It doesn’t matter.
Small claims court will award you the same that arbitration will. The only thing you have lost is your order fee.
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Your Upcoming Model Y Order Cancelation Email
- Thread starter Mrbrock
- Start date
Small claims court will award you the same that arbitration will. The only thing you have lost is your order fee.
Yesterday, you had $250 and no car.
Today you are out $250 and still have no car.
Damages? $250.
Actually my order fee is only $100. If they cancel my order, and arbitration fails to make Tesla honor the contract, I will place a new one which will cost me $7,250 more, and once I take delivery I will have $7,250 of damages because they breached the original contract.
If you want to see precedent look in the Tesla Energy forum. Tesla didn't want to honor some of the Tesla Solar Roof contracts they had made, and because the people wouldn't accept a modified contract Tesla canceled their orders. They were taken to court and ended up reinstating the original contracts because they didn't have a valid cause to terminate them. I would assume Tesla uses the same internal lawyers between the automotive and energy sides, so they should be aware that they can't just terminate contracts/agreements.
So basically you're saying that you are gonna go after Tesla over $100. Or you could just get your car now and get it at a lesser cost. Logic fail here.
If I bought the car now I would be throwing away about 8%, ~4 months, of the warranty. (And if the incentive does get approved, and the Model Y, and I, qualify for it, it would actually be cheaper for me to wait until next year and pay the higher price. Assuming of course that they don't raise the price again.)
I would be going after them to honor the contract, or $7,250 if I have to place a new order. I don't get why people think that Tesla should be allowed to change the terms of the contracts that they wrote retroactively.
I'm a Tesla shareholder, and don't think profits should be put ahead of everything else. As one judge has said, "They should put their big boy pants on" and honor their contracts. They have to look at what it will cost them if the break their contracts. For example each case that goes to arbitration costs them ~$2,000 in fees charged by AAA, as well as the expense of their staff/lawyers in dealing with the cases. (This arbitration expense is why Amazon has stopped requiring arbitration on their products, as small claims and class action suits can actually be cheaper for them. Especially on $50 products.)
They have obviously decided they don't like the terms of the contracts they agreed to which is why they changed them on November 24th for new orders going forward. But they can't retroactively apply those new terms to prior contracts.
They knew when I placed the order that I didn't want it until April of 2022, and they were fine with that...
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You are missing one key factor.
Tesla is honoring the sales price for you. You just aren’t happy with their timing. The Tesla solar people were never given the opportunity to take delivery.
Wrong, they have yet to assign me a VIN, so the 3 month clock in the contract hasn't started. If they assign me a VIN tomorrow, I will honor the contract and take delivery in February. (Earlier than I want, but acceptable.)
Nope, as I stated above, the 3 month clock hasn't started for me yet because they have never assigned me a VIN/delivery date.
If they wanted to force people to take delivery by the end of 2021 they would have had to assign a VIN to them by the end of September. That ship has sailed, at least for my order. If other people had a VIN assigned and then asked for their order to be held they could be in a different situation.
My order should not populate the list every quarter because I told them exactly when I wanted my vehicle, January 2022. If they have proper logistics planning, they should include this information. It sounds like a lot of people who don’t like those of us with orders on hold don’t fully understand the hold system. You don’t just place an order and say put this on hold indefinitely. There is a finite end date when you place something on hold. By them allowing my order to be placed on hold with this finite end date, they acknowledged that this was acceptable. They can’t go back now and change that without breaking their agreement.
You’re taking advantage of a system meant for health, travel or financial implications at the time of your delivery though.
I don’t blame the gamble but don’t complain when the cheat code doesn’t work.
when in arbitration or small court, could Tesla argue that they have never assigned you a VIN/delivery date because you didn’t complete the task?
You then could argue there is no rule/timeframe/deadline about finishing up the profile in your specific preorder term.
Then Tesla can say no rule means they can cancel the order anytime from 1 second to infinite after order being placed because no rule meaning open interpretation from all parties. And that’s what court does- who has the best REASONABLE interpretation.
If you are the first case with no precedent, Tesla legal team will make sure they set it right.
I’m interested to know where this hold policy is actually written somewhere for customers. It’s not in the order agreement, so it’s really more like a courtesy they’ve extended.
They’ve been accommodating, hold requests have gotten out of hand, and now they’re removing the holds.
pepperoni
Member
As I read things, part of the issue is that there was no official written policy, at least until recently. Placing an order for a vehicle that may come in a few months, or may not, requires a bit of flexibility on both the customer and Tesla. There are many reasons people would need to put their orders on hold, e.g., people go out of town for extended periods, have cars coming off lease, etc. In my case, our family will need a third car in the early Spring (not sooner) so our daughter will have wheels to get to school. The problem is compounded by Teslas complete inability to forecast an accurate delivery date. Having a car come months earlier or later than originally forecast can create problems for the customer, and a hold system is a very consumer friendly way to address this issue.
The terms and conditions are a legally binding contact, and they only recently added the following sentence:
As I understand, older orders do not have this sentence. Please correct me if I’m wrong about this. Without it, arbitrarily canceling an order could be legally dubious. The only thing I see is that they say they can cancel your order (and refund your fee) if the product you ordered becomes discontinued. That probably protects them for really old orders, since their cars slowly change over time.
I’m sure Tesla has really good lawyers working on this, or they wouldn’t be threatening to cancel these orders. Or maybe they are just being arrogant, who knows. In any case, the 90 days in the new agreements should protect Tesla from this situation in the future.
No car dealer can give you an EDD right now.
I get the hold. But most people are taking advantage of it obviously for pricing til their ready.
Tesla isn't even accommodating this scenario. I was away from home for the Thanksgiving holiday; my delivery date fell on Nov 18-19-20 and I had to give up my VIN, they wouldn't hold until today 11/28.
No my SA put order on hold for a week. The hold was from 11/16-11/23.
My status still says "Prepare for Delivery" and I paid in full, but now my EDD is 1/1-1/29.
When you placed your order, did you go through all the required tasks or only submit your order and then sit on it for some weeks/months before completing them? It seems like a few facts are missing from the timeline of events. If Tesla is indicating they will cancel your order, then something has gone awry.
Model Y order on hold disappeared from my Tesla account:
Received the cancellation email from Tesla on November 24 to release the hold by December 2, 2021 and get the delivery or else, my Model Y order will be cancelled automatically. It was on hold till January 1, 2022. I replied to the email 3 days back on November 26 and also spoke to a Tesla Sales Rep. and she told me that she is going to keep the hold till January 1, 2021 as it is but asked me to consider releasing the hold as soon as possible and get the delivery.
However, today (November 29), I logged into my Tesla account and found that my Model Y order has disappeared from my account’s dashboard and thus, I can not release the hold as I can not see my order/reservation. I thought I still have 4 days left till December 2 to avoid the order cancellation! I wrote another email to Tesla and still waiting for the response.
Has anyone experienced the same ? Any suggestion ?
Received the cancellation email from Tesla on November 24 to release the hold by December 2, 2021 and get the delivery or else, my Model Y order will be cancelled automatically. It was on hold till January 1, 2022. I replied to the email 3 days back on November 26 and also spoke to a Tesla Sales Rep. and she told me that she is going to keep the hold till January 1, 2021 as it is but asked me to consider releasing the hold as soon as possible and get the delivery.
However, today (November 29), I logged into my Tesla account and found that my Model Y order has disappeared from my account’s dashboard and thus, I can not release the hold as I can not see my order/reservation. I thought I still have 4 days left till December 2 to avoid the order cancellation! I wrote another email to Tesla and still waiting for the response.
Has anyone experienced the same ? Any suggestion ?
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