Tesla must face owners’ lawsuit claiming it monopolizes vehicle repairs and parts

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A U.S. judge ruled on Monday that owners could try to prove that Tesla coerced them into paying high prices and suffering long waits to have their vehicles fixed, under fear of losing warranty coverage

vehicle owners can pursue a proposed class action accusing billionaire Elon Musk’s electric car company of monopolizing markets for repairs and parts, breathing new life into a lawsuit she dismissed last November.

Owners said Tesla’s alleged coercion violated the federal Sherman antitrust law and California antitrust law. Evidence of a parts monopoly included restricting original equipment manufacturers from selling “to anyone other than Tesla,” and Tesla’s selling parts to consumers only on a limited basis, the judge said.

Matt Ruan, a lawyer for the plaintiff owners, said they were pleased with the court’s well-reasoned and thoughtful decision, and looked forward to the next phase of the case.

 

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