• Home
  • News
  • Fortune 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
FinanceTesla

Tesla changes its mind on plans to sue Cybertruck resellers

By
Chris Morris
Chris Morris
Former Contributing Writer
By
Chris Morris
Chris Morris
Former Contributing Writer
November 15, 2023, 11:19 AM ET
Tesla has changed its mind, for now, about suing Cybertruck resellers.
Tesla has changed its mind, for now, about suing Cybertruck resellers.Kirsty Wigglesworth - WPA Pool/Getty Images

Tesla has reversed course on plans to sue owners of its soon-to-be-released Cybertruck who resell the vehicle within one year of purchase.

Recommended Video

The company, which quietly slipped the “For Cybertruck Only” clause into its terms of sale late last week, has just as quietly removed the language. A previous paragraph in the company’s sales agreement read, in part, “Tesla may seek injunctive relief to prevent the transfer of title of the Vehicle or demand liquidated damages from you in the amount of $50,000 or the value received as consideration for the sale or transfer, whichever is greater.”

While the $50,000 legal threat is no longer in play, it remains uncertain if Cybertruck flippers will be penalized in some other fashion. Tesla still has a “No Reselling” provision in its sales agreements, which gives the company the right to unilaterally cancel any order it believes was made with resale in mind. It also claims the right to keep the buyer’s order fee, order deposit and transportation fee.

Tesla also could reintroduce the language when the Cybertruck officially launches. Tesla does not have a PR department, which could offer insight on the decision.

The Cybertruck has been something of an albatross for Tesla. After Elon Musk introduced it, it hit multiple delays and its Nov. 30 rollout will be two years later than originally scheduled. That hasn’t lessened demand, however. Musk said last month that over 1 million customers put down deposits for the vehicle.

If so, it’s going to be a long time before many get behind the wheel. Tesla can currently only manufacture 125,000 of the vehicles per year. It hopes to increase capacity to 250,000 by 2025.

Fortune Brainstorm AI returns to San Francisco Dec. 8–9 to convene the smartest people we know—technologists, entrepreneurs, Fortune Global 500 executives, investors, policymakers, and the brilliant minds in between—to explore and interrogate the most pressing questions about AI at another pivotal moment. Register here.
About the Author
By Chris MorrisFormer Contributing Writer

Chris Morris is a former contributing writer at Fortune, covering everything from general business news to the video game and theme park industries.

See full bioRight Arrow Button Icon
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.