Lawsuit Overview
January 13, 2017 - The U.S. Court of Appeals for the 9th Circuit affirmed the judgement of the district court.
December 19, 2014 - The plaintiffs filed a notice of appeal.
December 5, 2014 - The court entered a judgment in favor of the defendants.
September 26, 2014 - The court granted the defendants' motion to dismiss without granting plaintiffs leave to amend.
June 16, 2014 - The defendants filed a motion to dismiss.
June 16, 2014 - The plaintiffs filed a second amended complaint.
April 15, 2014 - The plaintiffs filed an amended complaint.
April 15, 2014 - A plaintiff filed a notice of voluntary dismissal, dismissing an individual defendant without prejudice.
January 7, 2014 - Lead plaintiff motions were filed.
November 22, 2013 - Another investor filed a complaint.
November 8, 2013 - An investor in shares of Tesla Motors Inc (NASDAQ: TSLA) filed a lawsuit in the U.S. District Court for the Northern District of California against Tesla Motors Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between May 10, 2013 and November 6, 2013.
According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired Tesla Motors Inc (NASDAQ: TSLA) between May 10, 2013 and November 6, 2013, that Tesla Motors Inc and certain of its officers and directors violated the federal securities laws pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
More specifically, the plaintiff alleges that between May 10, 2013 and November 6, 2013 defendants made allegedly false and misleading statements and allegedly failed to disclose material adverse facts about the Tesla Motors Inc's business, including that Tesla Motors Inc's statements about the Model S's highest safety rating and its lack of prior fire incidents were materially misleading, due to undisclosed puncture and fire risks in its undercarriage and lithium ion battery pack, that the Model S suffered from material defects which caused the battery pack to ignite and erupt in flames under certain driving conditions, that Tesla Motors Inc's future sales, its next generation Model X introduction, and its stock price were extremely vulnerable to the inherent risk posed by the Model S's undercarriage and battery pack design flaws, that Tesla Motors Inc's was unable to maintain a level of automobile deliveries sufficient to satisfy analyst concerns and compensate for other declining revenue streams, and that as a result of the foregoing, Tesla Motors Inc's public statements were materially false and misleading at all relevant times.
Tesla Motors Inc reported that its annual Total Revenue increased from $11.94 million in 2009 to $413.26 million in 2012 while its respective Net Loss increased from $55.74 million to $396.21 million.
For the second quarter in 2013 Tesla Motors Inc reported quarterly Revenue of $405.14 million, compared to $26.65 million in 2012 and that its second quarter Net Loss declined from $105.60 million in 2012 to $30.50 million in 2013.
Shares of Tesla Motors Inc grew from $17.40 per share in July 2010 to as high as $194.37 per share on September 30, 2013.
On October 2, 2013, a Model S burst into flames following a purported collision, with Tesla Motors Inc later admitting that the fire began in its battery pack.
Shares of Tesla Motors Inc (NASDAQ: TSLA) declined from over $194 per share in late September to $168.26 per share on October 3, 2013.
On November 7, 2013, Tesla confirmed a third Model S fire, caused by impact with road debris during normal driving conditions.
Tesla Motors Inc (NASDAQ: TSLA) shares declined from $179.70 per share on November 5, 2013, to $132.60 per share on November 8, 2013.