French Tesla owners seek to return cars early without penalty

Tesla drivers in France have asked a court to end their lease deals with the company, saying that Elon Musk’s political views have made their cars “far-right totems.”

FT reported that about ten Tesla customers filed the suit, claiming that Musk’s public support for far-right causes has damaged the Tesla image.

They say growing hostility toward the brand has stopped them from enjoying the cars they picked, many of which they chose for environmental reasons.

The action is still in its early stages. Judges at Paris’s commercial court will first decide whether to allow the case to proceed. If they do, the court will examine the merits of the customers’ arguments.

Around ten drivers are already named in the lawsuit, and the group’s lawyers say more Tesla users in France can join the legal action. That means the number of customers could grow if others agree that Musk’s statements affect the value and treatment of their vehicles.

French Tesla owners seek to return cars early without penalty

Most Tesla leases in France run for about four years. At the end of those contracts, lessees usually have the option to buy the car outright at a set price. The suit asks the court to declare those leases void, letting drivers return their cars early without penalty.

The complaint points to a string of Musk’s recent acts that the plaintiffs say are inflammatory. They include what looks like a Nazi salute Musk made on camera after Donald Trump’s inauguration in January, as well as his public claim that Britain’s Prime Minister, Sir Keir Starmer, was “complicit in rape” over his handling of historic child abuse cases when he led prosecutions in the UK.

According to the lawsuit, Musk’s behavior has left Tesla owners facing extra costs and risks. The drivers say they now deal with a higher chance of having their cars vandalized, they pay bigger insurance bills, and their vehicles’ resale values have fallen because of the backlash.

Lawyers Patrick Klugman and Ivan Terel gave specific examples of damage. Klugman said one client found a swastika carved deep into the metal of their Tesla. Terel added that another had to clean up after vandals defecated on the bonnet of their car.

The plaintiffs base their claim on French civil law, which requires lessors to allow renters to “peacefully enjoy” what they have rented. Klugman argued that, because of Musk’s political statements, some Tesla drivers have become “prisoners of their contracts,” unable to use their cars freely without fear of attack.

“It will be interesting to see someone who is so liberal like Mr. Musk confronted with the responsibility of their words on their business,” Klugman told the Financial Times. “Freedom, even among the most liberal among us, doesn’t come without responsibility. The actions of business leaders engage their businesses.”

The lawsuit comes as Tesla’s sales in Europe have dropped sharply. In France, new registrations of Tesla cars fell by 67% in May compared with the same month a year earlier. That marked the lowest level of new Tesla registrations in France since July 2022, according to data from Plateforme Automobile.

Over the past few months, Tesla has reduced sticker prices by up to 20% in major markets. While these cuts have spurred some purchases, they’ve also undercut the brand’s premium image and squeezed earnings.

Meanwhile, President Donald Trump said on Monday that despite recent tensions with Elon Musk, he plans to keep his Tesla and continue using Musk’s Starlink service. Trump said he “wished Musk well” and suggested the CEO might want to reach out to him soon—“maybe he has already called,” Trump added.

Tesla shares rose roughly 1%, marking their fourth consecutive daily gain, after Musk publicly expressed regret for specific social media comments about Trump. That rare show of contrition appeared to calm some investors.

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