Tesla Motors, Inc.
) has hit back at a lemon law claim filed by a lawyer against it
for allegedly ignoring his client's three requests to buy back
the car. The client reportedly faced problems with the door
handle and fuse of his Model S multiple times. He claims that
Tesla failed to address the problems and hence he wants to return
Tesla however contends that it only received one request for
buying back the car. Moreover, the automaker claims that it did
everything possible to redress the customer's grievances and is
still striving to do so.
Tesla replaced the door handles of the car even though it
failed to recreate the alleged problem in them. Even that did not
solve the problem according to the customer.
Regarding the problem with the fuse, Tesla detected that the
front trunk of the car, which provides access to the fuse, had
been opened each time before the fuse blew. This indicates the
possibility of fuse tampering. In fact, the electric carmaker
revealed that the fuse problem was solved once its service team
put a non-tamper tape on the fuse switch. Moreover, Tesla's
engineers did not find any problem with the car that might have
caused the fuse to blow.
Tesla also mentioned that the same customer and the same
lawyer had filed a lemon lawsuit against Volvo last year. While
this does not prove anything, it is definitely cause for
It is worth noting that Model S scored 99 out of 100 in a
consumer satisfaction survey by the Consumer Reports magazine.
This is the highest score in the last few years. Results are
based on the response of 350,000 Consumer Reports subscribers who
own a car. More than 600 of them were owners of the 2012 or 2013
versions of Model S.
Tesla currently carries a Zacks Rank #2 (Buy). Some other
automobile stocks that are worth considering are
Tata Motors Limited
Toyota Motor Corporation
). Tata Motors and Daimler sport a Zacks Rank #1 (Strong Buy),
while Toyota holds a Zacks Rank #2.
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