- Tesla was filed on Thursday with a class action lawsuit over its solar roof product.
- The plaintiff, who led the complaint, said it raised the price of its Tesla solar roof from $ 71,660 to $ 146,460.
- This is the second lawsuit Tesla has faced over the price increases on solar roofs.
- You can find more articles on Insider’s business page.
Tesla was hit by a class action lawsuit on Thursday from a solar roof customer who says the company raised the price of its roof by more than $ 70,000 after signing contracts.
The lawsuit, which has been filed in a California court, is being led by Matthew Amans, an associate professor of clinical radiology at the University of California at San Francisco.
Amans ordered a solar roof for his house in June 2020. Amans’ last signed contract prior to the price hike was March 20, 2021 when he agreed to pay $ 71,662.06. But on the weekend of April 10, Tesla sent him an email saying it would raise the price of his project, the lawsuit said.
When he logged into his account, he saw that the new price was $ 146,462.22, the lawsuit said. This was confirmed by a screenshot that Amans shared with Insider.
Instead of looking for compensation, the aim is to get Tesla to honor its original contract with Amans and install the roof at the originally agreed price.
Other Tesla Solar customers have shared similar stories of price increases.
Amans, represented by law firm Edelson PC, brought the lawsuit on behalf of people in the United States who were told that the price of solar roofs would rise. The exact size of the class is unknown, the suit said.
Continue reading: A judge ordered Tesla to hand over documents related to Elon Musk’s $ 55 billion compensation plan. This is how the sophisticated collective agreement works.
Unlike traditional solar panels that sit on a roof, Tesla’s solar roof replaces a roof and is made of bricks that act as solar cells. According to the suit, Amans hadn’t yet installed the roof, but had already spent money making changes to his home in preparation, including removing trees to limit shade.
Amans told Insider that a Tesla representative called him after receiving the email about the price increase. According to Amans, the representative apologized. When Amans asked why the price had gone up, the agent repeatedly said it was a “business decision,” Amans said.
Tesla also offered Amans a free Powerwall storage battery in an email reported by Insider, in case he decided to move on with the project. “Basically a $ 5,000 discount from the $ 76,000 increase,” he told Insider.
Tesla did not immediately respond to Insider’s request for comment.
Tesla sent out bulk emails to Solar Roof customers in April informing them of price increases on their contract. CEO Elon Musk said during the company’s first quarter earnings report that it made “significant errors” in calculating product costs.
This is the second lawsuit against Tesla over the price increase in two weeks. A Pennsylvania couple who said the price of solar roofs rose from $ 46,000 to $ 78,000 filed a lawsuit against Tesla on April 30.
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