Swasticar company Tesla is facing a class action lawsuit that claims it inflates odometer readings in order to reduce warranty periods and steer people to purchase extended warranties.
The primary plaintiff Nyree Hinton, a California Tesla owner, alleged that Tesla odometer readings reflect energy consumption, driver behavior and “predictive algorithms” rather than actual mileage driven.
"By tying warranty limits and lease mileage caps to inflated 'odometer' readings, Tesla increases repair revenue, reduces warranty obligations, and compels consumers to purchase extended warranties prematurely," the complaint said.
Hinton is seeking class-action status.
The Los Angeles man says he bought a used Tesla in December 2022 that had 36,772 miles on the odometer. Soon after, he needed some repairs done, which was when he noticed “peculiar patterns” in his mileage totals.