Elon Musk's Tesla Sues California DMV Following False Advertising Row Around FSD, Autopilot - Tesla (NASDAQ:TSLA)
TeslaTesla(US:TSLA) Benzinga·2026-02-24 03:51

Core Viewpoint - Tesla Inc. is suing the California DMV over the removal of the "Autopilot" term from its marketing, claiming the agency's allegations of false advertising are unfounded [1][2]. Group 1: Legal Dispute - The California DMV has accused Tesla of misleading consumers regarding its technology capabilities and sought a 30-day suspension of Tesla's sales and manufacturing operations [3]. - A court initially ruled in favor of the DMV, but the agency did not proceed with the suspension, allowing Tesla a 90-day period to adjust its marketing practices [3]. Group 2: Tesla's Defense - Tesla's legal team argues that the DMV failed to demonstrate any consumer confusion regarding the capabilities of its technologies, relying mainly on the testimony of a single law professor [2]. - The company emphasizes that it has clearly communicated that its Autopilot and FSD Supervised technologies do not render vehicles fully autonomous [2]. Group 3: Market Performance - Tesla's stock price experienced a decline of 2.91%, closing at $399.83, but saw a slight recovery of 0.19% to $400.57 in after-hours trading [4]. - Benzinga Edge Rankings indicate that Tesla performs well on the Momentum metric, suggesting a favorable long-term price trend [4].

Elon Musk's Tesla Sues California DMV Following False Advertising Row Around FSD, Autopilot - Tesla (NASDAQ:TSLA) - Reportify