March 7 (Reuters) - Tesla owners who accused it
of falsely advertising estimated driving ranges for its electric
vehicles must pursue their claims in individual arbitrations
rather than banding together in proposed class action lawsuits,
a federal judge ruled.
U.S. District Judge Yvonne Gonzalez Rogers in Oakland,
California said on Thursday the drivers had agreed to an
arbitration provision for resolving disputes with the automaker
when they bought their vehicles.
The plaintiffs accused Tesla of fraudulently inducing
consumers to buy its cars by overstating how far they can travel
on a single charge. The pair of lawsuits also alleged that
Tesla, led by billionaire CEO Elon Musk, misrepresented the
driving range on vehicle dashboards.
A Reuters special report in July revealed that Tesla had
created a secret team to suppress drivers' complaints about
driving range. Both lawsuits cited the special report.
Tesla and lawyers for the company did not immediately
respond to requests for comment. Tesla has called the claims in
the lawsuits "unmeritorious."
Attorneys for the plaintiffs in the two cases either
declined to comment or did not immediately respond to a request
for one.
Rogers' order did not address the merits of the drivers'
claims. She did not dismiss the lawsuits and said she could
eventually issue an injunction against Tesla if the drivers
successfully arbitrated their claims under California's unfair
competition law and other provisions.
The drivers' attorneys had called Tesla's effort to compel
individual arbitration an "effort to avoid classwide liability
for its deceptive conduct."
Tesla lowered driving-range estimates across its EVs in
January, as a new U.S. government vehicle-testing regulation was
implemented to ensure automakers accurately reflect real-world
performance.