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Archive for the ‘Lawsuits/Legal’ Category

Tesla Fights SEC’s Claims about Musk Tweets

Company contents Musk not required to clear every tweet.

by on Mar.25, 2019

Elon Musk's lawyers contend he is not in contempt of court due to tweet that said the EV maker could build 500,000 vehicles in 2019.

The ongoing back and forth between the U.S. Securities and Exchange Commission and Tesla CEO Elon Musk and the company came to a head in court filings in Manhattan Friday and earlier today with Musk’s attorneys contending he did nothing wrong.

The SEC believes the brash leader of the California-based electric vehicle maker is in contempt of court for a tweet he published on Feb. 19 that the company could build about 500,000 vehicles in 2019. Musk did not get the tweet reviewed by the company’s legal team before posting it.

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The agency called it a “blatant” violation of the fraud settlement agreement the sides agreed to last year. In addition to getting “material” tweets cleared he and Tesla each paid $20 million fines and he gave up his title as Chairman of the company. (more…)

Oslo First City to Institute Wireless Charging for Electric Vehicles

City wants taxis to be zero-emission vehicles by 2023.

by on Mar.22, 2019

Oslo wants to install induction plates into taxi stands to allow them recharge wirelessly by 2023.

One of the issues limiting the appeal of electric vehicles is recharging, but Oslo, Norway will be the world’s first city to mitigate that problem as it will install wireless charging systems for taxi cabs.

The city is requiring all of its taxis be zero-emission vehicles by 2023 while Norway is requiring all new vehicles sold in the country be the same by 2025. The new induction-based chargers aim to make recharging quick and easy, according to Finnish utility Fortum.

The Last Word!

“The future is electric, and it is already here, right now. Wireless charging is a potential game changer,” said Sture Portvik, Oslo’s electro mobility manager, in a statement. “From 2023 onward, all taxis in Oslo will be zero emission.  (more…)

Former UAW VP Jewell Expected to Plead Guilty

Six others have already been found guilty.

by on Mar.22, 2019

Former UAW Vice President Norwood Jewell is expected to plead guilty in federal court next month.

Former UAW Vice President Norwood Jewell is expected to U.S. District Court early next month to plead guilty on charges of violating federal labor law and could be sentenced to up to five years in prison.

Jewell, who abruptly quit his UAW post in December 2017, months before he was scheduled to leave office, is the second top union official implicated in the ongoing investigation. He accepted more than $40,000 in travel and gifts.

Union News!

Federal prosecutors are investigating a scam in which the Fiat Chrysler Automobiles executive responsible for relations with the UAW used money designated for training UAW workers for lavish parties and gifts.  (more…)

Tesla Sues Former Employees for Theft of Autopilot Code, Trade Secrets

Engineer swiped info before leaving to join Chinese company.

by on Mar.21, 2019

Tesla is now fending off corporate espionage from competitors like Zoox and Xiopeng by filing suits against employees for stealing corporate secrets.

Just days after bragging about the company’s plans in China, Tesla CEO Elon Musk is suing former employees for stealing from the EV maker as they left to join Chinese automakers Zoox and Xiopeng Motors.

The company filed two suits against separate sets of former employees in California. In the case of Zoox, automaker claims that four former employees stole “proprietary information and trade secrets to help Zoox leapfrog past years of work needed to develop and run its own warehousing, logistics, and inventory control operations.”

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Scott Turner, Sydney Cooper, Christian Dement, and Craigh Emigh “absconded with select proprietary Tesla documents useful to their new employer,” according to the filing. Additionally, one of the four used the info to recruit other Tesla employees.  (more…)

SEC Says Musk’s Response to Lawsuit “Borders on the Ridiculous”

Regulators tell court Tesla CEO failed to clear a single tweet with automaker per settlement.

by on Mar.19, 2019

Tesla CEO Elon Musk shown during last week's unveiling of the new Model Y.

Federal regulators have shot back at Tesla CEO Elon Musk in their battle over a contempt-of-court lawsuit, claiming the 47-year-old executive’s legal argument “borders on the ridiculous.”

The case stems from a tweet Musk filed last month declaring that Tesla would produce 500,000 vehicles this year. The Securities and Exchange Commission considered that “material” guidance which, under terms of a separate case last year, required the CEO to first get the approval of the company. But, the SEC said in a new filing, Musk has not cleared a single tweet with Tesla as he had agreed to.

Breaking News!

The lawsuit is being heard by U.S. Judge Alison Nathan who could hold Musk in contempt and levy fine or other forms of punishment. The Tesla executive was already forced to relinquish his post as chairman and could now be removed as the automaker’s chief executive officer.

(more…)

Former UAW VP Jewell Charged by Feds in FCA-UAW Scandal

He's the highest ranking UAW official charged.

by on Mar.18, 2019

Norwood Jewell, left, is the highest ranking UAW official to be charged in the ongoing investigation into the theft of UAW-FCA training funds.

Just days after rallying the troops in Detroit for the upcoming contract negotiations, the UAW received another black eye as former UAW Vice President Norwood Jewell was charged Monday by federal prosecutors for violating the Labor Management Relations Act.

Jewell, according to court documents, allegedly received more than $40,000 in travel, lodging and meals between 2014 and 2016 from people working for Fiat Chrysler.

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He is the latest in a string of FCA and UAW executives and family members who have been indicted or convicted in the FBI investigation. Representatives from the FBI and the UAW have been available for comment. (more…)

SEC Prepping Response to Musk Over Tweet Dispute

Tesla CEO claims agency wants to restrict his 1st Amendment rights.

by on Mar.13, 2019

Tesla CEO Elon Musk emphasized his distaste for the SEC during an interview on "60 Minutes."

A federal judge has given the SEC permission to fire the next shot in an ongoing battle that could determine not only whether Tesla CEO Elon Musk can continue tweeting about company business but whether he may face new penalties for allegedly violating terms of a fraud settlement.

The Securities and Exchange Commission accused Musk of improperly publishing a tweet on February 19th outlining Tesla’s 2019 production plans. In technical terms, the agency referred to it as a “material” statement, one that could impact the company’s stock price. Musk later revised the tweet and then asserted that the information had been previously announced, anyway.

Beyond the Headlines!

The latest in an ongoing battle between securities regulators and the 47-year-old executive could have a significant impact if the courts agree with the SEC that last month’s tweet violated an agreement aimed at settling the fraud settlement stemming from Musk’s proposed plan to take Tesla private. He not only paid a fine but agreed to run material comments by the automaker’s legal team before posting them. As part of last year’s settlement, Musk was forced to relinquish his position as Tesla chairman. He could now face penalties including his removal from the CEO’s job, as well.

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Tokyo Court Grants Ghosn Bail – But Move Under Appeal

Former Nissan chief could soon leave detention for first time in nearly four months.

by on Mar.05, 2019

Carlos Ghosn was a traditional fixture at the Geneva Motor Show but is still behind bars as the 2019 event gets underway.

A Japanese court has finally approved bail for former Nissan Chairman Carlos Ghosn, potentially opening the door for him to step out of the Tokyo Detention Center for the first time since his arrest on charges of corruption on November 19.

But the release of the 64-year-old executive was delayed pending an appeal by prosecutors who had repeatedly blocked Ghosn’s bid for bail, alleging he was a flight risk and that he might use his freedom to tamper with evidence.

Breaking News!

This marked the third bid for Ghosn’s release and comes just weeks after the once high-flying executive changed his legal team, turning to Junichiro Hironaka, a lawyer renowned for his ability to clear defendants in a country where prosecutors win over 90% of their cases. Hironaka had proposed to the Tokyo District Court ways to ensure Ghosn would comply with the requirements set by the court.

(more…)

Volvo to Limit Speed of All Future Models to 112 MPH

Move to address “dangers of speeding” comes as part of Vision 2020 safety plan.

by on Mar.04, 2019

Volvo Chief Executive Hakan Samuelsson said to improve the safety of its vehicles, they will be limited to 112 mph starting in 2021.

As part of its plan to prevent all deaths in future products, Volvo said Monday that it will limit the top speed to a maximum 180 kmh, or 112 mph starting with all models produced in 2021.

The automaker has laid out a strategy, dubbed Vision 2020, that aims to prevent all deaths and serious injuries in its products. It has been rolling out an assortment of passive and active safety features to help reach that goal, but sees the new self-imposed speed limit as a critical element in reaching its target.

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“Because of our research, we know where the problem areas are when it comes to ending serious injuries and fatalities in our cars,” said Håkan Samuelsson, president and chief executive of Volvo Cars. “And while a speed limitation is not a cure-all, it’s worth doing if we can even save one life.” (more…)

Pedestrian Deaths Climb to 28-Year High

Experts search for solutions, both high and low-tech.

by on Mar.01, 2019

The BMW X1 failed the IIHS pedestrian test, sending the dummy airborne during the exercise. Others suggest SUVs play a large role in rising pedestrian deaths.

Pedestrian deaths continued to rise at an alarming rate last year, reaching a 28-year high, according to new government data.

While a variety of factors appear to be responsible, including the use of smartphones by both drivers and pedestrians, the Governor’s Highway Safety Association also is pointing the finger at the explosive growth of SUVs which, like other light trucks, have tall, blunt noses that make it less likely someone will roll off of a vehicle when struck.

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Though formal federal data has yet to be released, the GHSA used statistical data analysis to estimate that 6,227 men, women and children were killed while walking on or alongside U.S. roads last year. If the official numbers back that up it would mark a 4% increase from 2017, and the largest number of pedestrian fatalities since 2018. (more…)