The Court granted final approval of the proposed class settlement in the lawsuit, Sheikh, et al. v. Tesla, Inc., United States District Court for the Northern District of California, No. 5:17-CV-02193-BLF, on November 2, 2018. The Court entered judgment in the case the same day. No appeal has been filed and the Settlement is now final. If you are a Settlement Class Member, you will receive payment automatically. You do not need to make a claim. We anticipate that checks will be mailed to Settlement Class Members in early January 2019. You may be a Settlement Class Member if you are a U.S. resident who purchased Enhanced Autopilot in connection with your purchase or lease of a Tesla Hardware 2 Model S or Model X vehicle delivered to you on or before September 30, 2017.Top
In a class action, one or more people called Plaintiffs or Class Representatives sue on behalf of a group of people who have similar claims. In this case, these people are together called a Settlement Class or Settlement Class Members. In a class action, the court resolves the issues for all Settlement Class Members, except for those who exclude themselves from the Settlement Class. After the Parties reached an agreement to settle this case, the Court recognized it as a case that may be treated as a class action for settlement purposes.Top
Judge Beth Labson Freeman of the U.S. District Court for the Northern District of California is overseeing this case. The case is known as Sheikh, et al. v. Tesla, Inc., No. 5:17-CV-02193-BLF. The people who sued are called Plaintiffs or Class Representatives. The company they sued, Tesla, Inc., is called the Defendant. The lawsuit alleges, among other things, that Tesla did not release Enhanced Autopilot features with capabilities that corresponded to the schedule it had previously indicated to its customers. While Tesla acknowledges that it took longer than it initially expected to roll out these features, and it has thus agreed to a settlement, it strongly denies any claim of wrongful conduct.
More information about the Complaint in the lawsuit can be found on the Case Documents page on this website.Top
The Court did not decide whether the Plaintiffs or the Defendant should win this case. Instead, both sides agreed to a settlement. The Class Representatives and their attorneys ("Class Counsel") believe that the Settlement is in the best interests of the Settlement Class Members. The Settlement has been approved and is final.Top
The Court decided that this Settlement includes a Settlement Class of all U.S. residents who purchased Enhanced Autopilot in connection with their purchase or lease of a Tesla Hardware 2 Model S or Model X vehicle delivered to them on or before September 30, 2017. (A "Tesla Hardware 2 Model S or Model X vehicle" is a Tesla Model S or X vehicle equipped with Hardware 2 that Tesla commenced shipping in October 2016.) Everyone who fits this description is a member of the Settlement Class.
If you received a postcard about this class action, you may be a member of the Settlement Class.Top
As part of the Settlement, Tesla agreed to create a $5,415,280 Settlement Fund. The Settlement Fund will be used to pay all Settlement Class Members' allocated share of the Settlement Class Recovery, attorneys’ fees and costs, and service awards to the Class Representatives. The Court awarded Class Counsel attorneys’ fees in the amount of $961,018, costs and expenses in the amount of $14,981.95, and service awards in the amount of $4,800 per Class Representative, which will be deducted from the Settlement Fund before the balance is distributed to Settlement Class Members. Each Settlement Class Member’s allocated share of the balance ("Settlement Class Recovery") will be calculated by the Settlement Administrator based upon a formula reflecting: (1) Tesla’s representations regarding Enhanced Autopilot at the time the Settlement Class Member purchased or leased the vehicle, (2) the timing and content of Tesla’s releases of Enhanced Autopilot software upgrades, and (3) the total number of months up to and including September 30, 2017 during which the Settlement Class Member was in possession of the vehicle. Each Settlement Class Member’s estimated allocated share of the Settlement Class Recovery, based on a Settlement Class Recovery of Four Million Four Hundred Fifteen Thousand Two Hundred and Eighty Dollars ($4,415,280), is set forth in the following chart.
Under the Settlement Agreement, Settlement Class Members will be paid by check with no requirement that they submit a claim.
As part of the Settlement, Tesla also reaffirms its commitment to release any Enhanced Autopilot features that as of the Effective Date of the Settlement are not already released in Tesla Hardware 2 Vehicles.Top
You do not need to submit a claim to receive the benefits of the proposed Settlement. If you are a Settlement Class Member and did not exclude yourself from the Settlement, you will be bound by the Court’s Final Judgment and the release of claims explained in the Settlement Agreement.Top
We anticipate that eligible Settlement Class Members will be sent a check in the mail in early January 2019. Please be patient. All checks will expire and become void 90 days after they are issued.Top
Yes, the Court has appointed lawyers Steve W. Berman, Thomas E. Loeser, and Robert F. Lopez of Hagens Berman Sobol Shapiro LLP as the attorneys to represent you and other Settlement Class Members. These attorneys are called "Class Counsel." In addition, the Court appointed Plaintiffs Dean Sheikh, John Kelner, Tom Milone, Daury Lamarche and Michael Verdolin to serve as the Class Representatives. They are Settlement Class Members like you. Class Counsel’s contact information is as follows: (206) 623-7292 or Hagens Berman Sobol Shapiro LLP, 1918 Eighth Avenue, Suite 3300, Seattle, WA 98101.Top
The Court awarded Class Counsel attorneys’ fees in the amount of $961,018, costs and expenses in the amount of $14,981.95, and service awards in the amount of $4,800 per class representative.Top
If you are a Settlement Class Member and did not ask to be excluded from the Settlement, you will receive a check in the mail; we anticipate that checks will be mailed in early January 2019. You do not have to do anything to receive your check. The time to ask to be excluded from the Settlement, object to the Settlement, or appear at the Final Approval Hearing has expired and the Settlement is final.Top
If you did not ask to be excluded from the Settlement, you are in the Settlement Class and a check will automatically be mailed to you in early January 2019. You will also be bound by all orders and judgments of the Court. Unless you excluded yourself, you won’t be able to start a lawsuit or be part of any other lawsuit against Tesla for the claims being resolved by this Settlement.Top
The Notice summarizes the proposed Settlement. For the precise terms and conditions of the Settlement, please see the Settlement Agreement, contact Class Counsel at (206) 623-7292, access the Court docket in this case through the Court’s PACER system at https://ecf.and.uscourts.gov, or visit the Office of the Clerk of the Court for the United States District Court for the Northern District of California, between 9:00 a.m. and 4:00 p.m., Monday through Friday, excluding Court holidays.
More information about the Settlement is available toll-free at 1-855-201-3575, or by contacting Class Counsel.
PLEASE DO NOT CONTACT THE COURT, THE JUDGE, OR THE DEFENDANT WITH QUESTIONS ABOUT THE SETTLEMENT OR CLAIMS PROCESS.Top