Tesla moves WI lemon law case over luxury electric car to federal court – Milwaukee Journal Sentinel (blog)

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May 2, 2014





Lawyers for luxury electric car maker Tesla Motors have moved a Wisconsin lawsuit against it into federal court after the plaintiff, a Franklin physician and retired Army officer, rejected a settlement offer.

Robert Montgomery filed the first-ever lemon law claim against Tesla last month, and that drew national publicity because of the Palo Alto, Calif.-based company’s current status as a Wall Street darling and litigation in other states over its direct-sales model that avoids traditional dealerships.

Self-proclaimed lemon law king Vince Megna represents Montgomery. After Tesla’s company blog suggested Montgomery’s own tampering may have caused some of the problems cited in his suit, Megna put out a public offer of settlement. He said recently that Tesla responded with an offer about $16,000 less than the $108, 622 Megna demanded.

On Thursday, Tesla — now represented in Wisconsin by the law firm Michael Best & Friedrich — filed a “notice of removal,” seeking to move the litigation to U.S. District Court in Milwaukee  because the dispute is between parties of different states.

The case has been assigned to U.S. District Judge Lynn Adelman.


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