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Tesla withdraws Alameda County lawsuit as Fremont factory returns to normal operations
With the Fremont Factory operating once more, American electric car maker Tesla has decided to formally withdraw its lawsuit against Alameda County, which it filed earlier this month over officials’ refusal to allow the electric car production facility to reopen. The lawsuit’s withdrawal appears to mark the end of Tesla and Alameda’s feud, which ended up involving numerous states and national officials.
As noted in a Reuters report, the dismissal of Tesla’s lawsuits was granted on Wednesday. Filed on May 9, the suit sought injunctive and declaratory relief against Alameda County, due to officials’ decision to keep the Fremont Factory closed despite nearby counties such as Palo Alto allowing Tesla’s facilities to resume operations. The suit followed a set of tweets by Elon Musk, which involved the CEO stating that Tesla will be moving its headquarters and future projects to other states such as Nevada and Texas.
During the same weekend as Elon Musk’s tweetstorm, Tesla published a blog post sharing its extensive Return to Work Playbook, which discusses a series of strategies that were based on the company’s anti-coronavirus initiatives in Gigafactory Shanghai. Tesla’s Shanghai plant was part of a government-mandated shutdown due to the virus, but it was able to gradually reopen and return to normal operations by following a series of stringent safety guidelines.
These guidelines were adapted for the Fremont Factory, but according to the electric car maker in its blog post, the proposed safety features have not been acknowledged by Alameda County. Officials, on the other hand, noted that they were against the reopening of the Fremont Factory because Tesla failed to meet certain safety guidelines, though they did not specify which.
Elon Musk eventually opted to resume operations at the electric vehicle production facility despite the lack of approval from the county. Amidst these, Tesla and Musk received support from numerous entities, from the Bay Area Council, the mayors of Fremont and Palo Alto, US Treasury Secretary Steven Mnuchin, US President Donald Trump, and House Speaker Nancy Pelosi. Officials from other states such as Florida, Oklahoma, and Texas also expressed their support for Tesla.
It did not take long before Alameda County acknowledged Tesla’s Return to Work Playbook. After the electric car maker adjusted some of its safety guidelines as per the county’s request, the Fremont Factory was allowed to reopen and gradually return to operations. Today, vehicle production is ongoing, and vehicles fresh from the factory are being transported on car carrier trucks.
Ultimately, the drama that surrounded Tesla’s primary vehicle production facility in the United States may have seemed like noise for the electric vehicle community, but the fact that it was able to expedite the reopening of the Fremont plant goes a long way towards helping Tesla’s Q2 2020 results. The second quarter of 2020, after all, will be very challenging, considering that it holds the brunt of the coronavirus shutdown, which has affected the global market.
Tesla’s Supercharger Diner in Los Angeles dominated the company’s global usage rankings after just one year, proving the concept is more than just a one-off novelty location that will fade away.
The performance could incite the company to build more locations, something that CEO Elon Musk has hinted at for some time.
Tesla’s Supercharger Diner delivered 21.2 GWh of energy in its first year of operation, the company’s head of Charging, Max de Zegher, revealed on X. Of the top 10 most utilized Supercharger locations in Tesla’s global infrastructure, the Diner in Los Angeles was the most used by drivers, and it wasn’t particularly close:
Tesla Diner opened exactly 1 year ago. Inspiring that futuristic places like this exist.
It’s our highest usage Supercharger in the world: 21.2 GWh delivered in a year, 1.6k sessions/day.
Top 10 Superchargers by energy delivered: https://t.co/9YvJ8lw696 pic.twitter.com/koB3AUJHws
— Max (@MdeZegher) July 21, 2026
On its launch day one year ago, nobody was too sure what the Tesla Diner would be about. It seemed like an interesting concept, and considering it had been in the works for years, it was a highly anticipated launch that many were looking forward to.
Based on its success, we could see additional Diners with Superchargers built throughout the United States, and potentially beyond. Musk has said on several occasions that the company would be willing to bring the Diner idea to more markets.
Tesla makes major change at Supercharger Diner amid epic demand
Of the markets that Musk has mentioned, both Palo Alto and Austin have come to be perceived as ideal selections. However, there are no concrete plans as of now to build new Supercharger Diners anywhere; the location on Santa Monica Boulevard will remain the exclusive spot to pick up Tesla-inspired eats, at least for the time being.
Tesla short sellers won big following the company’s massive fall on Wall Street after it reported subpar Earnings on Wednesday.
Tesla short sellers collected about $4.12 billion in single-day profits on Thursday, according to Bloomberg. Shares fell as much as 15 percent during Thursday’s session. It closed as one of the worst days for Tesla on Wall Street in the past three years.
Investors sold off the stock after Tesla said it would aggressively direct its spending toward AI and its Optimus robot project. The company had record revenues, which were driven by one of the strongest quarters in terms of vehicle deliveries in company history.
However, it missed EPS estimates by reporting just $0.33, a far cry from the $0.53 analysts expected.
S3 Partners reported that about 3 percent of Tesla’s outstanding stock is sold short. Managing Director at S3, Ihor Dusaniwsky, provided the short seller’s potential profit, as well as another figure: shorts have likely had paper gains of $8.92 billion this year, as Tesla shares are down 30 percent in 2026.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla has burned short sellers many times in the past, but the company’s latest Earnings Call was a chance for those skeptics to taste some payback. Although the company gave some very transparent information regarding future projects, the rollout of Robotaxi, Optimus, and Semi, many investors took their profits on Thursday.
Notable short sellers like Michael Burry have been transparent about their skepticism around Tesla shares. Burry just revealed three weeks ago that he had opened up a new short on the stock, stating he shorted Tesla shares at $416.22. “Happy it jumped back to this level,” he said in a blog post.
At the time of publication, Tesla shares were down about 3 percent and the stock was trading at $309.92.
Tesla’s long-standing saga regarding its door handles and a manual release has entered its latest chapter, and as a result, a big change is coming.
On Friday, the National Highway Traffic Safety Administration (NHTSA) denied Tesla’s petition that was seeking a defect investigation into roughly 180,000 Model 3 vehicles for an issue involving the emergency mechanical door release.
🚨 The NHTSA denied a petition from Tesla that would have thrown out concerns regarding its door handles.
NHTSA said Tesla’s petition did not present evidence of a safety-related defect warranting an investigation. The agency said a rulemaking process would be a better strategy. pic.twitter.com/j6PzUBM1mT
— TESLARATI (@Teslarati) July 24, 2026
NHTSA said that Tesla’s petition did not present evidence of a safety-related defect in the door handles or their emergency releases. Instead, the agency determined that it would rather solve the issue of the lack of labeling or location of emergency mechanical door releases and the federal safety rules that govern them.
Essentially, the NHTSA wants to create and enforce rules that would require automakers to make emergency door latch releases more clearly labeled in a car. Despite a Tesla having manual door releases on all four passenger doors, many people do not know they exist or how they work.
Tesla addresses door handle complaints with simple engineering fix
In recent times, Tesla has faced some criticism involving its door handles, specifically because some occupants have reported that they are unable to exit their vehicles after losing power. The door handles on a Tesla are electronically operated, but in the event that the 12V battery dies, there is a manual release that can be used.
The NHTSA only identified a single complaint involving the mechanical door releases: a 2022 Model 3 owner said the release was concealed and unlabeled after the vehicle lost power after a front-end collision. It has also already started to create a separate rulemaking process to make emergency door-egress systems more obvious.
It should be noted that all Teslas have mechanical emergency door releases, but they are placed in various locations as the vehicles have aged and been redesigned from year to year. Refer to the safety manual for your vehicle if you have any confusion about where the emergency releases are and how they work.
Tesla’s Supercharger Diner probably just secured more locations
Tesla short sellers win big after shares fall after earnings
