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Tesla Sales Spike Unexpectedly in Second Quarter

» Posted July 17, 2020Resources | Share This Post

The economic slowdown sept across the country by the coronavirus pandemic did not lay a finger on Elon Musk and folks at Tesla.

The luxury electric car manufacturer shipped some 90,000 vehicles during the second quarter, significantly outpacing expectations from Wall Street. The strong performance came as car makers like Ford, General Motors, Toyota and Fiat Chrysler saw sales sink by 30 percent over the three month period that ended in June.

The spread of Covid-19 and stay at home orders in many states stalled vehicle production. The pandemic also slowed sales, as dealerships shuttered and would-be car buyers largely stayed at home. 

The news came shortly after Tesla chief Musk hailed the company’s efforts during the pandemic-stricken quarter in which production at its California plant was largely halted. 

“Just amazing how well you executed, especially in such difficult times,” Musk said in an internal email to employees, according to CNBC. “I am so proud to work with you!”

Musk recently announced that Tesla is building a new production facility in Austin, Texas. The company will produce the new Cybertruck and Model Y sport utility vehicle in the Lone Star State.

Some Safety Issues

It has not been all wine and roses for Tesla, despite the unexpectedly strong second quarter.

The Los Angeles Times recently reported that the company is the subject of a federal probe into defective cooling systems in early models. A handful of crashes in which Tesla drivers were using their vehicles’ “autopilot” function have also raised safety concerns about the feature.

Fortunately for California Tesla owners, the state’s lemon law requires the company and other auto manufacturers to make certain repairs to vehicles while they are under warranty. 

The Song-Beverly Consumer Warranty Act also forces the manufacturer to buy a car back if the company is unwilling or unable to fix the problem. That means compensating the owner for the purchase price, as well as financing fees, rental car costs and other related expenses.

The law permits a manufacturer to instead offer to replace the vehicle, but it is up to the owner to decide whether to accept or reject that alternative. It is important that anyone weighing such an offer or considering his or her rights under the law consult a seasoned California lemon law attorney.

Speak With a California Lemon Law Attorney

If you are a California car owner who has been stuck with a defective vehicle, the California lemon law lawyers at the Bickel Law Firm can help. We have decades of combined legal experience, representing hundreds of clients in defective vehicle cases across the state.

Our attorneys are pleased to be able to help car owners get the compensation they deserve. We can help you understand your rights and options under the law.

Our offices are conveniently located in Los Angeles, San Diego and San Francisco. Call us at (888) 980-7771 or contact us online to speak with a California lemon law attorney.


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