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IceSecurity

Tesla Faces $5.8 Million Lawsuit in Israel Over Faulty Batteries

Translated & summarized from Ice by baba

BusinessCharged tone

Hebrew · 2 newsrooms covering

A class-action lawsuit for 22.1 million shekels has been filed against Tesla Israel, alleging severe consumer deception and faulty batteries in Model Y vehicles. The suit claims the company concealed defects in BYD batteries, leading to sudden vehicle shutdowns for hundreds of Israeli drivers. While Tesla addressed a similar issue in Taiwan, it allegedly remained silent in Israel, leaving owners with long waits for repairs and exorbitant replacement costs. The plaintiffs seek financial damages and a court order for free battery replacements and extended warranties.

The story in 6 lines · by baba

  • A 22.1 million shekel class-action lawsuit was filed against Tesla Israel for alleged consumer deception and faulty batteries.
  • The lawsuit claims sudden battery failures in Model Y vehicles produced at Tesla's Berlin factory.
  • Approximately 4,127 affected vehicles are in use in Israel, with 165 drivers reporting inoperable cars.
  • Plaintiffs allege Tesla hid the defect in Israel while offering remedies in Taiwan.
  • One owner was quoted 63,000 shekels for a battery replacement after the warranty expired.
  • The suit seeks financial damages and a court order for free battery replacements and extended warranties.
Tesla Faces $5.8 Million Lawsuit in Israel Over Faulty Batteries
Editorial illustration generated by baba News, not a photograph of the event.

A dramatic class-action lawsuit seeking 22.1 million shekels (approximately $5.8 million) has been filed against Tesla Israel in the Central District Court in Lod. The suit accuses the electric vehicle giant of severe consumer deception, failure to disclose a significant defect, and supplying a faulty product. The core of the lawsuit centers on the sudden collapse and complete shutdown of high-voltage batteries in popular Model Y vehicles, a problem the company allegedly attempted to conceal.

According to the filing by attorney Eli Levy, the serial failure occurs in BYD-manufactured batteries installed in 2023-2024 Tesla Model Y vehicles produced at the Berlin factory. Data from the Ministry of Transport indicates that approximately 4,127 such vehicles are in use in Israel, with 165 drivers already having joined a dedicated group after their cars became inoperable.

Tesla was reportedly aware of the defect, especially after a similar issue emerged in Taiwan. However, the company allegedly adopted a policy of ambiguity and silence in Israel. While Tesla issued a public apology in Taiwan, expanded its replacement vehicle program, and committed to preserving vehicle value, it allegedly avoided a proactive recall in Israel, according to a report by Walla news.

The plaintiffs' experiences highlight the severe impact. One plaintiff's vehicle was disabled, requiring months for a replacement battery without a suitable loaner car. Another plaintiff, whose car failed shortly after the warranty expired, was quoted a "crazy" 63,000 shekels by Tesla for a battery replacement.

The lawsuit's damages claim includes estimated depreciation and reduced marketability of about 5,000 shekels per affected vehicle owner, plus compensation for loss of use, emotional distress, and battery replacement costs. Beyond financial compensation, the plaintiffs are requesting a court order compelling Tesla to perform proactive, free inspections and replacements of defective batteries, extend the warranty on battery packs, and maintain a stock of spare parts and replacement vehicles in Israel. Tesla Israel's legal entanglement raises serious questions about service, importer conduct, and battery responsibility for electric vehicles in Israel, with the case poised to be a significant legal and public test for the company in the local market.

IceOther · Tel Aviv

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First: Walla · 9h ago

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