Complain about a product or service

Tesla Motors

JC of Monte Sereno, CA May 15, 2009

I reserved one of their roadsters in May '07 and paid a 50,000 deposit for the privilege. I received reservation number 394 with an estimated delivery of June, 2008. The base car cost 92,000 and had a 100,000 mile 5 year warranty including the battery. The total price with warranty, options and destination charge was 101,425

On May 15, 2008 I received an email from Tesla stating that Tesla had established a comprehensive warranty of 3 years/36,000 miles which "covers all aspects of the car for defects in materials and workmanship. The battery pack is part of this comprehensive warranty." Also the email said "Tesla will offer an extended warranty option at no cost to the 2008 Roadster Club members, extending the coverage to 4 years/50,000 miles" [emphasis theirs]. The email also announced "We recently announced pricing on the 2009 Tesla Roadster in the U.S. The base price is expected to be 109,000. With all factory options, the Roadster will cost about 120,200. This price increase does not affect any member who has already reserved a 2008 Roadster."

Per the original agreement, the deposit was refundable at any time until I "locked in" my options. Once I locked in the options in late November '08 with an estimated delivery in April, 09 the deposit became non-refundable and I was obligated to accept delivery and pay the balance of the 101,425. The estimated delivery per Stephen Smith was the end of April, 2009. That sounds to me like we had a contract for a car with my selected options, warranty (including battery) and firm price.

In January '09 I received an email from Doreen Allen that the price and available options for my vehicle had been changed. To make a long story short, if I want the same options and warranty the cost went up from 101,425 to over 130,000!

I have talked with Tesla and their attorney Craig Harding. My attorney has talked with Mr. Harding. Tesla and their attorney assert that they are free to change the price and options on the vehicle at any time while I am locked in to a non-refundable deposit, paying whatever they wish to charge and accepting whatever changes to the vehicle they wish to make. I believe (after having consulted with my attorney) that there was a firm contract put in place once I "locked in" my options. I am inclined to take them to court to force them to honor our contract, however I am having second thoughts about owning a car manufactured by a company that is so quick to cheat its customers like it has. I can just imagine the way they would treat me after I took delivery of what is (based on their continued diminished warranty) likely to be a car that is troublesome and expensive to maintain.

Those who are thinking about ordering a roadster or their model S should and sending them an interest free deposit (5,000 for the model S and 9,900 for th roadster) should think twice.

Report Your Experience
If you've had a bad experience -- or a good one -- with a consumer product or service, we'd like to hear about it. All complaints are reviewed by class action attorneys and are considered for publication on our site. Knowledge is power! Help spread the word. File your consumer report now.

Share		Follow us on Twitter.

Back to the top |