Tesla class action alleges autonomous driving promises misled consumers 

Tesla class action overview:

• Who: Plaintiff David Waller is suing Tesla Inc., Tesla Lease Trust and Tesla Finance LLC.
• Why: Waller claims Tesla misled consumers about the self-driving capabilities of its vehicles.
• Where: The Tesla class action was filed in California federal court.

A new class action lawsuit accuses Tesla of misleading consumers about the self-driving capabilities of its vehicles.

Plaintiff David Waller filed the class action complaint against Tesla, Tesla Lease Trust and Tesla Finance on June 4 in California federal court, alleging violations of state and federal consumer laws.

Waller claims that Tesla has been falsely marketing its advanced driver assistance systems (ADAS) technology as autonomous driving technology under various names, including “Autopilot,” “Enhanced Autopilot” and “Full Self-Driving Capability” (FSD).

He claims Tesla has misled consumers regarding the abilities of its ADAS technology and by representing that its vehicles came equipped with hardware sufficient to support fully autonomous driving, self-driving vehicle operation.

“These promises have proven false time and time again, but Tesla and its CEO, Elon Musk, continued making them to generate media attention, to deceive consumers into believing it has unrivaled cutting-edge technology and to establish itself as a leading player in the fast-growing electric vehicle market,” the Tesla class action lawsuit says.

Lawsuit: Tesla autonomous driving technology never advanced beyond SAE Level 2

Waller’s lawsuit alleges Tesla misrepresented its vehicles’ capacity to achieve fully autonomous self-driving, claiming they were equipped with hardware necessary for full autonomy (SAE Level 5), when in reality, the technology never advanced beyond SAE Level 2.

The class action lawsuit claims Tesla’s marketing campaign, led by Musk, misled consumers into believing their vehicles could achieve full self-driving capabilities with future software updates despite knowing the hardware was insufficient.

Waller claims Tesla’s hardware configurations, including Hardware 1, 2, 2.5 and 3, were incapable of supporting full self-driving capabilities. He says Tesla introduced a new hardware package, Hardware 4, in 2023, which included upgrades but still did not fulfill the promises made to consumers.

Waller’s lawsuit alleges Tesla’s misrepresentations led consumers to pay thousands of dollars for FSD packages, believing their vehicles would eventually achieve full autonomy.

In reality, Tesla’s vehicles required significant hardware upgrades, including new computers and cameras, to achieve the promised functionality, the lawsuit alleges.

As a result, Waller is looking to represent anyone in the United States who bought or leased a Tesla vehicle with Hardware 1, 2, 2.5 or 3 configurations and paid for the FSD package.

He is suing for breach of warranty, fraud and violations of consumer laws and is seeking certification of the Tesla class action, damages, fees, costs and a jury trial.

In other Tesla lawsuits, a vehicle owner alleges the door handles on Tesla Model S vehicles fail to function during power losses, creating a “death trap” in collisions or fires.

What do you think of the allegations made in this Tesla self-driving class action lawsuit? Let us know in the comments.

The plaintiff is represented by Matthew A. Smith of Migliaccio & Rathod LLP.

The Tesla class action lawsuit is Waller v. Tesla Inc., et al., Case No. 3:26-cv-5350, in the U.S. District Court for the Northern District of California.

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