Tesla Sues California County Over Pandemic Factory Closure
Tesla files a federal lawsuit against Alameda County for keeping its Fremont manufacturing plant closed during the coronavirus pandemic. CEO Elon Musk threatens to move the company's headquarters and future programs to Texas or Nevada.
Tesla files a federal lawsuit against Alameda County over the continued closure of its main electric vehicle factory in Fremont, California. The legal action challenges local health orders issued on May 4 that keep the manufacturing plant shut down to prevent the spread of the coronavirus, despite broader statewide reopening plans.
CEO Elon Musk calls the county's restrictive orders the "final straw" and announces plans to move the company's headquarters and future programs to Texas or Nevada immediately. He warns that the future of the Fremont plant depends entirely on how local officials treat the electric carmaker going forward.
Alameda County representatives push back against Musk's frustration by emphasizing their ongoing, good-faith negotiations with the company. A county spokesperson states that officials work closely with Tesla to develop a comprehensive safety plan that protects thousands of employees while paving the way for a safe reopening.