The
electric car company run by billionaire Elon Musk was accused
last year by California's Department of Motor Vehicles of
falsely advertising its Autopilot and Full Self-Driving features
as providing autonomous vehicle control.
The DMV is seeking remedies that could include suspending
Tesla's license to sell vehicles in California, Tesla's largest
U.S. market, and requiring the company to make restitution to
drivers.
Tesla in a Dec. 5 filing with the state Office of Administrative
Hearings, released by the state on Friday, said that the DMV had
investigated its use of the Autopilot brand in 2014 and of that
and other phrases in 2017.
"The DMV chose not to take any action against Tesla or otherwise
communicate to Tesla that its advertising or use of these brand
names was or might be problematic," Tesla said.
The DMV also in 2016 decided not to prohibit the use of
"self-driving" and similar language, when drawing up regulation
about statements on autonomous technology, Tesla said.
Legislation on the topic also removed a prohibition on the terms
that was in an earlier DMV draft, Tesla said.
"Tesla relied upon Claimant's (the DMV's) implicit approval of
these brand names," the company said.
In the 2022 complaints, the DMV had said Tesla misled
prospective customers with advertising that overstated how well
its advanced driver assistance systems (ADAS) worked.
According to Tesla's website, the technologies "require active
driver supervision," with a "fully attentive" driver whose hands
are on the wheel, "and do not make the vehicle autonomous."
The DMV has said Tesla's disclaimer "contradicts the original
untrue or misleading labels and claims, which is misleading, and
does not cure the violation."
(Reporting By Peter Henderson and Hyunjoo Jin; Editing by
Cynthia Osterman)
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