Tesla and Elon Musk Win Dismissal of Shareholder Lawsuit Over Self-Driving Claims

Judge rules insufficient evidence of fraud in overstating self-driving technology, though other investigations continue.

U.S. District Judge Araceli Martinez-Olguin dismissed the lawsuit, stating shareholders failed to prove Tesla and Musk committed fraud.
The lawsuit accused Tesla and Musk of overstating the capabilities and safety of their self-driving technology to boost stock prices.
Judge Martinez-Olguin noted that some of the challenged statements were not necessarily false, while others were about future expectations.
The dismissal is without prejudice, allowing shareholders the opportunity to amend and refile the lawsuit by October 30.
Despite this legal win, Tesla still faces multiple federal and state investigations into its self-driving technology claims.