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Tesla accused of selling lemons in new lawsuit

Adam Williams was a former Tesla employee who worked as a regional manager in New Jersey since 2011. Whilst working at Tesla, he said that he would see the company fail “to disclose to consumers high-dollar, pre-delivery damage repairs” before delivering it to customers. Instead, Tesla would sell these cars as “used” or labeled as “demo/loaner” vehicles according to a report by The Verge.

When Williams reported it to his superiors, he says he was demoted and then fired for bringing it up to his superiors. He made these allegations in a lawsuit filed in late January in New Jersey Superior Court under the Conscientious Employee Protection Act (CEPA).

A representative for the company has responded to the lawsuit by saying that there is no merit to it and the description in which Williams described is completely false. The representative also highlighted that Williams was dismissed due to performance reasons and no other reasons.

In the lawsuit, Williams argues that he was terminated for reporting the alleged lawbreaking practices, and he should therefore be covered by CEPA’s whistleblower protection.