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California DMV Seeking 30-Day Tesla Sale Suspension for Unrealistic 'Autopilot,' 'Full Self-Driving' Claims

CALIFORNIA, JUL 21 – The California Department of Motor Vehicles alleges Tesla misled consumers about Autopilot's capabilities, seeking a 30-day suspension of its dealer license amid ongoing safety concerns.

  • A five-day hearing in Oakland begins Monday, seeking to suspend Tesla Inc.'s dealer license, Bloomberg reported.
  • Investigation into Tesla’s marketing began in May 2021, as the DMV accuses the company of overstating its systems’ capabilities.
  • Data shows the Autopilot system demands continuous supervision and spurred a 2023 recall of 2 million vehicles.
  • The automaker's legal team contends its marketing language is shielded by free speech protections.
  • Multiple lawsuits scheduled in the coming year are poised to sustain regulatory pressure on Tesla, as potential license suspension threatens to stall sales in California until after the federal EV tax credit ends in September, and several fatal accident trials keep safety debates alive.
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WJBK broke the news in on Sunday, July 20, 2025.
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