Judge Rejects Tesla's Bid to Dismiss 'Phantom Braking' Lawsuit

Judge Rejects Tesla’s Bid to Dismiss ‘Phantom Braking’ Lawsuit

Tesla, a leading name in self-driving technology, is facing its share of unhappy customers. In 2023, the well-known car maker was named in a class-action lawsuit in a Chicago district court. Judge Georgia Alexakis, overseeing the case, has decided that it will proceed despite Tesla's efforts to dismiss it.

Lawsuit Details

The case, titled Joshua Santiago et al. v. Tesla, claims that the company did not inform potential buyers about a “phantom braking” problem, which they have known about since 2015. The two individuals who filed the lawsuit argue that Tesla’s forward collision detection system gives false alerts when there is no actual danger, which can lead to the vehicle unexpectedly slowing down or stopping altogether.

Court Rulings

While Tesla was unable to get the entire lawsuit dismissed, Judge Alexakis did agree to remove some parts of it. She threw out claims that Tesla's insurance division charged drivers too much for premiums based on the supposed braking issue. The argument that the false collision alerts resulted in higher insurance costs for drivers did not persuade the judge.

Tesla claims they were unaware of the alleged problem until one of the plaintiffs purchased their Model 3 in 2021.

Future of Tesla's Technology

However, Judge Alexakis recognized that the lawsuit has shown that potential buyers ought to be able to rely on the information presented on Tesla’s website, supporting claims of Tesla's failure to disclose safety-related information.

Tesla has ambitious goals for its self-driving capabilities. The company recently introduced the Cybercab and Robovan, which received a lot of attention. The Cybercab is a future taxi designed for two passengers without a steering wheel or pedals. The Robovan is a larger automated vehicle meant for public transport.

Tesla currently provides Autopilot with every new model, featuring basic options like Cruise Control and Autosteer. The Full Self-Driving (Supervised) option includes more advanced functions such as Navigate on Autopilot, Auto Lane Change, Autopark, and Smart Summon, available through either a subscription or a one-time payment.

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