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Zhang Yazhou was sitting in the passenger seat of her Tesla Model 3 when she said she heard her father’s panicked voice: The brakes don’t work! Approaching a red light, her father swerved around two cars before plowing into an SUV and a sedan and crashing into a large concrete barrier.

Stunned, Zhang gazed at the deflating airbag in front of her. She could never have imagined what was to come: Tesla sued her for defamation for complaining publicly about the car’s brakes — and won. A Chinese court ordered Zhang to pay more than $23,000 in damages and publicly apologize to the $1.1 trillion company.

Over the last four years, Tesla has sued at least six car owners in China who had sudden vehicle malfunctions, quality complaints or accidents they claimed were caused by mechanical failures.

The company has also sued at least six bloggers and two Chinese media outlets that wrote critically about the company, according to a review of public court documents and Chinese media reports by The Associated Press. Tesla won all eleven cases for which AP could determine the verdicts. Two judgments, including Zhang’s, are on appeal. One case was settled out of court.

It is not common practice for automakers — in China or elsewhere — to sue their customers. But Tesla has pioneered an aggressive legal strategy and leveraged the patronage of powerful leaders in China’s ruling Communist Party to silence critics, reap financial rewards and limit its accountability.

  • TORFdot0@lemmy.world
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    3 hours ago

    This is the kind of government Elon is trying to implement in the US when he claims DOGE is “getting rid of government waste and corruption”

  • Anyone@slrpnk.net
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    3 hours ago

    It makes an interesting read.

    … Tesla’s record in China shows how Musk has thrived in a system in which regulators, the media and the courts — which must all ultimately answer to the ruling Communist Party — are, by design, somewhat intertwined …

    Tesla has profited from the largesse of the Chinese state, winning unprecedented regulatory benefits, below-market rate loans and large tax breaks. With a few pointed exceptions, Tesla has enjoyed largely ingratiating coverage in the Chinese press, and journalists told AP they have been instructed to avoid negative coverage of the automaker.

    Tesla’s windfall has extended to the courts — and not just in legal actions Tesla has brought against customers. In a review of public court documents, AP found that Tesla won nearly 90% of civil cases over safety, quality or contract disputes brought by customers.

    “The government gave Tesla a super status that put consumers in a very vulnerable position,” said Qiao Yudong, a former lawyer for American sports car company Saleen Automotive in China. “That’s why some consumers had to resort to extreme actions.”

    One of those desperate customers was Zhang.

    […]

    Two Chinese journalists based in Shanghai told AP there is an unwritten rule to avoid critical coverage of Tesla. Both spoke on condition of anonymity, fearing retaliation.

    “We were told by our editor that we should not write negatively about Tesla because it is a key company that was introduced and protected by the Shanghai government,” a tech reporter told AP.

    Those who have strayed have found themselves in court. Musk’s company sued media outlets PingWest and ifeng.com over negative coverage. It was unhappy about PingWest’s report that claimed Tesla’s Shanghai factory was a “sweatshop.” The news website ifeng.com drew Tesla’s ire over a story that explored the tribulations of car owners who fought Tesla. PingWest had to apologize and pay Tesla 100,000 yuan ($13,700). AP could not determine the outcome of the case against ifeng.com.

    Tesla is not the only company in its industry to sue its critics. BYD has also aggressively pursued media in court, including an unsuccessful lawsuit against Vice Media in the United States. More recently, electric vehicle makers Nio and Li Auto have stepped up defamation cases against bloggers in China who allegedly spread false information about their companies.

    […]

    “Tesla used their legal advantages to bully Chinese car owners and people who speak up for them,” said Feng Shiming, an auto blogger and Tesla owner who was ordered by a Shanghai court last year to pay Tesla 250,000 yuan ($34,200) after he wrote about Tesla’s alleged brake failures. He has appealed the verdict. “Tesla wants to have a chilling effect on society and terrify people so they will be scared to say anything negative about Tesla.”

  • Hotznplotzn@lemmy.sdf.org
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    2 hours ago

    Tim Karr, a senior director at Free Press, a U.S.-based organization that advocates for more just and democratic media, wrote in August 2023:

    Working With China to Censor Critics

    As Musk began rolling out sales of Tesla in China in 2021, he and company colleagues became unnerved by a number of consumers who had taken to Chinese social media to complain about issues with the company’s malfunctioning electric cars. Rather than fix the problems, Tesla called on the Chinese government to use its censorship powers to block its critics online.

    By the end of the year, the company filed defamation claims against at least two Chinese citizens who raised concerns about the safety and quality of its vehicles …

    Addition:

    Here’s a look at free speech absolutist Elon Musk’s ties to Chinese censorship – (2022)

    Consumers began to stage increasingly visible anti-Tesla protests [over reported vehicle malfunctions, such as brake failures, unexpected acceleration, and battery fires], leading Tesla to undertake an effort to better control public perception of the brand. The plan it devised reportedly involved the company “complain[ing] to the government over what it sees as unwarranted attacks on social media,” according to insiders who spoke to Businessweek at the time, then “ask[ing] Beijing to use its censorship powers to block some of the posts.”

  • Hideakikarate@sh.itjust.works
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    7 hours ago

    In the U.S., Tesla also has been subject to a raft of customer safety complaints and lawsuits over autopilot function, battery charging, alleged suspension defects, sudden braking or acceleration, faulty airbags and allegedly monopolistic practices on repairs and parts. Judges have dismissed some cases. In others, Tesla settled out of court or paid hefty settlements.

    Tesla has not publicly sued any of its U.S. customers for speaking out, though in January, Musk said on X that “maybe it is time” to sue media outlets for coverage that could stain Tesla’s brand. His post has been viewed more than 22 million times.

    I was wondering why the suits were seemingly isolated to China. The article states that the overarching power of the Communist Party have afforded Elmo and Tesla more power. Now that he’s essentially purchased the country, I could see him throwing the added weight around here now, too.

    • Seleni@lemmy.world
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      3 hours ago

      It’s an Asian thing Musk is taking advantage of, is all. If you insult someone in power you’ve caused them to ‘lose face’, which is a suable offense.

      Japan is also really bad for this.

  • Carvex@lemmy.world
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    7 hours ago

    I would like more details, how is it possible for the manufacturer to build the vehicle incorrectly and unsafely, sell it to a consumer, and not be liable for their product? Then to double down and sue for defamation when it hurts people and they say something?