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Tesla faces lawsuit from New Jersey auto dealer association

Original Tesla Roadster on display at Cherry Hill, NJ showroom [Credit: @vivivandeerlin via Twitter]

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Tesla is currently facing a lawsuit from an auto dealer association operating in New Jersey. In a filing submitted on Wednesday to the state’s Superior Court, the New Jersey Coalition of Automotive Retailers (NJ CAR) called for legal action against the electric car maker for what it alleged were violations of multiple laws. 

The dealer association argued in its filing that the New Jersey Motor Vehicle Commission, together with a number of state agencies, have so far failed to enforce consumer protection laws, advertising laws, and franchise and dealer licensing laws regarding the electric car maker. In a statement to Automotive News, Jim Appleton, president of New Jersey’s Coalition of Automotive Retailers, argued that the group does not fear competition from Tesla. Instead, it simply objects to unfair competition. 

“It may appear ironic that the head of a trade association that represents new car dealers is suing the State of New Jersey to urge enforcement of the strict laws that regulate new car dealers. But NJ CAR has spent decades advocating for firm and fair rules that create a level playing field and promote a competitive marketplace that benefits consumers and honest business owners, alike. Neighborhood new car dealers don’t fear competition from Tesla — which accounts for less than 1% of the new car market in New Jersey — they simply object to unfair competition which places consumers at risk and local businesses at a competitive disadvantage,” he said. 

Original Tesla Roadster on display at Cherry Hill, NJ showroom [Credit: @vivivandeerlin via Twitter]

At the center of the dealer association’s lawsuit against Tesla is the electric car maker’s expanding presence in the state. In 2015, New Jersey allowed Tesla to operate four direct sales locations, a rule that the coalition argues was violated when Tesla decided to open a fifth location in the form of a gallery. According to the auto dealers, the fifth location’s distinction as a “gallery” does not mean anything since the electric car maker conducts sales-related actions in the location. Interested customers, for example, could configure their vehicle orders on the gallery. 

“Whether or not any sales are finalized at Tesla’s gallery, the above-mentioned activities that take place at the gallery are designed and intended to lead to a sale and certainly constitute ‘offering vehicles for sale,’” the complaint read. It should be noted that while the dealers’ concerns appear valid, the lawsuit fails to account for the fact that customers do not need to be in a Tesla gallery or store to configure their vehicle order. Due to the company’s simple online configurator, vehicle orders could be completed in any location with mobile internet access

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Apart from its grievances about Tesla’s fifth location, the dealer association also alleged that the state failed to enforce consumer protection laws when the electric car maker pulled a “bait and switch” with the Model 3 by announcing a $35,000 variant of the vehicle and later encouraging its customers to purchase more expensive versions of the electric sedan. This complaint will likely be easily rebutted, considering that the $35,000 Model 3 is available today, albeit as an off-menu item. Business practices that incentivize consumers to purchase higher-end products are pretty common as well, in both the auto and tech sphere. 

Tesla’s volunteer owners help out during the company’s end-of-quarter push in Q3 2018. [Credit: Sean M Mitchell/Twitter]

Lastly, the New Jersey Coalition of Automotive Retailers also accused Tesla of misleading consumers by describing its Autopilot system as a “Self-Driving” solution and listing incentives and estimated gas savings in its vehicle pricing. “There is simply no justifiable basis for the State to continue to permit Tesla’s conduct here. When taken together, the actions make it clear that state defendants have chosen to actively ignore Tesla’s unlawful acts and have permitted them to continue,” the coalition wrote in its complaint. 

Similar to its other allegations, the dealers’ complaints about Tesla appear to be the result of misinformation. For example, Autopilot, which comes standard with any Tesla except the $35,000 Model 3, is not advertised as a “self-driving” solution. Tesla’s autonomous driving suite is its Full Self-Driving system, which is separate from Autopilot. Tesla’s configurator also allows customers to view a vehicle’s default purchase price and one that includes potential savings. An explainer on incentives is also present on Tesla’s official website, where all vehicle purchases are made. 

Neither Tesla nor the New Jersey Motor Vehicle Commission has issued a comment about the recently-filed lawsuit. 

Tesla operates differently from traditional automakers since the company does not utilize a dealer network to sell its vehicles. Instead, it sells its cars directly to consumers. This allows Tesla to have full control of vehicle pricing, ensuring that the purchase price of its electric cars is regulated, while making the car buying experience as simple as possible. This strategy is akin to what is being adopted by tech companies such as Apple, whose stores provide interested customers with an opportunity to interact with its products.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla Semi’s official battery capacity leaked by California regulators

A California regulatory filing just confirmed the exact battery size inside each Tesla Semi variant.

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A regulatory filing published by the California Air Resources Board in April 2026 has put official numbers on what Tesla Semi owners and fleet buyers have long wanted confirmed: the exact battery capacities of both the Long Range and Standard Range Semi truck variants. CARB is California’s independent air quality regulator, and it certifies zero-emission powertrains before they can be sold or operated in the state. When a manufacturer submits a vehicle for certification, the resulting executive order becomes a public document, making it one of the most reliable sources for confirmed production specs on any EV.

The document lists two certified powertrain configurations. The Long Range Semi carries a usable battery capacity of 822 kWh, while the Standard Range version comes in at 548 kWh. Both use lithium-ion NCMA chemistry and share the same peak and steady-state motor output ratings of 800 kW and 525 kW respectively. Cross-referencing Tesla’s published efficiency figure of approximately 1.7 kWh per mile under full load, the 822 kWh pack supports roughly 480 miles of real-world range, which aligns closely with Tesla’s advertised 500-mile figure for the Long Range trim. The 548 kWh Standard Range pack works out to approximately 320 miles, again consistent with Tesla’s stated 325-mile target.

Here is a direct comparison of the two versions based on the CARB filing and published specs:

Tesla Semi Spec Long Range Standard Range
Battery Capacity 822 kWh 548 kWh
Battery Chemistry NCMA Li-Ion NCMA Li-Ion
Peak Motor Power 800 kW 525 kW
Estimated Range ~500 miles ~325 miles
Efficiency ~1.7 kWh/mile ~1.7 kWh/mile
Est. Price ~$290,000 ~$260,000
GVW Rating 82,000 lbs 82,000 lbs

The timing of this certification is not incidental. On April 29, 2026, Semi Programme Director Dan Priestley confirmed on X that high-volume production is now ramping at Tesla’s dedicated 1.7-million-square-foot facility in Sparks, Nevada. A key advantage of the Nevada location is vertical integration: the 4680 battery cells powering the Semi are manufactured in the same complex, eliminating the supply chain bottleneck that had delayed the program for years.

Tesla’s long-term goal is to reach a production capacity of 50,000 trucks annually at the Nevada factory, which would represent roughly 20 percent of the entire North American Class 8 market. With CARB certification now in hand and the production line running, the regulatory and manufacturing groundwork for that target is in place.

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Tesla crushes NHTSA’s brand-new ADAS safety tests – first vehicle to ever pass

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Credit: Tesla

Tesla became the first company to pass the United States government’s new Advanced Driver Assistance Systems (ADAS) testing with the Model Y, completing each of the new tests with a passing performance.

In a landmark announcement on May 7, the National Highway Traffic Safety Administration (NHTSA) declared the 2026 Tesla Model Y the first vehicle to pass its newly ADAS benchmark under the New Car Assessment Program (NCAP).

Model Y vehicles manufactured on or after November 12, 2025, met rigorous pass/fail criteria for four newly added tests—pedestrian automatic emergency braking, lane keeping assistance, blind spot warning, and blind spot intervention—while also satisfying the program’s original four ADAS requirements: forward collision warning, crash imminent braking, dynamic brake support, and lane departure warning.

NHTSA administration Jonathan Morrison hailed the achievement as a milestone:

“Today’s announcement marks a significant step forward in our efforts to provide consumers with the most comprehensive safety ratings ever. By successfully passing these new tests, the 2026 Tesla Model Y demonstrates the lifesaving potential of driver assistance technologies and sets a high bar for the industry. We hope to see many more manufacturers develop vehicles that can meet these requirements.”

The updates to NCAP, finalized in late 2024 and effective for 2026 models, reflect growing recognition that ADAS features are no longer optional luxuries but essential tools for preventing crashes.

Pedestrian automatic emergency braking, for instance, targets one of the fastest-rising causes of roadway fatalities, while blind spot intervention and lane keeping assistance address common sources of side-swipes and run-off-road incidents. By incorporating objective, performance-based evaluations rather than mere presence of the technology, NHTSA aims to give buyers clearer data on real-world effectiveness.

This milestone arrives at a pivotal moment when vehicle autonomy is transitioning from science fiction to everyday reality.

Tesla’s Full Self-Driving (FSD) software and the impending rollout of robotaxis underscore a broader industry shift toward higher levels of automation. Yet regulators and consumers remain cautious: safety data must keep pace with technological ambition.

The Model Y’s perfect score on these ADAS benchmarks validates that current driver-assist systems—when engineered rigorously—can dramatically reduce human error, which still accounts for the vast majority of crashes.

For Tesla, the result reinforces its long-standing claim of building the safest vehicles on the road. More importantly, it signals to the entire auto sector that meeting elevated federal standards is achievable and expected.

As autonomy edges closer to Level 3 and beyond, where drivers may disengage more fully, such independent verification becomes critical. It builds public trust, informs purchasing decisions, and accelerates the development of systems that could one day eliminate tens of thousands of annual traffic deaths.

In an era when software-defined vehicles promise transformative mobility, the 2026 Model Y’s NHTSA triumph is more than a manufacturer accolade—it is a regulatory green light that autonomy’s future must be built on proven, testable safety foundations. The bar has been raised. The industry, and the roads we share, will be safer for it.

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Tesla to fix 219k vehicles in recall with simple software update

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Credit: Tesla

Tesla is going to fix the nearly 219,000 vehicles that it recalled due to an issue with the rearview camera with a simple software update, giving owners no need to travel to a service center to resolve the problem.

Tesla is formally recalling 218,868 U.S. vehicles after regulators discovered a software glitch that can delay the rearview camera image by up to 11 seconds when drivers shift into reverse.

The affected models include certain 2024-2025 Model 3 and Model Y, as well as 2023-2025 Model S and Model X vehicles running software version 2026.8.6 and equipped with Hardware 3 computers. The National Highway Traffic Safety Administration (NHTSA) determined the lag violates Federal Motor Vehicle Safety Standard 111 on rear visibility and could increase crash risk.

Yet this is no ordinary recall. Owners do not need to schedule a service-center visit, hand over keys, or wait for parts.

Tesla fans call for recall terminology update, but the NHTSA isn’t convinced it’s needed

Tesla identified the issue on April 10, halted further deployment of the faulty firmware the same day, and began pushing a corrective over-the-air (OTA) software update on April 11.

By the time the NHTSA posted the recall notice on May 6, more than 99.92 percent of the affected fleet had already received the fix. Tesla reports no crashes, injuries, or fatalities linked to the glitch.

The episode underscores a deeper problem with regulatory language. For decades, “recall” meant hauling a vehicle to a dealership for hardware repairs or replacements. That definition no longer fits software-defined cars. When a fix arrives wirelessly in minutes — identical to an iPhone update — the term evokes unnecessary alarm and misleads the public about the actual risk and remedy.

Elon Musk has repeatedly called for exactly this change. After earlier NHTSA actions, he stated plainly: “The terminology is outdated & inaccurate. This is a tiny over-the-air software update.” On another occasion, he added that labeling OTA fixes as recalls is “anachronistic and just flat wrong.”

Musk’s point is simple: regulators must evolve their vocabulary to match the technology. Traditional recalls involve physical intervention and downtime; OTA updates do not. Retaining the old label distorts consumer perception, inflates perceived defect rates, and slows the industry’s shift to faster, safer software iteration.

Tesla’s rapid, remote remedy demonstrates the safety advantage of over-the-air capability. Problems that once required weeks of dealer appointments are now resolved in hours, often before most owners notice. As more automakers adopt software-first designs, the entire regulatory framework needs to catch up.

Updating “recall” terminology would align language with reality, reduce public confusion, and recognize that modern vehicles are no longer static hardware — they are continuously improving computers on wheels.

For the 219,000 Tesla owners involved, the process is already complete. The camera works, the car is safe, and no one left their driveway. That is the new standard — and the vocabulary should reflect it.

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