Tesla has initiated legal action against the California DMV to challenge a ruling by the agency. The DMV determined that Tesla engaged in misleading marketing that exaggerated the self-driving features of its cars, breaching state regulations.
This lawsuit revisits a matter that seemed concluded last week when the DMV announced it would not impose a 30-day suspension on Tesla’s sales and manufacturing licenses. The decision came after Tesla adhered to the ruling by discontinuing the use of the term “Autopilot” in California promotions. CNBC was the first to disclose the lawsuit.
Despite the possibility of action against Tesla, the DMV opted not to suspend its licenses. An administrative law judge had endorsed the DMV’s request for a 30-day license suspension as a sanction. Instead, the state agency allowed Tesla 60 days to comply with its directives.
Tesla complied, but significantly so. Not only did it cease using “Autopilot,” but in January, it completely discontinued the Autopilot feature in the U.S. and Canada. It may now be reconsidering that choice and seeking a means to reinstate it.