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Tesla sold me a Lemon and called me to buy-back - HELP!

I purchased a used Model S 90D directly from Tesla in Dec '19 and just received a call today that they will need to "unwind" my deal and buy-back the vehicle because they incorrectly sold me the vehicle with a "branded title" or in other words a lemon. Prior to purchasing from Tesla, I was told there were no issues and was given the CarFax report guaranteeing no issues with the title.

I was totally blown away by the call as it has now been 2 months since I purchased and this is the first I am hearing of this issue. I am not sure what the next steps are and was wondering if anyone here has had any experience with something like this or perhaps familiar with what my rights are as a customer?

I traded in a vehicle as part of this purchase and cannot just give this car back without an immediate replacement and I am not even sure how to handle the financing aspect with my bank and the headache this has caused to now have to "unwind" the deal and find a replacement.

Any help or suggestions on how to handle are greatly appreciated!
 

dpodoll

Member
Oct 23, 2012
349
50
I purchased a used Model S 90D directly from Tesla in Dec '19 and just received a call today that they will need to "unwind" my deal and buy-back the vehicle because they incorrectly sold me the vehicle with a "branded title" or in other words a lemon. Prior to purchasing from Tesla, I was told there were no issues and was given the CarFax report guaranteeing no issues with the title.

I was totally blown away by the call as it has now been 2 months since I purchased and this is the first I am hearing of this issue. I am not sure what the next steps are and was wondering if anyone here has had any experience with something like this or perhaps familiar with what my rights are as a customer?

I traded in a vehicle as part of this purchase and cannot just give this car back without an immediate replacement and I am not even sure how to handle the financing aspect with my bank and the headache this has caused to now have to "unwind" the deal and find a replacement.

Any help or suggestions on how to handle are greatly appreciated!
Tell them you will trade for an inventory 100D as soon as they can find one. They owe you an upgrade.
 

jmaddr

Active Member
Mar 29, 2019
1,071
1,071
Florida
Ask Tesla these questions. Give them a chance. They are coming clean, and rightfully and respectively so, and willing to give you your entire money back. Tell them your situation and see what they can do to either redo the deal with your current car at the respective market value (if you even want it and I assume it would be less but that is entirely dependent on the deal you originally got) or find you an equivalent car for the same price.
I wouldn’t think they can come and repossess the car so I don’t think you are under pressure to do anything until you are satisfied.

Give them a chance and report back here how it goes. It was a mistake and I differ from some that one is “entitled” to compensation when honest mistakes are made. Just make sure you are as satisfied with the new deal as you were with the original.
 

KarenRei

ᴉǝɹuǝɹɐʞ
Jul 18, 2017
9,618
104,586
Iceland
I purchased a used Model S 90D directly from Tesla in Dec '19 and just received a call today that they will need to "unwind" my deal and buy-back the vehicle because they incorrectly sold me the vehicle with a "branded title" or in other words a lemon. Prior to purchasing from Tesla, I was told there were no issues and was given the CarFax report guaranteeing no issues with the title.

I was totally blown away by the call as it has now been 2 months since I purchased and this is the first I am hearing of this issue. I am not sure what the next steps are and was wondering if anyone here has had any experience with something like this or perhaps familiar with what my rights are as a customer?

I traded in a vehicle as part of this purchase and cannot just give this car back without an immediate replacement and I am not even sure how to handle the financing aspect with my bank and the headache this has caused to now have to "unwind" the deal and find a replacement.

Any help or suggestions on how to handle are greatly appreciated!

Wow, they called you to inform you of this? I've never heard of anything like this before.

It's like issuing a recall of size "1".

Had you noticed any problems with the car thusfar?
 
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ElectricIAC

Devil’s Advocate
Dec 31, 2019
2,961
1,984
DFW
I purchased a used Model S 90D directly from Tesla in Dec '19 and just received a call today that they will need to "unwind" my deal and buy-back the vehicle because they incorrectly sold me the vehicle with a "branded title" or in other words a lemon. Prior to purchasing from Tesla, I was told there were no issues and was given the CarFax report guaranteeing no issues with the title.

I was totally blown away by the call as it has now been 2 months since I purchased and this is the first I am hearing of this issue. I am not sure what the next steps are and was wondering if anyone here has had any experience with something like this or perhaps familiar with what my rights are as a customer?

I traded in a vehicle as part of this purchase and cannot just give this car back without an immediate replacement and I am not even sure how to handle the financing aspect with my bank and the headache this has caused to now have to "unwind" the deal and find a replacement.

Any help or suggestions on how to handle are greatly appreciated!
The only acceptable solution of course is a fully loaded S Performance in exchange. If they won’t however, a 100D of similar spec should suffice.
 
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Thanks for the responses! Yeah, Tesla called me and left a voicemail on Valentine's day when I was at dinner with my wife to tell me they need to unwind the deal. I thought this had to be some kind of mistake when listening later and called back immediately to confirm they have the correct car. I could barely process the situation on the phone given the circumstances as they were explaining to me. I have had no issues with the car and absolutely love it because it was in great condition cosmetically and was happy with the deal.

I will definitely be giving them every opportunity to make this right and really hope they do, but dang this has been upsetting. I will also recommend they not call on Valentine's day with this type of news in the future... geez!
 
I would be concerned about the costs involved in the process of buying the car. Some states have hefty titling fees and/or taxes. Will they compensate you for all that? The loan is no big deal I don't think. They don't have up front fees on car loans and they have to allow you to pay it off early. They don't do "Rule of 78" anymore.
 

ElectricIAC

Devil’s Advocate
Dec 31, 2019
2,961
1,984
DFW
Probably a salvaged car or one totaled by an insurance company and later repaired and then traded in back to Tesla. And they just found this out.
These things do happen, yes.

Whatever it is, it had to be serious for them to get ahead of the curve on it. OP if you don’t mind, send me your VIN and I’ll pull up an AutoCheck on it to see if it bleeds onto that as well or if it’s truly an internal thing.
 
These things do happen, yes.

Whatever it is, it had to be serious for them to get ahead of the curve on it. OP if you don’t mind, send me your VIN and I’ll pull up an AutoCheck on it to see if it bleeds onto that as well or if it’s truly an internal thing.

Here is the link to the pictures and VIN: 2016 Tesla Model S 5YJSA1E26GF156822

As you can see from the pics it is in great condition and very well taken care of. It took me months watching the used car inventory to find this one with the exact specs I wanted and at the right price.

Thanks!
 

eevee-fan

Active Member
Dec 2, 2019
2,035
2,663
Nevada
You bought the car fair and square. If it's a totaled and rebuilt Model S 90D that they erroneously bought back, then my opinion is that they owe you a used, non-totaled replacement Model S 90D or equivalent in stock. Check with your state DA's office or something.
 
Ask for new car, any car of same or higher value. Dont take your cash back.
They will use it as a loaner and still make money on it till death.
For all the hassle and heartache, they should find you another car.

If the situation was reversed, and OP made an honest mistake, I seriously doubt that Tesla would care. So, OP should do what's legal, don't acquiesce to Tesla.
 
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Before you go off in the wrong direction just be aware that they were probably an innocent buyer of the car before they sold it to you. Having discovered it has a branded title, they have put you on notice, and if you say in any, that you want to keep the car, that relieves them of any responsibility if future problems arise. I have been warning people of cars being sold in other states that came out of Texas where all the flooding has taken place. These cars don't have branded titles and the electrical problems may take a year or longer to show up. Branded cars are in another class. One way a branded title is avoided, is when the car is a total loss, and the owner elects to keep the salvage, and the insurance company fails to apply for a branded title on the vehicle. The owner has it repaired or sold to a body shop, and the next owner applies for a 'clear title' and passes it on to a dealer, who believes nothing is wrong with the car. Had a friend who had an accident to the front end requiring replacement of half the front cap. When the shop went to put on the parts, they discovered the frame had been twisted and partially cutaway, due to a prior accident that would have made the car a total loss. His insurance company only offered to pay him the value of the damaged parts, and the labor, but the car could not be repaired without butchering the new parts. The story ended with the dealership who sold him the car, joining him in a lawsuit against the original seller...and they won. In your case, the transaction appears to be in good faith, and although they can not get your previous trade-in back, they should pay the full value of the sale. You could ask for a like-kind of vehicle in milage and quality, but I don't see any court awarding you an 'upgrade' . As long as they are dealing in good faith, and no fraud or misrepresenting on their part, I don't see where a court would award a measure of damage beyond that. Now for customer satisfaction or protection of the brand, they may well be willing to discuss some measure of restoring your faith in the brand, but do realize there is a limit to how far they will go.
 

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