"Tesla has dispelled reports that it is facing a thirty-day sales suspension in California after the state's Department of Motor Vehicles (DMV) issued a penalty to the company after a judge ruled it "misled consumers about its driver-assistance technology." On Tuesday, Bloomberg reported that the California DMV was planning to adopt the penalty but decided to put it on ice for ninety days, giving Tesla an opportunity to "come into compliance.""
"Tesla responded to the report on Tuesday evening, after it came out, stating that this was a "consumer protection" order that was brought up over its use of the term "Autopilot." The company said "not one single customer came forward to say there's a problem," yet a judge and the DMV determined it was, so they want to apply the penalty if Tesla doesn't oblige. However, Tesla said that its sales operations in California "will continue uninterrupted.""
California's Department of Motor Vehicles issued a penalty after a judge found Tesla misled consumers about its driver-assistance technology, focusing on the use of the term "Autopilot." The DMV delayed adopting a thirty-day sales suspension and instead paused enforcement for ninety days to allow Tesla to come into compliance. Tesla characterized the action as a consumer-protection order and said no customer had reported a problem, asserting that sales in California will continue uninterrupted. The decision prompted significant backlash from Tesla supporters urging the company to leave California. Tesla's longtime use of Autopilot and Full Self-Driving branding remains central to the dispute.
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