Autoblog

Their plate may be filled with churning out Tesla Roadsters and developing the Model S sedan, but Tesla Motors can't seem to get a break from the lawsuits. First there was the tiff with transmission supplier Magna, followed by potential development partner Fisker, and now Tesla is facing a class action (it's not a class action lawsuit until a judge deems it so) lawsuit from former Director of Public Relations, David Vespremi. Vespremi ended up on the cutting room floor during the tornado that swept through the company ranks at the end of 2007 was let go prior to the layoffs in January of this year. Vespremi is trying to connect his firing to the layoffs, but according to Tesla's Darryl Siry, that's not the case -- his termination was a separate matter. The details of the lawsuit allege that Tesla Motors did not practice good faith or fair dealing, violated labor codes with unpaid wages and waiting periods, and utilized unfair business practices. The document also listed libel and slander due to the harsh words spoken from the mouths of executives to the media when referencing the former employees. Thanks for the tip Jan!

UPDATE: Darryl Siry of Tesla wanted to clear a few things up with the story. To begin with, a judge must certify a lawsuit as class action before it can be deemed as such. That hasn't happened yet. Additionally, the part of the lawsuit filed by David Vespremi that asks for class action status has nothing to do with libel, slander, or defamation. The only part of Vespremi's lawsuit that could be classified as "class" has to do with Tesla's arbitration and non-conciliation clause in his employment agreement.

[Source: San Mateo Court]

As we recently reported, rumors have been swirling regarding Henrik Fisker's involvement with Tesla Motors and its upcoming electric sedan prototype known as the WhiteStar. As is often the case, there's apparently some truth to the scuttlebutt, as Tesla has filed a lawsuit claiming that Fisker Automotive is using stolen design ideas from Tesla sourced when Fisker Coachbuild was employed by the young EV automaker for the styling of its sedan.

According to Tesla chairman Elon Musk, "We could not use the Fisker styling. The styling was substandard compared to what he unveiled for his product. He gave us an inferior work product, and it's obvious why." In the process of working for Tesla, the lawsuit contends that Henrik Fisker and a few of his associates stole design ideas and confidential information related to the design of hybrid and electric cars. Fisker has since announced his upcoming Karma hybrid-electric sedan. Tesla seeks to have Fisker Automotive stop using any design ideas garnered from its relationship with Tesla, and any money paid to Fisker Coachbuild returned along with other unspecified damages.



[Source: The New York Times]

Due to a slumping greenback, the Canadian Loonie and the U.S. dollar are worth roughly the same amount, but the price of most new cars in Canada haven't made the adjustment. Two leasing companies are suing the Canadian government, BMW Canada Inc., Mercedes-Benz Canada Inc. and Mercedes-Benz USA LLC for a cool billion dollars, but not because of the uncompetitive pricing in the United Province.

The leasing companies have filed suit because strict import rules are preventing the companies from buying cars in the U.S. and selling them in Canada. The many fees, procedures and restrictions allegedly resulted in a 20-30% increase in the sale of more expensive Canuk cars. One example is a $350 admissibility charge to import a Bimmer, and a far more ridiculous $500 fee will be levied for bringing over a BMW that has received a recall repair in the States. The leasing companies allege the all those fees and fines enable BMW and Mercedes to sell vehicles that cost between 20% and 35% more than similar US models.

Rather than these two leasing companies, it seems like customers in Canada are the ones who are losing out the most with high vehicle prices. At least the Canadians still have plenty of other cars and trucks that they can import from the U.S.

[Source: Report On Business via Winding Road]

Ford and Navistar are once again going to court over the automaker's plans to develop a 4.4L diesel engine inhouse for the F-150. The original lawsuit was thrown out last June, with the judge ordering the two corporations to iron out their differences in mediation. Since no progress has been made outside the legal system, Navistar has refiled its claim. In the suit, Navistar is claiming the light-duty diesel engine violates the agreement once made between the two companies, which states that Navistar be Ford's primary supplier of oil burners. Navistar is also alleging that the 4.4L diesel that Ford's currently developing is in fact International's 4.4L Lion V8 project that cost Navistar $11 million to develop. It's hard to pinpoint how or why Navistar is so sure Ford is using the Lion project 4.4L, considering that the supplier has received no official specs of the engine from Ford.

We're not exactly Dr. Phil, but it appears that Navistar has a bone to pick with Ford. Considering the fact that Ford isn't using its long-time supplier to develop and produce its light-duty diesel engine, the Dearborn, MI automaker is none too pleased with Navistar, either. We think the judge should order Navistar's fugly new International Lonestar to take on a pair of F-450s in a concrete cage match – the winner gets the contract for the F-150 diesel engine.

[Source: Automotive News, subs. req'd]

Two children tragically lost their lives when French driver Catherine Kohtz lost control of her Volvo 850. The 1999 incident, which Kohtz blamed on a loss of braking ability in her Volvo, has led to French courts handing down a finding of manslaughter. The guilty verdict against Volvo also carries an €200,000 fine, though Volvo holds that there wasn't anything wrong with the car's braking system and will likely appeal. Driver Kohtz was fined €300 and also sentenced to a six-month jail term, which was suspended.

Kohtz's accident was initially attributed to reckless operation, and tensions in the town of Wasselonne have been stirred by the circumstances of crash. Rumblings of Kohtz, relatively wealthy, having bought her way out of a more serious outcome for the death of two ten year olds from lesser means have been dividing the town in eastern France. An investigation determined that the brakes in the Volvo 850 suffered from a problem known to Volvo. Rather than recall 180,000 850s, Volvo is alleged to have quietly asked its dealers to fix a rubber pipe prone to rupture or detachment, causing a loss of braking ability. An investigating magistrate contended that service documents instructing dealers how to repair the problem were overly vague, leading to an improper and ineffective repair on Kohtz's car. For a company with such an emphasis on safety, its surprising that it would try to cover up a major flaw in such a crucial system. Volvo argued that the service documents that were seized outline an innocuous fault, and that something else like a loose water bottle behind the pedal was to blame.

[Source: BBC via Winding Road; The Independent]

From the "Don't Tick Off Carroll Shelby Department" comes the continuing saga which is the SAAC vs. the performance Mustang patriarch. We told you earlier about the feud between Shelby and SAAC owners Rick Kopec and Ken Eber over the cancellation of the Shelby club's license, and as of yesterday, the contract officially expired. Since the SAAC's license is now void and Shelby owns the trademark to the SAAC name, the Texas tornado has filed a lawsuit to ensure Kopec and Eber follow the original 1999 contract both before and after its termination. That includes everything from ceasing to use the Shelby name to handing over financial documents over to Shelby Licensing.

Shelby explained his reasoning for pulling the license back in December, stating that Kopec and Eber had ignored Shelby's requests to follow the licensing agreement. Shelby also accused the two of selling memorabilia that was loaned to the club by Shelby, which may explain why Shelby wants to inspect the club's books. To prove that this whole mess wasn't about money, Shelby has offered other clubs the use of his name for $1 per year. We're hoping that the 5,000 members of the SAAC can find a new club to find home, but at $1 per year, the stranded members can start their own club. Check out Shelby's press release after the jump.

[Source: Shelby Licensing]

Back in June, we brought you news that Toyota was in the process of suing a pornography firm for copyright infringement. Apparently the Japanese automaker didn't appreciate that adult film star Lexus Cash was using its luxury division's handle as her stage name and for her website. Evidently unwilling to stop its litigation campaign, Toyota is now turning its lawyers loose on a gay porn actor who also uses the name Lexus.

According to latest reports, the Japanese automaker's lawyers in DC sent a cease-and-desist letter to EBoys Studios in Switzerland. The EBoys honcho insists that his performer chose the name because of its association with Greek mythology, and not with the automotive brand, and that the company will not cave to the carmaker's demands to recall the two flicks it has produced with the actor using that name.

This has to be the funniest bit of news surrounding Lexus since that peacock had its way with one of their exhaust pipes.

[Source: Inside Line]

A faulty seatbelt that traps an occupant in a vehicle and leads to his death is a horrible tragedy. If the defect were given a pass at the manufacturing plant, it goes beyond tragic to criminal. Toyota is now facing two lawsuits in California, both centered around manufacturing defects that may have been ignored at its joint-venture New United Motor Manufacturing Inc. plant.

We reported earlier on the first lawsuit filed by Katy Cameron, a NUMMI worker who alleges that vehicles with serious problems were passed out the door, even though the NUMMI plant purportedly subscribes to the "Toyota way" of manufacturing. Instead of empowering workers to spot and correct defects, even stop the assembly line to make things right, management at the NUMMI plant allegedly discouraged Cameron by demoting her.

A second lawsuit has also been filed by the Singh family, who are blaming the seatbelt latch in their 2002 Corolla for the death of Raminder Singh. The Singhs were involved in an accident that led to an engine fire, and while 19-year-old Gurinder Singh was able to exit the vehicle, his father remained trapped by his seatbelt despite Gurinder's efforts to unlatch it.

A spokesman for Toyota has been quoted as saying, "as heart-rending and tragic as this collision was, Toyota has an altogether different view of the facts." The facts will hopefully come to light during this civil trial, which heard opening statements on Tuesday.

Thanks for the tip, Jon!

[Source: Money/CNN]

So, this guy in Australia is all offended because he was mocked in a manner promoted by an anti-hoonage advertising campaign. He was so offended, in fact, that he hurled a water bottle at a woman's car and promptly got himself charged with malicious damage. Since nothing can ever be anyone's fault, the Sydney man is blaming his behavior on the Roads and Traffic Authority's anti-speeding campaign in Australia that diminishes any macho cachet surrounding risky traffic moves by showing wagging pinky fingers, implying the behavior is compensation for, well, you know.

Simon Jardak received an AUS$400 fine, but contends that the wiggling pinky gesture his victim made was akin to sexual assault, and enraged him far more than her flashing her headlights and using other common rude gestures. Whatever, dude. Are you that insecure? If you're having a gestural fight with another driver while rolling down the highway, you deserve whatever rudeness you get. What amounts to a schoolyard taunt certainly doesn't deserve having things hurled at your car. Perhaps Mr. Jardak needs to cool his temper a bit – we can certainly imagine that anyone reckless enough to engage in an argument on the road and throw things at other cars might not be the most responsible driver.

[Source: Drive.com.au]

Over two years ago a crash involving a Porsche Carrera GT during a Ferrari Owner's Club track day killed two event participants when they hit the wall at over 100 mph while trying to avoid a Ferrari merging onto the front straightaway. The driver and Carrera GT owner was Ben Keaton, an avid automotive enthusiast who regularly shared his wisdom on the website 6SpeedOnline.com. The car's passenger was Corey Rudl, a prospective Carrera GT buyer who wanted to take a ride. The tragic loss of these two lives brought out a great debate in the safety of California Speedway's tight infield road course, the responsibility of the event organizers, and the design of the Porsche Carrera GT itself.

While the track event participates signed waivers noting that they were aware of the inherent dangers associated with driving at high speeds on a closed course, those waivers were dependent on who was found to be negligent in the event of an incident. Tracy Rudl, the wife of passenger Corey Rudl, filed a lawsuit claiming gross negligence by many parties associated with the track event. She recently received a settlement of approximately $4.5 million. The contributing parties to the settlement fund were 2% from the merging Ferrari driver, 8% from Porsche, 41% from California Speedway and Ferrari Owner's Club and finally 49% from the Carrera GT driver's estate.

[Source: Sports Car Market Magazine]