WHO Is In The Wrong? Tesla vs. Owner Of Car From Auction? We GUARANTEE Tesla Won't Mention This When IT Talks About Its Direct Sales Model

WHO Is In The Wrong? Tesla vs. Owner Of Car From Auction? We GUARANTEE Tesla Won't Mention This When IT Talks About Its Direct Sales Model
There is a hairy, hairy mess down in San Diego. Thanks to Agent001, we're hearing about one man's plight with a Tesla Model S he bought at auction.

To be more specific, he bought the car with a salvage title.

Normally you can do this and it, frankly, isn't a problem. Of course it's a risky move and, personally, I'd NEVER buy a vehicle with a salvage title. Some people do it all the time though and have zero issue driving salvaged cars.

There's just one problem for Peter Rutman, the new owner of the salvage titled Model S: Tesla will NOT work with him in ANY capacity unless he signs a waiver. According to Rutman, the language in the waiver would put him a position where Tesla can do whatever it wishes with the car and determine if it's ultimately roadworthy.

If you just plunked down $50,000 on a Tesla, this is not a position you'd want to be in. AND, if you were Tesla that's been dealing with controversy since day one, this is not a car you'd want on the road. Who knows what could happen and this would be blowing up CNBC's and Bloomberg's airwaves as the equity takes a 20 percent hit.

In a written statement to San Diego 6, this is what Tesla's VP of Communications, Simon Sproule, had to say:

 

"Safety is Tesla’s top priority and it is a principle on which we refuse to compromise under any circumstance. Mr. Rutman purchased a vehicle on the salvage market that had been substantially damaged in a serious accident. We have strong concerns about this car being safe for the road, but we have been prevented from inspecting the vehicle because Mr. Rutman refused to sign an inspection authorization form. That form clearly states that in order for us to support the vehicle on an ongoing basis, we need to ensure the repairs meet minimum safety standards.

Regardless of whether or not the car passed inspection, Mr. Rutman would have been free to decide where to conduct any additional repairs and to leave with his vehicle. There was never any threat to take away his vehicle at the inspection or any time thereafter and there is nothing in the authorization form that states or implies that we would do so.

Additionally, Mr. Rutman opted to have his vehicle repaired by a non-Tesla affiliated facility. We work with a network of authorized independent repair facilities to ensure our safety standards are met. It is also worth noting that Mr. Rutman is not on any “blacklist” for purchasing Tesla parts. While we do sell certain parts over the counter, we do not sell any parts that require specific training to install. This is a policy that is common among automakers and it is in place to protect customers from the risk of repairs not meeting our safety standards."


So, who's RIGHT and who's WRONG?

Is this guy a nut OR is Tesla strong arming its way in this situation where it has the POWER to do so with a direct sales model?

Weigh in, below!

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WeaponWeapon - 9/27/2014 5:07:31 PM
+2 Boost
What does this have to do with direct sales model or not? Tesla has 3rd party authorized repair shops.

Overall there was a person who bought a salvaged Tesla and repaired it himself just fine. Rutman should have known if he could repair the vehicle or not in advanced. Generally speaking, most salvaged titles are given when the repair costs more than it costs to replace the car. So they only make sense when you plan to repair the vehicle yourself.


Agent00RAgent00R - 9/27/2014 5:37:11 PM
+1 Boost
Note that the owner is claiming that Tesla has essentially blacklisted him from receiving any help from CERTIFIED TESLA TECHS, which is what's required to activate the vehicle's "brain" so it can charge.

Please read.


scenicbyway12scenicbyway12 - 9/27/2014 6:30:05 PM
+3 Boost
Tesla right. A lot of manufacture when they find out a car is a salvage title basically erase if from there record. There is zero guarantee on who did the work or if the had a modicum of knowledge how to do the rebuild. There is a reason the salvage cars usally sell for 50 cents on the dollar.


WeaponWeapon - 9/27/2014 7:08:18 PM
+1 Boost
@Agent00R - But again, what does that have to direct sales? If Tesla can prevent certified 3rd parties from doing it, the same would apply to franchised dealerships.

On top of that, as I mentioned before a person already got a savaged car working and it can charge and everything. So why is it that this specific vehicle is turned off for charging? There has to be a reason.


Agent00RAgent00R - 9/28/2014 8:15:32 PM
+1 Boost
@Weapon

Check out TomM's reply below.


cidflekkencidflekken - 9/28/2014 1:40:12 AM
+2 Boost
The way I'm reading this, Rutman is misinterpreting the authorization form. If he just signed it, they would activate the car, and he could be on his merry way. Granted, Tesla may require additional repairs before they activate the car, but that's to the customer's benefit/safety. At least that's how I see it.


MDarringerMDarringer - 9/28/2014 9:55:47 AM
-2 Boost
Tesla needs a bull whipping. First they want to price fix / price gouge and now they want to play God with whom they will or will not allow access to qualified repairs.


TauronB2GTauronB2G - 9/28/2014 11:09:33 AM
+3 Boost
Tesla is protecting their brand. They will be the ones who lose if something happens to this car. Tesla is 100% correct.


MDarringerMDarringer - 9/28/2014 6:47:09 PM
-2 Boost
@TauronB2G you need to look up something: "antitrust"


TomMTomM - 9/28/2014 11:39:15 AM
+1 Boost
1: To claim that NOT SELLING parts that require specific training to install is a common practice among car makers is NONSENSE. Failure to sell ALL the parts is simply an attempt at price FIXING - and attempting to limit repairs to their outlets. If I were other manufacturers - I would publicize THAT statement

2: An attempting to require APPROVAL of repairs made on the car is also nonsense - who decides if the repairs are adequate?

Car owners have the RIGHT to have repairs performed by the service provider of their choice - or do them themselves. An attempt by a car maker to "approve" those repairs BEFORE allowing the car to operate simply prevents that aftermarket from doing the repair - because the repairer cannot check the repairs. If we had to take the car BACK to the dealer everytime the check engine light cam on in our cars - that would give the dealer the ability to disable our cars for as long as it wanted.

until Tesla provides FULL access to its computer and codes - and full access to all parts required to repair a vehicle - it is simply attempting to monopolize repair of its vehicles - and I would not purchase any car under those circumstances


leejleej - 9/28/2014 5:30:22 PM
+3 Boost
The usual suspects pile on Tesla because they feel Tesla threatens their own livelihood...don't worry Vladimir Darringer, no one wants a Lincoln anyway.

I would prefer direct purchase and HATE auto dealers who take time to try and screw you at every turn. I had it in with my dealership this weekend who insisted they rotated my tires and I could tell they did not because I always mark my tires with colored chalk before I go...I have caught dealers doing this no less than 7 times since I started doing this in 2001.


MDarringerMDarringer - 9/28/2014 6:49:11 PM
-1 Boost
If you hate to negotiate and like direct sales it simply means that you want to be price raped because fixed pricing ALWAYS puts more money in the dealer's pocket. But I thank you for wanting to make me a richer man.


mre30mre30 - 9/28/2014 8:48:03 PM
+1 Boost
It's time to dispense with all the "Tesla does things differently" nonsense.

In my opinion, Tesla is so non-transparent about so many facets of their cars, the parts that go into their cars, and so whinny about putting the product out there into an established marketplace that is structured to protect consumers that I'm beginning to think Elon Musk is a bit like the Wizard of Oz...watch out once the curtain is pulled back and you see the burnished façade may be just a bunch of radio shack parts cobbled together.

I don't mean to bash anybody...but sell the guy the spare parts already or buy the car back from anyone who wrecks them, if indeed there is a safety risk. I for one would be very nervous about having that much juice in laptop batteries under my butt waiting to ignite. If they buy back every damaged car, then they solved the problem.


TomMTomM - 9/29/2014 8:07:03 AM
+1 Boost
If you hate dealers - then WHY would you want a company that puts itself in the position of being the ONLY choice for repairs. What is going to stop them from REQUIRING you to perform repairs you could delay - to get them to clear codes to get the car to move? This is a worse scenario than you dealer situation. (BTW - if you tell them NOT to rotate the tires - in writing on the authorization - they cannot do it) Example - what if they tell you that they will not allow the car to work UNTIL THEY rotate the tires?
At least for a dealer - you have the ability to choose among a number of dealers. (BTW - if you tell them NOT to rotate the tires - in writing on the authorization - they cannot do it)
However - the Magnusen Moss act requires that car purchasers have the right to CHOOSE who they want to perform the repairs (Including themsleves)- they cannot be restricted to a single repair - UNLESS IT IS FREE. In Massachusetts - car manufacturers are REQUIRED BY LAW to provide repair and computer information at reasonable prices to everyone.

When you have a flat tire - and it sets a brake code that you have to have removed to start the car - and YOU have to pay to have the car towed HOURS to the nearest dealer(a flat tire is not a warranty repair) - you will likely not be HAPPY.



dwagentdwagent - 9/30/2014 4:27:59 AM
+1 Boost
You buy a salvaged car, you takes your chances. Simple as that.

You can debate the merits (or lack thereof) of a direct sales model, but the fact of the matter is that Tesla is operating under that model legally, and Rutman knew that (or should have done his homework).

He tried to pull a fast one and got caught, and is trying to sucker the media into helping him look like David taking on Goliath.

Give me a break. Tesla is no Goliath in the auto industry (not yet). You knew exactly what you were getting into, Mr. Rutman. You took your chances and you lost. Better luck with your next scam.


800over800over - 10/1/2014 11:17:50 AM
+1 Boost
The guy just has to sign a waiver that he can't sue the shit out of Tesla when his car explodes because of the repairs he made.. That's how you save 50 grand. Just sign the waiver and they'll switch on the car. Otherwise quit complaining.


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