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- The latest headache comes from Down Under, where approximately 10,000 Australian drivers have banded together in what’s shaping up to be one of the most significant legal challenges the electric vehicle giant has faced.
- The first involves what drivers are calling “phantom braking” – a terrifying phenomenon where vehicles suddenly slam on the brakes while using Autopilot on highways, even when there’s absolutely nothing in front of them.
- “Imagine driving on the freeway in your high-end electric vehicle with cruise control or autopilot activated, and it brakes for no apparent reason,” explains one of the attorneys handling the case.
Tesla’s troubles seem to multiply faster than charging stations across America. The latest headache comes from Down Under, where approximately 10,000 Australian drivers have banded together in what’s shaping up to be one of the most significant legal challenges the electric vehicle giant has faced.
The class-action lawsuit centers around two major complaints that have Tesla owners frustrated and safety advocates concerned. The first involves what drivers are calling “phantom braking” – a terrifying phenomenon where vehicles suddenly slam on the brakes while using Autopilot on highways, even when there’s absolutely nothing in front of them.
When your car brakes for ghosts
Picture this: you’re cruising down the interstate at 70 mph with Autopilot engaged, maybe sipping your coffee or adjusting the radio. Suddenly, your Tesla decides there’s an invisible obstacle ahead and hits the brakes hard enough to spill that coffee all over your lap. That’s phantom braking in action, and it’s not just annoying – it’s downright dangerous.
The legal team representing these drivers describes scenarios where vehicles equipped with advanced driver assistance systems activate emergency braking without any apparent reason. When you’re traveling at highway speeds, this unexpected deceleration can trigger rear-end collisions or cause drivers to lose control while trying to figure out what just happened.
“Imagine driving on the freeway in your high-end electric vehicle with cruise control or autopilot activated, and it brakes for no apparent reason,” explains one of the attorneys handling the case. It’s the kind of malfunction that can turn a peaceful Sunday drive into a nightmare scenario.
Range anxiety gets real legal consequences
The second major complaint involves something every electric vehicle owner obsesses over: range. The Australian drivers claim their Teslas consistently fail to achieve even 75% of the company’s advertised driving range. We’re talking about significant shortfalls here.
Take the new Tesla Model 3 Long Range with rear-wheel drive as an example. If these claims hold water, owners might only see around 327 miles of real-world driving range instead of the promised 436 miles. That’s not just disappointing – it’s the difference between making it to your destination and getting stranded on the side of the road.
This range discrepancy isn’t just about hurt feelings over unmet expectations. When you’re planning long trips or relying on your vehicle for daily commuting, accurate range estimates become a matter of practical necessity. (And let’s be honest, nobody wants to explain to their boss why they’re late because their car couldn’t make it to the office.)
Legal timeline and corporate response
The lawsuit hit Australia’s Federal Court back in February, but Tesla’s legal team won’t present their defense arguments until July. This gives the electric vehicle manufacturer several months to craft their response to allegations of defective automation systems and misleading range claims.
What makes this case particularly interesting is the scale. We’re not talking about a handful of disgruntled customers here – 10,000 drivers represent a significant portion of Tesla’s Australian customer base. The plaintiffs are seeking compensation for what they describe as known defects in vehicles sold since May 2021.
Broader challenges for the EV leader
This Australian lawsuit comes at a time when Tesla is juggling multiple challenges. The company has seen passenger vehicle sales decline during the first quarter of 2025, and early indicators suggest the second quarter might not bring much relief.
Adding fuel to the fire, Chinese automaker BYD has reportedly overtaken Tesla as the world’s largest electric vehicle manufacturer. That’s got to sting for a company that practically invented the modern EV market and has dominated headlines for years.
The timing couldn’t be worse for Tesla’s stock price and brand reputation. When you’re fighting legal battles on multiple fronts while watching competitors chip away at your market share, every quarter becomes a test of resilience.
What this means for Tesla owners
Current Tesla owners might be wondering whether they should be concerned about their own vehicles. The phantom braking issue isn’t limited to Australia – similar complaints have surfaced in other markets, including the United States.
For potential buyers, this lawsuit raises legitimate questions about the reliability of Tesla’s Autopilot technology and the accuracy of range estimates. These aren’t minor inconveniences we’re talking about – they’re safety and functionality issues that go to the heart of what makes an electric vehicle practical for daily use.
As this legal drama unfolds over the coming months, it’ll be interesting to see how Tesla responds and whether similar lawsuits emerge in other markets. One thing’s certain: the electric vehicle revolution is still working through some growing pains, and Tesla is feeling every bump in the road.
