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Agreement to Arbitrate

If you have received your Model 3, have you...

  • remained party to the arbitration provision

    Votes: 12 42.9%
  • opted out of arbitration

    Votes: 16 57.1%

  • Total voters
    28
For those of you who have taken delivery, have you opted out of the arbitration agreement? From everything I’ve read, whenever it’s possible to do so, you should opt out. An important legal right that is lost by remaining party to this agreement is the ability to join in a class action against Tesla, should the need ever arise. Private arbitration agreements are put in contracts to protect the manufacturer/seller and never the consumer, so I’m curious if anyone knows of any reason not to opt out. See below for the language from the purchase agreement.


Agreement to Arbitrate.

Please carefully read this provision, which applies to any dispute between you and Tesla, Inc. and its affiliates, (together “Tesla”).

If you have a concern or dispute, please send a written notice describing it and your desired resolution to [email protected].

If not resolved within 60 days, you agree that any dispute arising out of or relating to any aspect of the relationship between you and Tesla will not be decided by a judge or jury but instead by a single arbitrator in an arbitration administered by the American Arbitration Association (AAA) under its Consumer Arbitration Rules. This includes claims arising before this Agreement, such as claims related to statements about our products.

We will pay all AAA fees for any arbitration, which will be held in the city or county of your residence. To learn more about the Rules and how to begin an arbitration, you may call any AAA office or go to www.adr.org.

The arbitrator may only resolve disputes between you and Tesla, and may not consolidate claims without the consent of all parties. The arbitrator cannot hear class or representative claims or requests for relief on behalf of others purchasing or leasing Tesla vehicles. In other words, you and Tesla may bring claims against the other only in your or its individual capacity and not as a plaintiff or class member in any class or representative action. If a court or arbitrator decides that any part of this agreement to arbitrate cannot be enforced as to a particular claim for relief or remedy (such as injunctive relief), then that claim or remedy (and only that claim or remedy) shall be severed and must be brought in court and any other claims must be arbitrated.

If you prefer, you may instead take an individual dispute to small claims court.

You may opt out of arbitration within 30 days after signing this Agreement by sending a letter to: Tesla, Inc.; P.O. Box 15430; Fremont, CA 94539-7970, stating your name, Vehicle Identification Number, and intent to opt out of the arbitration provision. If you do not opt out, this agreement to arbitrate overrides any different arbitration agreement between us, including any arbitration agreement in a lease or finance contract.​
 
How do people interpret this part:

"You may opt out of arbitration within 30 days after signing this Agreement..."

This is on the "purchase agreement" that you get when you place the order for the car. So it reads to me like it starts on the day you order the car, not the day you get it, and in most cases, 30 days are up by the time you have your car.

The one irony of course being that they want you to write them with your VIN, which many people do not get within 30 days.
 
Okay, I configured on 4/7, got an email midweek 'reminding' me to order, which I thought was odd. The website says I've 'completed' everything, got a copy of order agreement showing payment of my $2500 deposit. What did notification of VIN entail? An email? Direct contact?

Thanks.
 

Zaxxon

Active Member
Supporting Member
Dec 11, 2012
4,705
22,079
Colorado
Okay, I configured on 4/7, got an email midweek 'reminding' me to order, which I thought was odd. The website says I've 'completed' everything, got a copy of order agreement showing payment of my $2500 deposit. What did notification of VIN entail? An email? Direct contact?

Thanks.

I also configured on 4/7 and received a reminder email on 4/11. I called Tesla and they confirmed there was a mistaken batch of reminder emails sent. If the website says you're good, you're good.
 
Talked to Tesla... sounds like I'll get it, when I get it. I dragged my feet on completing order until Saturday... paying the price now. :(

EDIT: It just hit me... I wonder if I'm being penalized because I didn't order auto-pilot? That's pure profit for them, which I'm not giving them.
 
Omaha and Stargazer - Omaha Model 3 reservation holder here as well - I've put off configuring/ordering until I actually get to see the car in person, also wanted to check garage fitment...if either of you two end up getting your 3 soon, I'd love to buy you a beverage and peek at the car.

Stargazer - you aren't a member of OAS, by chance? :)
 
Omaha and Stargazer - Omaha Model 3 reservation holder here as well - I've put off configuring/ordering until I actually get to see the car in person, also wanted to check garage fitment...if either of you two end up getting your 3 soon, I'd love to buy you a beverage and peek at the car.

I'm not following what's going on here. I have never paid any attention to the fine print when I went in to buy a Toyota, of which I've had many. When I put my name on the list for a 3, then configured, then picked it up, I never thought of "opting" in or out of "arbitration". What are you arbitrating?

I'd be happy to have you come look at my 3. It looks like a Tesla, sort of like an S without the chrome, and the interior is simple, with a 15" screen in the middle. You've seen the pictures. Yup. That's what it looks like.

I never had to "see the car in person". As for garage "fitment", the measurements are out there. So why are you not configuring? I don't get it. The longer you wait to order, the longer you wait to drive it. And then you want to take it to court? Why?? Oh, well. I guess I'm too old.
 
Talked to Tesla... sounds like I'll get it, when I get it. I dragged my feet on completing order until Saturday... paying the price now. :(

EDIT: It just hit me... I wonder if I'm being penalized because I didn't order auto-pilot? That's pure profit for them, which I'm not giving them.

"Pure profit" is how people stay in business, and "auto-pilot" is not "pure" profit, as it entails software and hardware and firmware that every other company in those businesses charge for. But I doubt they are penalizing. They are selling to those people that are willing to buy the car that gives them the most profit -- so they can stay in business. Those on that list get their cars first. But that's good business. Toyota does the same thing.
 

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