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Tesla Model X owner files for Lemon Law protection claiming unfixable defects

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The first Lemon Law suit that we know of has been filed by a California man over the claim that his $162,000 Tesla Model X exhibits ‘weird’ behavior and is dangerous to drive.

Model X owner Barrett Lyon filed suit at Placer County Court in Roseville, CA claiming that the vehicle’s electronically actuated doors have slammed shut on his leg as well as damaged property as a result of its behavior. According to the Courthouse News Service (CNS), Lyon said “The doors do some weird, wicked things. If you get in and slide sideways and accidentally tap the brake, the driver’s side door slams shut on your leg. That’s not a very nice thing to have happen to you.”

Black-Model-X-P90DL-Front-Door-Interior

Tesla Model X self-presenting front doors

The doors he’s referring to isn’t the Model X’s unique dual-hinged falcon wing doors that open out and upwards. Rather, Lyon is claiming that the vehicle’s sophisticated self-presenting and auto-closing front doors have swung open in their garage resulting in damage to the door and other property.

Among other issues being cited in the Lemon Law suit are (quoting Lyon via CNS):

  • Auto Pilot in the rain is extremely dangerous, it causes the car to swerve into different lanes.”
  • “Powered front doors are opening into cars and other obstacles.”
  • “The power door slams are a feature of the Model X, and cannot be disabled”
  • “The touch screen freezes repeatedly, the second row seat causes driver’s seat to fold forward, and the auto park feature does not work 90 percent of the time,”

What’s interesting about this case is that Lyon would appear to be a long time supporter of Tesla being an owner to a Roadster as well as a Model S which he states have not given him any troubles. The Model X on the other hand has been a disappointment and thus remains undriven. “It’s parked. We don’t drive it. It’s basically a really fancy car decoration.”, says Lyon.

Lyon’s suit wouldn’t be the first time Tesla was faced with a Lemon Law challenge. Back in early 2014, the self-proclaimed “Lemon Law King” represented a Model S owner who claimed his newly bought vehicle at the time was out of service for a total of 66 days shortly after his March 2013 purchase due to alleged defects which prevented the vehicle from turning on and driving. Tesla quickly fired back releasing a statement on their blog defending their position, but also questioning the true motives behind the suit.

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This new Lemon lawsuit brought on by Lyon and represented by San Francisco based law firm Anderson, Ogilvie & Brewer could have some merit especially with more widespread reports of the over-engineered “Best car ever” facing quality issues. Tesla CEO Elon Musk continues to reassure potential buyers that the company has increased its quality checks. Musk has gone as far as saying that he personally checks vehicles for quality and has set up a sleeping bag at the end of the production line where he sleeps.

Lyon seeks a refund on the purchase of the vehicle including registration fees. He also seeks damages for breach of warranty and lawyer fees.

Below is a copy of what the California Office of Attorney General defines as the Lemon Law.

California “Lemon Law”: A special provision, often called the “Lemon Law,” helps determine what is a reasonable number of repair attempts for problems that substantially impair the use, value, or safety of the vehicle. The “Lemon Law” applies to these problems if they arise during the first 18 months after the consumer received delivery of the vehicle or within the first 18,000 miles on the odometer, whichever occurs first. During the first 18 months or 18,000 miles, the “Lemon Law” presumes that a manufacturer has had a reasonable number of attempts to repair the vehicle if either (1) the same problem results in a condition that is likely to cause death or serious bodily injury if the vehicle is driven and the problem has been subject to repair two or more times by the manufacturer or its agents, and the buyer or lessee has at least once directly notified the manufacturer of the need for the repair of the problem as provided in the warranty or owner’s manual or (2) the same problem has been subject to repair four or more times by the manufacturer or its agents and the buyer has at least once directly notified the manufacturer of the need for the repair of the problem as provided in the warranty or owner’s manual or (3) the vehicle is out of service because of the repair of any number of problems by the manufacturer or its agents for a cumulative total of more than 30 days since delivery of the vehicle.

Gene has been obsessed with cars since before he could legally sit in the front seat. Writer, researcher, unofficial CS support, accountant, native suit guy when needed, and overall stick poker. He approaches every story the way he approaches a road trip: with too much enthusiasm, not enough planning, and a surprisingly good outcome. gene@teslarati.com

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Tesla starts preparing for Optimus in its smartphone app

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Tesla is starting to prepare for the launch of the Optimus robot in its smartphone app, new coding strings show. Elon Musk has referred to Optimus as what will be the greatest-selling product of any kind of all time, and now, Tesla is getting ready for its launch.

Tesla’s smartphone app had several first-time mentions of the Optimus program, according to Tesla App Updates, who intially reported on the appearance. Here’s what they found:

A Dedicated “Robot” Phone Key Authentication

Tesla is working on a Bluetooth Low Energy, or BLE, authentication that is specifically for robots. This does not only apply to Optimus, though, as Robotaxi, which is Tesla’s autonomous ride-hailing platform, might also identify vehicles within the fleet as robots as well.

Tesla shows rapid teardown of Model S and X lines, paving the way for Optimus at Fremont

Essentially, pairing your phone as a key to anything Tesla identifies as a robot to a “whitelist” of authorized devices. Optimus, Robotaxi, or other products that fall into this category will only respond if the device trying to communicate with it is authorized.

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This is a great security feature that will eliminate at least face-value and low-level threats.

Home Data Collection and System Alerts

This appears to be somewhat of a neural network for Optimus within your house. There will be a dedicated screen that asks for consent to collect both video and spatial data while Optimus performs in-home tasks. Everything from vacuuming, washing dishes, dusting, and other activities will be tracked.

There will also be a comprehensive alert system that will track everything from low battery to mechanical issues.

Other Changes

Most of the changes tracked in this particular app update are related to Tesla’s 2026 Summer Update, and include things such as image assets for new features, a preview of the new custom wraps feature, and other unique features.

You can check out our coverage on what is included with the 2026 Summer Update here:

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Tesla reveals 2026 Summer Update with crazy fixes to Nav and more

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Investor's Corner

Tesla Q2 Earnings: Here’s what to expect

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(Credit: Tesla)

Tesla (NASDAQ: TSLA) will report its earnings for the second quarter of 2026 this evening after market close, and investors and analysts are waiting anxiously to see what the company will report for the second three-month span of the year.

Analysts have already put out their expectations from a financial standpoint for the company’s second quarter, but what’s unknown is what Tesla plans to discuss during the call.

Financial Expectations

Wall Street consensus expectations put Tesla’s Earnings Per Share (EPS) at $0.53, while revenues are expected to come in around $26.4 billion.

This would compare to an EPS of $0.39 and $22.19 billion compared to Tesla’s Q2 2025. Last quarter, EPS came in at $0.41 on $22.387 billion of revenue. Additionally in Q1, Tesla beat analyst expectations, but shares dropped over 3 percent the following trading day.

What We Expect

In terms of discussions, Tesla earnings are pretty sporadic and depend on a handful of things, including current events, investor questions, and more.

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Tesla uses a platform called Say to field questions from investors and analysts. These questions are what will be used during the call. Here are the top 5 from the Retail side and top 3 from the Institutional side:

Retail:

“Tesla has missed short-term guidance on robotaxi 3 earnings reports in a row, from 50% coverage of USA by end of 2025 to most recently 7 new cities in 1H26. What is keeping Tesla back from accomplishing these short term goals that they’ve set for themselves?”

“What are the main constraints to expanding robotaxi operations faster, and how do you see that lining up with Cybercab production?”

“What’s the current status of Optimus Gen 3 production ramp, initial deployment in factories, and external sales timeline/volume for 2027? What tasks can we expect the Optimus to perform by end of 2027?”

“To reward long-term Tesla retail shareholders for their loyalty, can you commit to achieving at least half of the goals outlined in your 2025 compensation plan before considering any offers to acquire or merge Tesla?”

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“Why has growth of robotaxi vehicles stalled? When will we see cybercab start customer rides?”

Institutional

“Previously, you’ve said Tesla would lead the R&D while SpaceX would lead production for Terafab. Can you provide an update on how that division of responsibilities is evolving, and any additional clarity on the expected capital contributions from Tesla and SpaceX?”

“For autonomous driving, Tesla’s fleet created a huge data advantage by collecting billions of real-world miles. That advantage doesn’t yet exist for Optimus. How should we think about data availability and its impact on Optimus development?”

“Why is it necessary to limit robotaxi operations within specific zones within cities to start? Will every city have to be rolled out this way?”

Tesla will report earnings for Q2 this evening with the Shareholder Deck at 4 p.m. ET, with the call starting around 5:30 p.m. ET.

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Elon Musk

Elon Musk handed Grok something no other AI company can get their hands on

Elon Musk says SpaceX will feed engineering data into Grok’s next model, avoiding restricted material.

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Artistic concept rendering of SpaceX data being incorporated into a Grok AI model

Elon Musk said Tuesday that SpaceX will feed its internal engineering data into the next major training run for Grok, the AI model now folded into SpaceX following February’s merger. In a post on X, Musk wrote that SpaceX’s “massive corpus of world-class engineering data,” excluding anything restricted under U.S. arms export law, will be added during supplemental training of what he called the “2T run,” a reference to a roughly two trillion parameter model that would nearly double the parameters behind the latest Grok 4.5 that’s rolling out.

The excluded material that Musk is referring to would fall under the International Traffic in Arms Regulations (ITAR), which restricts export of technical data tied to defense and space hardware. That likely rules out propulsion specifics for Merlin and Raptor engines along with guidance and control details for SpaceX’s launch vehicles, but leaves manufacturing knowledge, materials science, and Starlink hardware design on the table.

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The announcement extends a pattern that has been building since SpaceX’s Nasdaq debut in June, when the company went public with Grok and xAI’s Colossus supercomputer folded into the pitch to investors.

Days after that listing, SpaceX closed its $60 billion all stock acquisition of coding startup Cursor, giving xAI both enterprise software distribution and a stream of real world developer data to train on. Grok 4.5 launched July 8 running partly on that Cursor training data, with Musk describing it as roughly comparable to Anthropic’s Opus 4.7 but faster and cheaper to run.

Feeding SpaceX’s own engineering data into the next AI model follows the same logic Musk has applied across xAI’s sister companies. Tesla supplies real world driving data and manufacturing expertise, X supplies conversational data, and now SpaceX supplies aerospace engineering data built up since 2002.

Musk did not give a release date for the upcoming AI model, referred to elsewhere as Grok 4.6. He has said the two trillion parameter run is in its final training phase and expected to wrap this week.

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