Tesla Model S under Review for Possible Suspension Issue and “Troublesome Nondisclosure Agreement”

Posted on June 23, 2016

Federal regulators are looking into a potential suspension defect in Tesla’s Model S sedan and whether the company asked customers to sign a confidentiality agreement regarding the issue.

The National Highway Traffic Safety Administration (NHTSA) is reviewing reports of a potential suspension control arm defect in the Model S, which may cause drivers to lose steering control. The agency has received more than 30 complaints of suspension components breaking since October, and it is examining possible causes.

Some Model S owners’ suspension-related complaints also noted nondisclosure agreements they were asked to sign in exchange for repairs. The automotive blog Daily Kanban posted what it claims is a scanned copy of the confidentiality agreement as well as a few excerpts, which read:

“The Goodwill is being provided to you without any admission of liability or wrongdoing or acceptance of any facts by Tesla, and shall not be treated as or considered evidence of Tesla’s liability with respect to any claim or incidents. You agree to keep confidential our provision of the Goodwill, the terms of this agreement and the incidents or claims leading or related to our provision of the Goodwill. In accepting the Goodwill, you hereby release and discharge Tesla and related persons or entities from any and all claims or damages arising out of or in any way connected with any claims or incidents leading or related to our provision of the Goodwill. You further agree that you will not commence, participate or voluntarily aid in any action at law or in equity or any legal proceeding against Tesla or related persons or entities based upon facts related to the claims or incidents leading to or related to this Goodwill.”

When NHTSA learned of Tesla’s “troublesome nondisclosure agreement,” it immediately informed the company that, “… any language implying that consumers should not contact the agency regarding safety concerns is unacceptable, and NHTSA expects Tesla to eliminate any such language.”

Consumers have a right to know about any and all dangers that may be associated with their vehicles. For decades, the attorneys at Anapol Weiss have successfully advocated for victims and their families whose defective vehicle played a part in their death or catastrophic injuries. Contact our firm for assistance if you believe a defect led to your auto collision. Our highly qualified lawyers can investigate the crash and answer your legal questions.

Topics Personal Injury