Tesla files lawsuit against Ontario government

Tesla files lawsuit against Ontario government over electric vehicle rebate program

Tesla has landed a single LHD Model 3 in New Zealand and has it on display in the Auckland store.

Electric auto maker Tesla Motors Canada ULC is suing the Ontario government, claiming it has been treated unfairly in the government's decision to cancel an electric vehicle rebate.

Tesla claims it then received an additional letter from the government which "omitted details on how Tesla Canada customers could obtain rebates under the Transition Plan and made clear that (the Ministry of Transportation) had decided specifically to exclude Tesla Canada alone".

"The decision has already inflicted substantial harm on Tesla Canada in the form of lost sales and the creation of an impression among Ontarians that Tesla Canada may be singled out for future arbitrary treatment under the law", says the statement filed August 10.

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The problem, says the application, is that the Ontario government sees Tesla Canada as a subsidiary of the company's manufacturing arm whereas the company itself contends that Tesla Canada is nothing more than a dealership network.

Tesla Inc.is taking the Ontario government to court over its decision last month to cancel incentives for purchases.

In an application for judicial review, Tesla Motors Canada says that now, hundreds of its customers are no longer eligible for rebates which they expected to get when ordering their vehicles. Tesla did not immediately return a request for comment, but it confirmed the lawsuit to Reuters while declining to comment further.

As has been reported here, the newly-elected Conservative provincial government cancelled Ontario cap-and-trade program in a quest to fulfill premier Doug Ford's promise to reduce the price of gasoline by as much as 10 cents a litre and with it, "all programs funded out of cap-and-trade carbon tax revenues".

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