‘Full Self-Driving’: the US Court of Appeals for the 9th Circuit dismisses the class action against Tesla

The judges ruled that it could not be assumed that all buyers had seen the same misleading statement on Tesla’s website: the claimants will have to bring their cases individually.

The U.S. Court of Appeals for the 9th Circuit on Oct. 16 overturned the certification of the plaintiffs' groups in the LoSavio vs. Tesla case, which alleged the automaker exaggerated the capabilities of its self-driving option while charging extra. A federal judge in the Northern District of California had certified a limited class of California consumers not bound by an arbitration clause in August 2025, and the appeals court had agreed to consider Tesla's appeal.

According to the panel of three judges, the trial court had wrongly inferred that all buyers had been exposed to the same allegedly misleading message published on Tesla's website. What customers read or heard before their purchase is a matter of individual situations, the procedure can no longer continue in the form of a class action. During the hearing on August 31, the judges seemed divided. The decision comes after Tesla has already had to rename its FSD "Tesla Assisted Driving" in Europe.