Latest news with #NyreeHinton
Miami Herald
24-05-2025
- Automotive
- Miami Herald
Class Action Alleges Tesla Inflates Odometer Readings to Void Warranties Early
Tesla's warranty strategy isn't just aggressive-it's algorithmic warfare against its own customers. A California class-action lawsuit alleges the company uses predictive software to inflate odometer readings by up to 117%, voiding warranties prematurely and forcing owners into $10,000 repair bills. And if the Courts find it to be systematic? Global? Based on the lawsuit data, the total estimated annual financial benefit to Tesla is about $3.99 billion. Nyree Hinton's 2020 Model Y odometer logged 72 miles/day despite a 20-mile commute, burning through his 50,000-mile warranty in 18 months. Tesla's system calculates distance using energy consumption and driving patterns rather than physical rotation, a method patented in 2023. This is not random or a glitch but part of Tesla's revenue model. Every 1,000 algorithmically generated "miles" saves Tesla $200 in warranty repairs per vehicle, while pushing owners into $3,500 extended coverage plans. Tesla's Q1 2025 revenue dropped 9% YoY to $19.3B, with operating margins collapsing to 2.1%. A Dieselgate-scale penalty ($33B+) would consume 89% of its $37B cash reserves. Unlike VW's emissions cheat, Tesla's alleged fraud targets individual contracts-a breach that could nullify 1.3 million California warranties and trigger global copycat suits. Elon Musk dismissed the claims as "idiotic," but Tesla's only defense hinges on a technicality: odometers legally tolerate ±4% inaccuracies. Hinton's alleged 117% discrepancy would require driving 205 mph daily-farcical for a suburban commuter. The real damage is reputational at a time when the costs of EV ownership, and the high likelihood of "unexpected costs," are turning customers away. VW never recovered its 2015 U.S. market share after Dieselgate. Tesla's crisis is worse-it isn't hiding pollution, but the mileage equivalent of rigged scales. When your car's odometer runs faster than your mortgage clock, what's left to trust? Copyright 2025 The Arena Group, Inc. All Rights Reserved.
Yahoo
08-05-2025
- Automotive
- Yahoo
Tesla hit with lawsuit over alleged deception that cost drivers money: 'All of which result in financial gain'
A California man filed a class action lawsuit against Tesla, claiming that the electric vehicle automaker manipulated odometer readings to bypass warranty obligations, reported. The plaintiff believes Tesla altered the readings to avoid repairing its EVs under mileage-capped warranties. Hinton v. Tesla, Inc. et al. is a 30-page class action lawsuit filed in the Superior Court for the State of California, County of Los Angeles. Nyree Hinton filed the lawsuit after noticing mileage discrepancies with his used 2020 Tesla Model Y. He said that after taking his EV to a repair center, his mileage display should have reflected about 20 miles per day but instead showed an average of 72.4 miles daily. Hinton's complaint states that his EV was covered by a basic warranty with bumper-to-bumper coverage for four years or 50,000 miles. Hinton alleged that Tesla manipulated the mileage because his warranty was approaching its expiration date, thereby avoiding responsibility to pay for covered repairs. According to the complaint, "[Tesla's] conduct results in shortened warranty periods, increased repair costs for consumers, and reduced warranty obligations and increased sales of extended warranties — all of which result in financial gain for [the defendant]." Abnormal mileage spikes are concerning because they negate some of the benefits of EV ownership, including the lower maintenance costs compared to gas-powered vehicles. Lawsuits like this compromise companies' reputations and public perceptions, perhaps leading people to question EVs themselves. Tesla has faced numerous challenges lately, including declining sales and opposition to CEO Elon Musk. However, amid concerns about future sales and protests tied to Musk's political activities, Tesla EVs are still highly rated clean energy vehicles worth considering. For drivers who want to curb their transportation pollution while saving money on gas and maintenance, there are other options besides Teslas. Manufacturers including Cadillac, Kia, and Hyundai are changing how we perceive auto brands and what they offer. The lawsuit looks to represent all California residents who bought new or used Teslas. If the court finds Tesla guilty of knowingly inflating mileage on its vehicles, the owners will be compensated and people's opinions of the automaker will affect EV buying decisions. If you were going to purchase an EV, which of these factors would be most important to you? Cost Battery range Power and speed The way it looks Click your choice to see results and speak your mind. The class action complaint demands a trial by jury, so a panel of jurors could decide this matter. You may have the option of joining a class action lawsuit if an automaker caused you harm or was negligent in upholding its duties. As a consumer, you can become an informed driver by keeping up with lawsuit news involving Tesla and other manufacturers. EV news often covers legal issues, technological developments, and trends of interest to drivers. Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Daily Mirror
29-04-2025
- Automotive
- Daily Mirror
Elon Musk faces more embarrassment as lawsuit accuses Tesla of over-inflating odometers
Plaintiff, Nyree Hinton, alleges that Tesla odometer readings reflect energy consumption, driver behaviour and "predictive algorithms" rather than actual mileage driven Elon Musk's Tesla faces fresh legal trouble as a proposed class action lawsuit accuses the electric carmaker of manipulating odometer readings to prematurely void warranties. Such a move could save the company millions in repair costs. The plaintiff, Nyree Hinton, alleged that Tesla odometer readings reflect energy consumption, driver behaviour and "predictive algorithms" rather than actual mileage driven. Based on his other vehicles and driving history, he said the odometer on the 2020 Model Y he bought in December 2022 with 36,772 miles on the clock ran at least 15 per cent fast. For a while, he said the car recorded 72 miles a day when he drove at most 20. Hinton, a Los Angeles resident, said this caused his 50,000-mile basic warranty to expire well ahead of schedule, leaving him with a $10,000 suspension repair bill that he thought Tesla should cover. According to Hinton's lawsuit, he claims: "Rather than relying on mechanical or electronic systems to measure distance, plaintiff alleges on information and belief that Tesla Inc. employs an odometer system that utilises predictive algorithms, energy consumption metrics, and driver behaviour multipliers that manipulate and misrepresent the actual mileage travelled by Tesla Vehicles. "In so doing, Defendants can, and do, accelerate the rate of depreciation of the value of Tesla Vehicles and also the expiration of Tesla Vehicle warranties to reduce or avoid responsibility for contractually required repairs as well as increase the purchase of its extended warranty policy." He goes on: "These systemic inaccuracies and fraudulent business practices undermine the value of Tesla Vehicles and their warranties, erode consumer trust, and suggest intentional practices designed to financially benefit Tesla Inc. at the expense of its customers. "By tying warranty limits and lease mileage caps to inflated 'odometer' readings, Tesla increases repair revenue, reduces warranty obligations, and compels consumers to purchase extended warranties prematurely." Tesla can remotely monitor their cars in various ways, including through GPS, cameras, and other sensors. They can track the car's location, monitor driver behaviour, and remotely access features. However, Tesla also claims to protect driver privacy and that some data is not transmitted to them. The complaint comes as Musk, the world's richest man, has seen his fortune tank by billions as Tesla grapples with a deepening crisis. The electric carmaker's first-quarter profit dropped 71 per cent, sparking investor panic and slashing the company's market value. Amid growing concerns about Musk's role in Donald Trump's administration, Tesla vehicles have also become targets of vandalism in several cities, reflecting mounting public frustration. Once the undisputed leader in EV innovation, Tesla now faces fierce competition and sliding consumer trust. Tesla has delivered more than 250,000 vehicles in the UK. The EV maker and its lawyer did not immediately respond to requests for comment but have denied all material allegations in the lawsuit.
Yahoo
24-04-2025
- Automotive
- Yahoo
Uh-Oh, a Class-Action Lawsuit Claims Tesla Is Speeding Up Odometers to Avoid Warranties
California resident Nyree Hinton has been in the news recently for filing a class action lawsuit against Tesla. He claims Tesla's odometers are over-reporting mileage to accelerate the time it takes for the vehicles to fall out of warranty. When he purchased his 2020 Model Y in December of 2022, it had 36,722 miles on the clock. However, Hinton was recently on the hook for a $10,000 suspension repair bill that would have been covered had his basic warranty (good for 50,000 miles or 4 years) still been intact. It didn't take long for things to get extra complicated. Along with claims of accelerated mileage, Hinton stated that he believes Tesla's odometer algorithm relies on energy consumption, driver behavior, and 'predictive algorithms' rather than keeping track of the real mileage driven. He cites his driving history, with one of his daily routes covering 20 miles and the Tesla reporting 72. We've attached the case below for your review—click the image to read. Before we go any further, we should clarify that odometers do not have to be 100 percent accurate. The Society of Automotive Engineers allows for a margin of error of plus or minus four percent. So, given we bet the over on the SAE's standard, how much extra mileage would that pile on over the lifetime of your vehicle? Keeping the numbers easy, for every 1,000 miles, you would only gain an extra 40 miles on the clock. If we take the 36,722-mile odometer reading Hinton mentioned at the time he purchased his Model Y, a 4-percent discrepancy would only add 1,468.88 miles. Over the next two years before the repair, that's not a difference that would take his vehicle out of warranty. One potential hole in this case is that warranties aren't just measured by mileage—most modern warranties will age out after reaching a mileage figure or a set amount of time. In Tesla's case, the basic warranty Hinton's Model Y came with expires after 50,000 miles or 4 years. This has become standard practice, as motorists can drive wildly different distances every year. For context, the United States Federal Highway Administration says we drive an average of 13,000 miles a year. However, I rarely put more than 3,000 miles on my car annually, as I live within walking distance of my office and most of the amenities I need are nearby. The other question mark on this case is... well… the evidence. Hinton claims his Model Y's odometer reported an additional 72 miles at the end of the day when his usual route was only 20 miles long. That's a 360 percent increase, which is well outside the acceptable margin of error, and means that someone would have definitely noticed before Hinton. However, if we assume the wild inaccuracy is true, Tesla would be on the hook for odometer fraud on essentially every vehicle it has sold. Spoiler alert: the United States has zero sense of humor when it comes to fiddling around with odometers. This case is unique, as most instances of odometer fraud involve rolling the odometer back to reduce the mileage. Putting the anecdotal evidence aside for this case, the United States takes odometer fraud very seriously, and for good reason—thus far, it's cost American consumers an estimated $1 billion annually. It's highly illegal, and carries cumulative penalties for every proven instance of tampering. That's a scary thought, but our verdict is that it will be difficult for Hinton to prove any wrongdoing. Should Tesla be found guilty, they would be liable up to $250,000 for every vehicle they've possibly tampered with—for context, Tesla sold over a million Model Y's in 2023 alone. If the brand is indeed measuring mileage inaccurately, this could be a Volkswagen-dieselgate-level scandal. Do we think Hinton vs. Tesla will ever reach that level? We highly doubt it. It makes us question why the law firm would take on the case with so little convincing evidence to speak of. That being said, Tesla has a track record of settling in court, so perhaps that's the play here. You Might Also Like The Do's and Don'ts of Using Painter's Tape The Best Portable BBQ Grills for Cooking Anywhere Can a Smart Watch Prolong Your Life?
Yahoo
17-04-2025
- Automotive
- Yahoo
Lawsuit claims Tesla deliberately inflated odometer readings in its cars
is facing a proposed class-action lawsuit in California. The plaintiff alleges the company inflates the readings on the distance-measuring odometers in its vehicles to reduce warranty periods and steer people to purchase extended warranties. Tesla is facing a proposed class-action suit from owners who allege the auto manufacturer has illegally manipulated odometer readings to reduce warranty periods and save the company from having to pay for repairs to the vehicles. A California Tesla owner, who is seeking class-action status, says he bought a used Tesla in December 2022 that had 36,772 miles on the odometer. Soon after, he needed some repairs done, which was when he noticed "peculiar patterns" in his mileage totals. "Tesla Inc. knowingly overstates the distances traveled in Tesla Vehicles, or at minimum tolerates substantial inaccuracy in distances traveled in Tesla Inc.'s favor, such that the 'odometers' in Tesla Vehicles indicate greater distances than what they actually travel," the suit alleges. Lead plaintiff Nyree Hinton says he noticed his vehicle was logging 72 miles per day, when he only traveled 20 miles to and from work. That surge put the vehicle past the 50,000-mile warranty limit, voiding the Basic Vehicle Limited Warranty, which covers repair costs. The lawsuit claims that instead of measuring physical distance, Tesla odometers estimate mileage based on energy consumption and driver behavior, which inflates the numbers, so Tesla both saves money on repairs and raises revenue from other sources. "By tying warranty limits and lease mileage caps to inflated 'odometer' readings, Tesla increases repair revenue, reduces warranty obligations, and compels consumers to purchase extended warranties prematurely," the suit alleges. "Tesla has thus misled, induced, and defrauded consumers from obtaining the benefits of Tesla Inc.'s warranties." Tesla did not reply to Fortune's request for comment about the suit. This story was originally featured on Sign in to access your portfolio
