Three Tesla owners have sued the automaker in a class action lawsuit that was filed on August 2, 2023, after a report from Reuters last week claims the company “exaggerates” its range ratings.
Teslarati examined the complaint, and we are here to give you a breakdown of what the suit says and what the three plaintiffs are suing Tesla for.
The Plaintiffs
Tesla is being sued by James Porter, Bryan Perez, and Dro Esraeili Estepanian, who state in their complaint against the automaker that their action “arises out of Tesla’s false advertising of its electric vehicles’ range, which Tesla grossly overvalued when selling the vehicles to consumers.”
According to the complaint, Porter owns a Model Y Performance and noticed a discrepancy in his vehicle’s range was compared to what it told him:
“After taking delivery of his Tesla vehicle in June 2022, Plaintiff Porter fully charged his vehicle to 100% battery charge and took a 2-hour trip to visit family, approximately 92 miles away. When he arrived at his destination, Plaintiff Porter noticed that the vehicle was left with approximately 40% charge.”
Perez owns a Model 3 Long Range, and the complaint states he had the same issue:
“After receiving his Tesla vehicle, Plaintiff Perez fully charged his vehicle to 100% battery charge and took an approximately 90-mile trip to visit his parents. After returning home from the approximately 180-mile round trip, he noticed that his vehicle showed that it had roughly 10-15% charge remaining.”
Estepanian also has a Model 3 Long Range, and the complaint describes a similar situation:
“Plaintiff Estepanian travels 140 to 150 miles round trip for his daily commute, and he routinely charges his vehicle to 90% battery charge (which equates to approximately 299 miles), per Tesla’s recommendation. Based on a 90% battery charge (and 299-mile starting range), he typically returns from his approximately 150-mile round trip each day and his Tesla vehicle’s screen displays that approximately 100 to 110 miles of range remain, which equates to roughly 33% battery charge remaining. Thus, Plaintiff Estepanian’s electric vehicle consistently loses approximately 189 miles of range during his daily commute—despite only driving approximately 140 to 150 miles round trip each day.”
The Plaintiffs’ Claims
The plaintiffs state that range is a key feature of electric vehicles and is “one of the most important features that consumers generally consider when purchasing an EV, because it correlates to the distance they can travel before needing to recharge the vehicle.”
Throughout the suit, the complaint shows images of Tesla’s website, highlighting range ratings and other “key features,” including top speed and acceleration.
They also include other pieces of evidence that seem to indicate Tesla has exaggerated range estimates.
One part of the complaint states:
“Tesla’s tactics to inflate the range estimates for its vehicles has continued. Recently, South Korean regulators fined Tesla for false advertising the ranges of its vehicles. Specifically, the Korea Fair Trade Commission found that Tesla exaggerated the “driving ranges of its cars on a single charge, their fuel cost-effectiveness compared to gasoline vehicles as well as the performance of its Superchargers.”
They also stated that other car companies to do not exaggerate range ratings, citing Recurrent’s testing of the Ford Mustang Mach-E, Chevrolet Bolt, and Hyundai Kona:
“Other electric vehicle manufacturers do not overestimate the range of their vehicles to the same extent. For example, Recurrent tested the Ford Mustang Mach-E, the Chevrolet Bolt, and the Hyundai Kona—all electric vehicles and direct competitors to Tesla model vehicles—and found their estimated ranges to be more accurate. In fact, the Hyundai Kona generally underestimated the range the vehicle could travel before requiring a recharge.”
Allegations in the Class Action Suit
The plaintiffs seek to represent anyone in California who purchased any Tesla vehicle and hope to solve questions including:
- a. Whether Tesla model vehicles fail to deliver the advertised estimated vehicle range in normal driving conditions;
- b. Whether Tesla exaggerated its advertised estimated vehicle ranges;
- c. Whether Tesla knew that its advertised estimated vehicle ranges were exaggerated and could not be met under normal driving conditions;
- d. When Tesla gained such knowledge;
- e. Whether Tesla designed, manufacture, marketed, advertised, sold, or otherwise placed its model vehicles into the stream of commerce with such knowledge;
- f. Whether Tesla intentionally concealed the fact that its advertised estimated vehicle ranges were exaggerated or otherwise could not be met under normal driving conditions;
- g. Whether Tesla’s conduct to divert complaints from Class Members who voiced concerns over their Tesla model vehicle’s range violated the terms of Tesla’s warranties;
- h. Whether Plaintiffs and Class Members were harmed by the fraud and deceptive practices alleged herein;
- i. Whether Tesla was unjustly enriched by its deceptive practices; and
- j. Whether Plaintiffs and the Class are entitled to equitable or injunctive relief
The case is 3:2023cv03878, Porter et al v. Tesla, Inc., and has been assigned to Judge Laurel Beeler.
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In a major development that will inevitably strengthen Tesla’s dominant position in the American EV market, Polestar has been effectively banned from selling new vehicles in the United States, starting with the 2027 model year.
The U.S. Department of Commerce denied Polestar authorization under the Connected Vehicle Rule, which prohibits vehicles containing certain connected technologies (Cellular, Wi-Fi, Bluetooth, etc.) linked to China or Russia due to national security risks, including potential data collection on American drivers.
🚨 A Tesla competitor goes down
Polestar will no longer sell new vehicles in the United States starting with the 2027 model year.
The U.S. Department of Commerce denied the brand authorization under the Connected Vehicle Rule, which restricts the sale of cars with software and… pic.twitter.com/TrwnQeoiES
— TESLARATI (@Teslarati) June 25, 2026
Polestar, which is majority-owned by China’s Geely Holding, could not obtain the required exemption despite producing some models domestically.
Polestar confirmed it will sell off any remaining inventory of the Polestar 3 and Polestar 4 models, while continuing service and warranty support for existing customers. No new models or major refreshes will reach U.S. buyers, and the company is pivoting its growth strategy to Europe, where it already generates the vast majority of its sales.
The outcome removes a direct premium EV competitor that had positioned itself as a stylish, performance-oriented alternative to Tesla’s lineup. The Polestar 2 challenged the Model 3, while the Polestar 3 and 4 targeted segments overlapping with the Model Y and upcoming Tesla offerings. Polestar’s U.S. sales had already been sluggish amid intense competition and slower demand, representing just 6 percent of its global volume in the first quarter of 2026.
While Polestar was not on Tesla’s level in the U.S., it still places a dent in the evergrowing field of Tesla competitors in the country, where it has long dominated EV sales.
Tesla faces none of these hurdles. As a U.S.-founded and U.S.-headquartered company with major manufacturing in Fremont, Austin, and Nevada, Tesla’s vehicles are built with compliant domestic and allied supply chains. Its Full Self-Driving technology, over-the-air software updates, and vertically integrated ecosystem were developed entirely in-house without foreign ownership entanglements that trigger national security reviews, at least in the U.S.
Of course, it did face a similar threat in China a few years back:
Elon Musk responds to reports of Tesla ban among China’s military over security concerns
The Connected Vehicle Rule, first advanced under the prior administration and upheld under the current one, is part of a broader U.S. effort to protect the domestic auto industry and critical technology from Chinese influence. High tariffs on Chinese-made EVs and related restrictions have already reshaped the market. Tesla benefits directly: it avoids these barriers while continuing to lead in U.S. EV sales volume, Supercharger network expansion, and energy storage integration.
By clearing Polestar from the new-vehicle playing field, the policy reduces competitive pressure in the premium and performance EV segments where Tesla has invested billions. American consumers seeking cutting-edge electric vehicles now have one fewer option tied to foreign adversaries — and one clearer path to the market leader that has driven the EV transition from the start.
For Tesla, this is more than regulatory relief. It is a strategic tailwind that reinforces its position as America’s premier EV innovator at a time when domestic manufacturing and technological independence matter most.
Tesla Cybercab stands to gain from new rules that the Trump Administration is aiming to enforce on autonomous vehicles. On Thursday, NHTSA, under the Trump Administration’s U.S. Department of Transportation, commenced rulemaking on the Federal Motor Vehicle Safety Standards (FMVSS).
This effort aims to eliminate the mandate for manual brake pedals in vehicles that are designed to be driven exclusively by automated driving systems. This would impact the Tesla Cybercab, which the company has stated would operate without a steering wheel or pedals.
Tesla Cybercab launch is imminent after latest sighting at Giga Texas
The Trump Administration is looking to revise FMVSS No. 135, which requires standard braking systems on light-duty vehicles.
Currently, the regulation requires light-duty cars to use traditional manual braking systems that allow operators to slow the vehicle. With the advent of self-driving in the U.S., these regulations need updating, and these are the changes that could come to FMVSS No. 135:
- Removes requirements for hand- or foot-operated brake controls for vehicles designed never to be operated by a human. Existing rules still apply to AVs that retain manual controls.
- All subject vehicles must still meet the same stopping distance performance criteria via alternative testing procedures.
- While this update ensures AVs can physically stop when commanded, NHTSA is separately developing safety performance requirements for AVs in real-world driving scenarios.
- NHTSA will continue to use its broad defect enforcement authority to investigate unsafe ADS behavior and oversee recalls.
As autonomy becomes a greater part of passenger travel, these types of rule adjustments will be more than reasonable. It will give manufacturers the ability to self-certify their vehicles and avoid any red tape that could ultimately delay the deployment of these vehicles.
Administrators are also incredibly excited about the opportunity to play a role in the advancement of self-driving vehicles.
“We are at the cusp of the greatest technological revolution in vehicle technology since the innovation of the Model T,” NHTSA Administrator Jonathan Morrison said. “If we want America to lead the way, we have to reimagine our regulatory framework. That’s why under Secretary Sean Duffy’s AV Framework, NHTSA is tearing down pointless barriers to innovative designs while strengthening the fundamental safety requirements that matter and holding AV developers accountable for safe performance.”
The Cybercab entered mass production at Gigafactory Texas in April. Tesla ultimately plans to push the vehicle into its Robotaxi fleet, potentially when frameworks like these are established.
Tesla plans to boost production at its Gigafactory Berlin plant in Germany following a sharp rebound in sales and demand in Europe after a softer 2025.
The plans put Tesla in a better position to compete with strengthening companies in Europe and potentially other markets; demand indicators show Tesla is much better off than in 2025.
Last year was a tough year for Tesla in terms of overall demand in Europe. The company produced over 200,000 vehicles at the German plant last year, a soft figure compared to the 375,000 vehicles Tesla lists as its current capacity at the factory.
🚨 Tesla said this morning it will ramp up production at Gigafactory Berlin to a volume of 7,500 vehicles per week.
This is a 20 percent boost in production. Tesla will hire 1,000 new employees to help with the increase.$TSLA pic.twitter.com/kravKfRO5n
— TESLARATI (@Teslarati) June 25, 2026
Tesla’s overall European sales dropped significantly last year due to a variety of factors. However, sales are rebounding, and demand is strong once again, and only getting stronger. Tesla is now planning to bump production of Model Y vehicles at Giga Berlin upward by about 20 percent. It will also bring 1,000 new jobs to the plant.
Tesla confirmed the details of its planned production expansion in Germany this morning. It is a strategy to keep up with strengthening demand.
In Q1, Tesla saw a record 61,000 vehicles produced at Giga Berlin. European registrations rebounded sharply, with Model Y seeing 117 percent increases in March 2026 compared to last year. Germany alone saw stark increases, with a quadrupling in registrations to 9,252 units.
This trend continued in other key European markets, including France, Denmark and Sweden. Tesla registrations were up over 46 percent in some of these markets, and Model Y continued its trend as a top BEV in the market.
Demand has been recovering strongly in 2026, giving Tesla a reason to expand production efforts at the factory. These increases signal management’s confidence in sustained or growing European pull for Berlin-built vehicles.
One of Tesla’s biggest threats just got banned in the U.S.
Tesla Cybercab stands to gain from new Trump autonomy rules
