Tesla Drops Lawsuit Over Coronavirus Restrictions

Olivia Rondeau Contributor
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Tesla has dropped the lawsuit it filed in early May against Alameda County, California, where COVID-19 restrictions had previously shut down their Fremont manufacturing plant.

After just ten days, Tesla has formally withdrawn their lawsuit “without prejudice” according to court documents. The company has not given an official statement or any reason why as of Wednesday. (RELATED: California County Defies Governor Newsom Shutdown Order, Allows Businesses To Reopen)

The lawsuit accused Alameda County of infringing on an earlier executive order from California Democratic Gov. Gavin Newsom that exempted “16 critical infrastructure sectors” from the stay-at-home orders. Among those industries deemed crucial by the Department of Homeland Security is transportation, which Tesla, Inc. falls under. Despite Newsom’s order allowing Tesla to remain functional, the factory shut down on March 23 to comply with Alameda County stay-at-home orders.

On May 9, Tesla CEO Elon Musk announced that the company would be filing a lawsuit against Alameda County, calling the shut down unconstitutional. (RELATED: Dr Fauci Says Wet Markets Should Be Shut Down ‘Right Away’)

On May 11, Musk announced that the Fremont manufacturing plant would be re-opened against county ordinances. The official extended announcement from Tesla was made in a blog post.