto the defendant, which makes it much easier for a plaintiff to prevail in court.
One advantage the plaintiff gains from filing suit is the ability to discover what information Tesla has that is not yet public. Does Tesla know something it isn’t telling its customers? We may find out as this litigation goes forward.
We’ve provided a copy of the entire class action filing below.
[pdf-embedder url=”http://www.teslarati.com/wp-content/uploads/2017/01/Son-vs-Telsa-class-action-8-16-cv-2282.pdf”]
News
Tesla Semi is already winning over truck drivers
The consensus among participants is clear: the Semi feels quieter, quicker, and far less physically demanding than diesel rigs while delivering three times the power and dramatically lower operating costs.
Tesla’s all-electric Semi is proving more than just a flashy concept as it is winning converts among the professionals who know trucks best.
As fleets roll out Pilot Programs for Tesla across North America, drivers are raving about the Class 8 electric truck’s unique features, including a centered driver’s seat, massive touchscreen visibility, instant torque, and absence of gear-shifting fatigue.
These features are transforming long days behind the wheel into noticeably easier, less stressful shifts.
Tesla Semi pricing revealed after company uncovers trim levels
In a recent Wall Street Journal profile of early pilots, Dakota Shearer of IMC Logistics described backing out of a tight spot he had mistakenly entered:
“I backed right out of there, no problem. It’s like I’d never done it in the first place. That right there showed me that the technology the Tesla has makes a big difference.”
His colleague Angel Rodriguez of Hight Logistics, who switched from a 13-speed diesel, agreed:
“It’s just easier on your body. It’s less stressful because you’re not really having to engage the clutch and the stick shift.”
Veteran drivers in other tests echo the same enthusiasm. Tom Sterba, a Senior Driver at Saia, spent days testing the Semi and came away impressed with the navigation and overall feel:
“The navigation systems in these trucks are just unbelievable. That’s what I love about it.”
Sterba summed up the experience with a line that has since gone viral among trucking circles:
“I hope I retire in this truck.”
Pilot programs with ArcBest, thyssenkrupp Supply Chain Services, and Mone Transport delivered similar feedback. Drivers consistently praised the center-seat layout for eliminating blind spots, the smooth acceleration, and the overall comfort and safety.
Real-world data backed the hype, as ArcBest logged thousands of miles at efficient consumption rates, even over the challenging routes, like Donner Pass, while other fleets beat Tesla’s own efficiency targets.
The consensus among participants is clear: the Semi feels quieter, quicker, and far less physically demanding than diesel rigs while delivering three times the power and dramatically lower operating costs.
The latest chapter in the Semi’s story arrived just days ago on Jay Leno’s Garage, as Leno became the first outsider to drive the updated long-range production model, joined by Tesla Chief Designer Franz von Holzhausen, and Semi Program Director Dan Priestley.
Tesla reveals various improvements to the Semi in new piece with Jay Leno
The episode revealed major upgrades heading to volume production this year: the truck sheds roughly 1,000 pounds, adopts a 48-volt architecture, switches to fully electric steering with Cybertruck-derived actuators, and uses 4680 battery cells engineered for an over-one-million-mile lifespan.
Aerodynamics improved, enabling a 500-mile range on the long-haul version, and about 325 miles on the shorter-wheelbase standard-range model. Megachargers can now deliver up to 1.2 megawatts, adding roughly 300 miles in about 30 minutes.
Leno hauled heavy loads and marveled at the turning radius and effortless power delivery. “I don’t feel like I’m pulling anything,” he said during the episode.
With hundreds of Semis already accumulating over 13.5 million fleet miles and high uptime, the future of heavy-duty trucking looks electric. Drivers are giving raving reviews, and they’re ready to climb aboard the electric trucking industry for good.
Investor's Corner
Tesla and SpaceX to merge in 2027, Wall Street analyst predicts
The move, Ives argues, is no longer a distant possibility but a logical next step, fueled by deepening operational ties, shared AI ambitions, and Elon Musk’s vision for dominating the next era of technology.
Tesla and SpaceX are two of Elon Musk’s most popular and notable companies, but a new note from one Wall Street analyst claims the two companies will become one sometime next year, as 2027 could see the dawn of a new horizon.
In a bold new research note, Wedbush analyst Dan Ives has reaffirmed his long-standing prediction: Tesla and SpaceX will merge in 2027.
The move, Ives argues, is no longer a distant possibility but a logical next step, fueled by deepening operational ties, shared AI ambitions, and Elon Musk’s vision for dominating the next era of technology.
He writes:
“Still Expect Tesla and SpaceX to Merge in 2027. We continue to believe that SpaceX and Tesla will eventually merge into one company in 2027 with the groundwork already in place for both operations to become one organization. Tesla already owns a stake in SpaceX after the company’s $2 billion investment in xAI got converted to SpaceX shares following SpaceX’s acquisition of xAI earlier this year initially tying both of Musk’s ventures closer together but still represents <1% of SpaceX’s expected valuation. The recent announcement of a joint Terafab facility between SpaceX and Tesla further ties both operations together making it more feasible to merge operations given the now existing overlap being built out across the two with this the first step.”
The groundwork is already being laid. Earlier this year, SpaceX acquired xAI, converting Tesla’s $2 billion investment in the AI startup into a small equity stake, less than 1 percent, in SpaceX.
Regulatory filings cleared the transaction in March 2026, formally linking the two Musk-led companies financially for the first time. Then came the announcement of a joint TERAFAB facility in Austin, Texas: two advanced chip factories, one dedicated to Tesla’s AI needs for vehicles and Optimus robots, the other targeting space-based data centers.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
Ives calls Terafab the “first step” toward full operational integration.
SpaceX’s impending IPO, expected as soon as mid-June 2026, will turbocharge these plans. The company aims to raise approximately $75 billion at a roughly $1.75 trillion valuation, far exceeding earlier estimates.
Proceeds will fund Starship rocket flights, a NASA-contracted lunar base, expanded Starlink services across maritime, aviation, and direct-to-mobile applications, and crucially, orbital AI infrastructure
A major driver is the exploding demand for AI compute. U.S. data centers are projected to consume 470 TWh of electricity by 2030, constrained by power grids and land.
🚨 Wedbush’s Dan Ives says that Tesla and SpaceX will merge in 2027. SpaceX will IPO soon, his new note says:
“According to media reports, SpaceX could file a prospectus for an IPO imminently with the goal of raising ~$75 billion above the prior expectation of ~$50 billion…
— TESLARATI (@Teslarati) March 27, 2026
SpaceX’s strategy, launching millions of solar-powered satellites to host data centers in orbit, bypasses Earth’s energy bottlenecks. Solar energy captured in space avoids atmospheric losses and day-night cycles, offering a scalable solution for AI training and inference.
The xAI acquisition ties directly into this vision, positioning the combined entity as a leader in extraterrestrial computing.
The merger would create a formidable conglomerate spanning electric vehicles, robotics, satellite communications, human spaceflight, and defense.
Ives highlights SpaceX’s role in the Trump administration’s “Golden Dome” missile defense shield, which would leverage Starlink satellites for tracking.
For Tesla, access to SpaceX’s launch cadence and orbital assets could accelerate autonomous driving, Robotaxi fleets, and Optimus deployment.
Musk, who has signaled his desire to own roughly 25 percent of Tesla to steer its AI future, views the combination as essential to overcoming fragmented regulatory scrutiny from the FTC and DOJ.
Challenges remain. Antitrust hurdles could delay or reshape the deal, and shareholder approvals on both sides would be required. Yet Ives remains bullish, maintaining an Outperform rating on Tesla with a $600 price target, implying substantial upside from current levels. The analyst sees the merger as the “holy grail” for consolidating Musk’s disruptive tech empire.
If realized, a 2027 Tesla-SpaceX union would not only reshape corporate boundaries but redefine humanity’s trajectory in AI and space exploration. It would mark the moment two pioneering companies become one unstoppable force, pushing the limits of what’s possible on Earth and beyond.
News
Tesla ‘Killer’ heads to the graveyard as AFEELA taps out
SHM has officially discontinued development of its highly anticipated AFEELA electric vehicles. On March 25, the joint venture between Sony and Honda announced it would halt the AFEELA 1 luxury sedan and a planned SUV model.
There have been many Tesla “Killers” over the years, all of which have either failed to dethrone the automaker from its dominance in the United States, or even make it to the market altogether.
The Sony Honda Mobility (SHM) project, known as AFEELA, is the latest to make it to the grave, as the company announced its intentions to abandon the project earlier this week, Bloomberg reported.
SHM has officially discontinued development of its highly anticipated AFEELA electric vehicles. On March 25, the joint venture between Sony and Honda announced it would halt the AFEELA 1 luxury sedan and a planned SUV model.
🚗 Tesla Killers Graveyard:
Sony-Honda AFEELA
The sleek, AI-packed luxury sedan with PlayStation integration. Officially cancelled in March 2026 after Honda scaled back its EV plans.Fisker Ocean
Stylish SUV with solar roof promises. Company filed for bankruptcy in 2024 amid… https://t.co/Om14UhISOy— TESLARATI (@Teslarati) March 26, 2026
The decision follows Honda’s March 12 reassessment of its electrification strategy, which scrapped several upcoming EV programs amid slowing demand, high costs, and shifting market conditions.
SHM stated that it could no longer rely on key Honda technologies and manufacturing assets, leaving “no viable path forward.” Reservation fees for early buyers in California are being fully refunded, and the joint venture’s future is now under review.
Launched with fanfare in 2022, the AFEELA was positioned as a tech-forward premium EV blending Honda’s engineering reliability with Sony’s entertainment and AI expertise.
Prototypes featured advanced autonomous driving systems, immersive in-cabin displays, and even PlayStation integration, earning it early media labels as a potential “Tesla Killer.”
Priced around $90,000, the sedan was slated for limited production at Honda’s Ohio plant with deliveries targeted for late 2026. Industry watchers saw it as a serious challenger to Tesla’s dominance in software, connectivity, and premium appeal.
Yet, like many ambitious EV projects, it fell victim to broader industry headwinds: softening consumer demand, persistent high interest rates, and intense competition from established players.
The AFEELA joins a long list of vehicles once hyped as “Tesla Killers” that failed to deliver. In the late 2010s, Fisker’s second act, the Ocean SUV, promised stylish design and solid-state battery tech but collapsed into bankruptcy in 2024 after production delays, quality issues, and financial shortfalls.
Faraday Future poured billions into the FF 91 luxury sedan, touting it as a hyper-tech rival with unmatched performance and features; the company delivered fewer than 100 vehicles before fading into obscurity.
Lordstown Motors’ Endurance electric pickup generated massive pre-order buzz and Wall Street excitement but imploded after exaggerated range claims, a factory sale, and eventual bankruptcy.
Even Lucid Motors’ Air sedan, frequently called a Tesla slayer for its superior range and luxury, has struggled with sluggish sales and missed growth targets despite strong reviews.
Rivian’s R1T and R1S trucks enjoyed similar early acclaim and a blockbuster IPO, yet production ramp-up challenges and profitability woes have prevented it from dethroning Tesla.
The AFEELA’s quiet demise underscores a harsh reality in the EV sector. While Tesla’s first-mover advantage in software, charging infrastructure, and brand loyalty remains formidable, legacy automakers and tech newcomers alike continue to underestimate the complexities of scaling affordable, desirable electric vehicles.
As market realities force tough choices, the graveyard of “Tesla Killers” grows longer, another reminder that innovation alone is rarely enough to topple an established leader.
