Monarch Tractor sued over tractors that were 'unable to operate autonomously' | TechCrunch

"Burks Tractor says in its complaint that it purchased the 10 tractors from Monarch in early 2024 with the intent of being one of the California startup's first dealers. During those negotiations, Burks Tractor claims Monarch "expressly represented" the tractors would be fully autonomous, and the autonomy features "were not limited by location or time." Monarch even provided demo videos to Burks Tractor that showed the equipment performing autonomous tasks, according to the complaint."

"Burks Tractor, a dealership located in Idaho, has sued Monarch for breach of contract and allegedly violating its warranty because the California-based startup's tractors were "unable to operate autonomously." The dealership also says the 10 tractors it purchased "continue to experience significant problems," and calls them "defective." Monarch Tractor CEO Praveen Penmesta and a lawyer for the company did not respond to a request for comment. Monarch has denied the allegations in a court filing."

"The company has spent a few years trying to get its tractors - which are electric and supposed to be autonomous, or as Monarch calls it, "driver optional" - to catch on at wineries and dairy farms. But it's gone through multiple rounds of layoffs over the last two years. The Ohio factory where its tractors were being built by Foxconn is now being renovated into an AI data center, and Monarch has been trying to pivot to software and tech licensing."

Burks Tractor filed a lawsuit alleging breach of contract and warranty after ten Monarch tractors proved unable to operate autonomously and continue to experience significant problems. The dealer claims Monarch expressly represented the tractors as fully autonomous with autonomy features not limited by location or time and provided demo videos showing autonomous tasks. Burks Tractor paid $773,088 and financed the purchase, and also bought spare parts. Monarch denied the allegations in a court filing and did not respond to a request for comment. Monarch has faced layoffs, pivoted toward software and licensing, and repurposed its Ohio Foxconn factory into an AI data center.

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