Tesla threatens to sue Alameda County, California and move to Texas or Nevada
“Frankly, this is the final straw. Tesla will now move its HQ and future programs to Texas/Nevada immediately,” Musk tweeted. Tesla did not respond to a request for comment on Saturday.
“This has been a collaborative, good faith effort to develop and implement a safety plan that allows for reopening while protecting the health and well-being of the thousands of employees who travel to and from work at Tesla’s factory,” the Alameda Health Department responded on Saturday in a statement to CNN Business. “The team at Tesla has been responsive to our guidance and recommendations, and we look forward to coming to an agreement on an appropriate safety plan very soon.”
“We’ve been working with [Tesla], but we have not given the green light,” Alameda County Health Officer Erica Pan said during Friday’s town hall. “We have not said it is appropriate to move forward.”
Tesla’s lawsuit, filed Saturday evening in federal court in California’s Northern District, asks for a permanent injunction barring the county from enforcing its shelter-in-pace order. The company said it believed it is exempt because its operations fall within the definition of critical infrastructure.
On Saturday, Musk also encouraged Tesla shareholders to file a class action lawsuit against the county for any money lost given that Tesla competitors in other states could resume their operations earlier. He said that Tesla should be allowed to reopen because it learned how to deal with Covid-19 through its factory in Shanghai, China, which is currently the company’s only operating plant.