Tesla Risks California Sales Suspension Unless It Stops Using the Term 'Autopilot' [Yahoo! Finance]
Tesla, Inc. (TSLA)
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Source: Yahoo! Finance
The issue dates back to 2022, when the DMV filed complaints with the Office of Administrative Hearings, accusing Tesla of misleading customers by marketing its advanced driver assistance system (ADAS) as one that doesn't require human supervision. Those ADAS systems don't support fully autonomous driving to date, the DMV says. A hearing in the case was held in July, and a state administrative law judge proposed a decision in November. The decision was subject to review by the DMV, which has now adopted it with a few modifications. The DMV says Tesla used deceptive marketing language and should face a 30-day suspension of its California sales and manufacturing licenses. The agency, however, has temporarily stayed the sales order and permanently blocked the manufacturing order to give Tesla a chance "to take action regarding its use of the term 'autopilot.'" If the automaker doesn't act on the language in the next 60 days, it will be subject to the 30-day suspension of its dealer
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