Tesla has faced a legal setback in California as Judge Rita Lin granted a plaintiff’s motion for 'class certification' in a lawsuit concerning the company’s driver assistance technology. This decision allows the lawsuit to proceed as a class action.
The plaintiffs allege that Tesla misrepresented its driver assistance technology, potentially exposing the company to significant liabilities. Class certification broadens the scope and potential financial impact of the litigation.
This development is negative for Tesla, as it increases the company's legal risk and could lead to substantial costs if the lawsuit is successful. It also raises further questions about the accuracy of Tesla's claims regarding its autonomous driving capabilities.
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