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What's next: Media Matters filed a motion to dismiss Musk's lawsuit in March, but a judge has yet to rule. VCG/GettyGovernment lawsuits and investigationsSEC investigation into Musk's Twitter takeoverThe issues: The Securities and Exchange Commission is investigating Elon Musk's Twitter purchase. Matt Winkelmeyer/Getty ImagesPersonal lawsuits against MuskTornetta v. MuskThe issues: Tesla shareholder Richard Tornetta sued Musk and Tesla in a class action lawsuit regarding Musk's compensation package, which was worth $55.8 billion at the time. Several lawsuits also allege Musk discriminated against them because of their race, gender, or disability in choosing to fire them. The executives were set to receive golden parachutes, but claim Musk and X have not paid them out.

Persons: —, Elon Musk, Musk, Claire Boucher, Grimes, Alex Spiro, Sam Altman, Donald Trump, Spiro, Anna Webber, Angelo Carusone, What's, Gina Carano, Schaerr Jaffe, Tesla, Musk's, Elon, SEC hasn't, Elon Musk's, who've, Owen Diaz, Matt Winkelmeyer, Richard Tornetta, Kimbal Musk, He's, Boucher, Benjamin Brody, Brody, Brody reverberated, Ben Brody, didn't, Robert Kaiden, Kaiden, he's, Agrawal, Parag Agrawal, Ned Segal, Twitter Vijaya Gadde, Sean Edgett, Segal, hadn't Organizations: Service, SpaceX, Business, OpenAI, SEC, Trump, Trump —, Elon, Variety, Media, X Corp, Disney, National Labor Relations Board, UAW, Tesla, Getty Government, Twitter, Securities, Exchange Commission, Justice Department, Reuters, Traffic, Administration, NHTSA, Apple, NLRB, Musk's SpaceX, US, Employment Opportunity, Musk, Nazi, Litigation Locations: Texas, Texas and Missouri, America, Nazi Germany, California, Delaware, San Francisco

☆ Tesla Settles Discrimination Suit With Former Factory Worker
▼ + stars: | 2024-03-15 | by ( Jack Ewing | More About Jack Ewing | ) www.nytimes.com time to read: +1 min

Tesla and a former employee have agreed to settle a closely watched lawsuit that cast a harsh light on the carmaker’s treatment of Black workers. Lawyers for Tesla and for Owen Diaz, who worked at the company’s factory in Fremont, Calif., did not disclose the terms of the settlement in a legal filing on Friday. Organ, a lawyer for Mr. Diaz, said in an email, adding that he could not comment further. A supervisor drew a racist caricature near his work station, according to testimony in the case. Tesla did little to discipline the supervisors or address pervasive racism at the factory, the jury found.

Persons: Tesla, Owen Diaz, “, ” Lawrence, Diaz Organizations: Tesla Locations: Fremont , Calif, San Francisco, Tesla’s

☆ Tesla settles with Black worker who won two trials over racist discrimination
▼ + stars: | 2024-03-15 | by ( Lora Kolodny | In Lorakolodny | ) www.cnbc.com time to read: +2 min

Attorney Lawrence Organ, with the California Civil Rights Law Group, who represented Diaz told CNBC via e-mail: "The parties have reached an amicable resolution of their disputes. The same firm is representing current and former Tesla employees in a proposed class action lawsuit, Marcus Vaughn v. Tesla Inc., alleging that the racist discrimination and harassment of Black workers has continued at the automaker. Organ told CNBC by phone on Friday, "It took immense courage for Owen Diaz to stand up to a company the size of Tesla. Even though the litigation chapter of his life is over, there's still a lot of work to do for Tesla." Tesla has called the EECO's allegations "a false narrative that ignores Tesla's track record of equal employment opportunity."

Persons: Tesla, Owen Diaz, Lawrence Organ, Diaz, Marcus Vaughn, Organ, there's, Elon Musk, haven't, Jim Crow Organizations: California Civil Rights, Group, CNBC, Tesla Inc, Tesla, Commission Locations: Fremont , California

☆ Tesla erases references to DEI from its new 10-K following Elon Musk’s criticisms
▼ + stars: | 2024-02-01 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +5 min

New York CNN —Tesla CEO Elon Musk has a new social media target: Diversity, Equity and Inclusion. Following Musk’s recent critical posts about DEI policies and racial discrimination lawsuits against Tesla, the electric car company has omitted all language regarding minority workers and outreach to minority communities in its 10-K filing with the SEC made January 29. In Musk’s eyes, DEI is “just as morally wrong as any other racism and sexism,” he tweeted in December. And as recently as 2020, Tesla had been publishing its own corporate DEI reports, reaffirming its commitment to the mission. CNN has reached out to Tesla for comment, though the company does not usually respond to press requests.

Persons: Elon Musk, Tesla, ”, It’s, George Floyd’s, Harvard’s, Claudine Gay, Gonzalo Fuentes, Bill Ackman, Musk, ” Musk, Owen Diaz, Mark Cuban, “, Catherine Thorbecke, Nicquel Terry Ellis Organizations: New, New York CNN, Equity, SEC, Bloomberg, Tesla, Black Colleges, Universities, ”, Asian Pacific Islanders, Minneapolis, CNN, SpaceX, Twitter, Viva Technology, Reuters Billionaire, Harvard, DEI, California Department of Fair, Housing, Fremont, Dallas Mavericks Locations: New York, America, Paris, France, Fremont , California, Fremont, United States, ” Cuban

☆ Ex-Tesla factory worker loses bid for new trial in race bias
▼ + stars: | 2023-10-04 | by ( ) www.cnbc.com time to read: +3 min

An aerial view of the Tesla Fremont Factory on May 13, 2020 in Fremont, California. A Black former factory worker for Tesla lost his bid on Wednesday for a third trial in his race discrimination lawsuit against the electric carmaker, after a California federal judge rejected his claims that the company's lawyers had engaged in misconduct and tainted his trial. Equal Employment Opportunity Commission last week, to allege rampant racial harassment at Tesla's flagship Fremont, California assembly plant. The judge ordered the second trial to determine damages after Diaz turned down a lower payout of $15 million. Orrick barred both sides from presenting new evidence or testimony at the second trial, which took place in March.

Persons: Tesla, William Orrick, Owen Diaz, staving, Diaz, baselessly, Orrick Organizations: Tesla Fremont Factory, U.S, Commission Locations: Fremont , California, California, San Francisco, Fremont

Equal Employment Opportunity Commission last week, to allege rampant racial harassment at Tesla's flagship Fremont, California assembly plant. The judge ordered the second trial to determine damages after Diaz turned down a lower payout of $15 million. Tesla and lawyers for Diaz did not immediately respond to requests for comment. Orrick barred both sides from presenting new evidence or testimony at the second trial, which took place in March. Diaz claimed that Tesla's lawyers violated that directive by questioning him and other witnesses about alleged altercations between Diaz and other workers, which had not come up at the first trial.

Persons: Thomas Peter, Tesla, William Orrick, Owen Diaz, staving, Diaz, baselessly, Orrick, Daniel Wiessner, Lisa Shumaker, Alexia Garamfalvi Organizations: REUTERS, U.S, Commission, Thomson Locations: Beijing, China, California, San Francisco, Fremont , California, Fremont, Albany , New York

☆ EEOC sues Tesla alleging widespread racist harassment of Black workers, retaliation against those who spoke out
▼ + stars: | 2023-09-28 | by ( Lora Kolodny | ) www.cnbc.com time to read: +2 min

Equal Employment Opportunity Commission (EEOC) has sued Tesla accusing Elon Musk's electric car maker of violating "federal law by tolerating widespread and ongoing racial harassment of its Black employees and by subjecting some of these workers to retaliation for opposing the harassment." The federal agency responsible for enforcing civil rights laws against workplace discrimination announced it was filing suit against Tesla on Thursday. Last year, a financial filing from Tesla revealed that the EEOC had issued a cause finding against the company. After that, Tesla engaged in a mandatory conciliation process with the EEOC the filing said. The lawsuit (EEOC v Tesla, Inc., Case No.

Persons: Tesla, Elon, Owen Diaz, Read Organizations: Tesla Inc, Opportunity Commission, Tesla, CNBC, Inc, Northern, Northern District of Locations: Fremont , California, U.S, California, Northern District, Northern District of California

Tesla has failed to investigate complaints of racist conduct and has fired or otherwise retaliated against workers who reported harassment, the EEOC said in the lawsuit. The lawsuit adds federal charges to discrimination claims by the state of California and lawsuits by Tesla employees. It follows the breakdown of settlement talks with the EEOC after Tesla announced that the agency had formally raised its concerns last year. The department alleges that Tesla discriminated against Black workers when making decisions about pay, promotions and work assignments. Tesla is also facing a class action lawsuit in California state court over the alleged mistreatment of Black factory workers.

Persons: Tesla, Charlotte Burrows, Stephen Lam, Burrows, ”, Owen Diaz, Diaz, Black, Daniel Wiessner, Leslie Adler, Daniel Wallis, Alexia Garamfalvi, Aurora Ellis Organizations: Tesla, U.S, Tesla Inc, Opportunity Commission, Motorists, REUTERS, California Civil Rights Department, Thomson Locations: Fremont , California, U.S, California, Fremont, Black, Albany , New York

A judge said that amount was excessive and ordered a second trial on damages after Diaz rejected a reduced award of $15 million. "There is no other explanation for the extraordinary gap between the first and second jury's damages verdicts," his lawyers wrote. Diaz also renewed a motion for a mistrial on similar grounds, which the judge had denied in the middle of the retrial. The U.S. Supreme Court has said punitive damages should be no more than nine times the amount of other damages. Lawyers for Tesla and Diaz did not immediately respond to requests for comment on Wednesday.

☆ Black ex-Tesla worker awarded $3.2 million in a racial harassment case is seeking a new trial, saying 'poisonous messaging' made proceedings unfair
▼ + stars: | 2023-05-10 | by ( Sawdah Bhaimiya | ) www.businessinsider.com time to read: +3 min

A Black former Tesla worker rejected a $3.2 million payout in a racial harassment case against the firm. Owen Diaz is seeking another trial after Tesla lawyer's "poisonous messaging" tainted proceedings. A Black former Tesla contract worker who was awarded $3.2 million in damages in a racial harassment case against the company is seeking a retrial, saying that the use of "poisonous messaging" tainted the proceedings. Diaz told the court in 2021 that colleagues verbally abused him and told him to "go back to Africa," according to CNBC. These lawyers said that the $3.2 million payout is disproportionate to Diaz's compensatory damages, per Bloomberg.

☆ Tesla was ordered to pay $3.2 million in damages to a former employee in a racial discrimination case
▼ + stars: | 2023-04-04 | by ( Katherine Tangalakis-Lippert | ) www.businessinsider.com time to read: +2 min

Former Tesla employee Owen Diaz was awarded $3.2 million in damages after suing the company. The verdict stems from a 2017 complaint that he faced racist abuse and Tesla failed to prevent it. Diaz had previously refused a $15 million award in the case and filed for this new trial. In 2021, Tesla was ordered to pay $137 million in damages over the suit, but the amount was slashed to $15 million by a judge who argued the previous jury had awarded an "unconstitutionally large" sum. In 2022, Owens rejected the $15 million award, instead opting for a new trial — this one, where he was ultimately awarded a lower amount.

A judge agreed with that jury that Tesla was liable but said the award was excessive. He ordered a new trial on damages after Diaz declined the reduced $15 million award. But it could be cut even further because punitive damages are typically capped at no more than nine times the amount of damages for emotional distress and other injuries, Saba said. The punitive damages awarded by the jury on Monday were nearly 20 times the damages for emotional distress. The first jury in 2021 awarded Diaz $7 million in damages for emotional distress and a staggering $130 million in punitive damages.

The trial involved Owen Diaz, a former elevator operator at the Fremont plant who said he was subjected to harassment including racial slurs and racist caricatures. Diaz won a $137 million verdict at a previous trial in 2021, but a federal judge lowered the jury's award to $15 million while agreeing that Tesla was liable. What stands out is the consistency of the claims alleging rampant harassment of Black workers at Tesla's plant in Fremont. Tesla is also fighting a spate of sexual harassment lawsuits by female workers at the Fremont plant and another factory near Los Angeles. In another pending case, a former production manager claims he was fired for raising concerns about safety issues at the Fremont plant and a factory in Nevada.

He opted for a new trial on damages after a judge agreed with that jury that Tesla was liable but significantly reduced the award to $15 million. Tesla and lawyers for Diaz did not immediately respond to requests for comment on the verdict. The first jury in 2021 awarded Diaz $7 million in damages for emotional distress and a staggering $130 million in punitive damages. On Friday, Orrick denied a motion by Diaz's lawyers for a mistrial. Orrick said those questions were related to other incidents discussed in the first trial, and that Diaz's lawyers had not shown that the questioning prejudiced the jury.

☆ Jury orders Tesla to pay more than $3 million to Black ex-worker who endured racist abuse
▼ + stars: | 2023-04-03 | by ( Lora Kolodny | ) www.cnbc.com time to read: +4 min

Diaz, a Black man, was hired as a contract worker at Tesla in 2015 through a staffing agency. Diaz and Tesla sought a retrial to decide damages after Judge William H. Orrick reduced the amount to $15 million. "No Black man in 2015 should ever be subjected," Alexander said, "to this plantation mentality workplace." The plaintiffs asked the jury to consider punitive damages around $150 million for Tesla, and to award Diaz $6.3 million in past non-economic damages, and $2 million in future non-economic damages. As CNBC has previously reported, where it is legal to do so, Tesla has compelled employees to agree to mandatory arbitration.

U.S. District Judge William Orrick denied the motion during a pretrial conference, saying Diaz had not shown that comments by Tesla's lawyers had prejudiced the jury. A different jury in 2021 found Tesla liable for discrimination, which Orrick had upheld while finding that the $137 million the jury had awarded in damages was excessive. Diaz denied making those comments, and his lawyers claimed that Tesla had violated Orrick's order prohibiting new evidence. Tesla is likely to challenge any verdict awarding damages to Diaz. Tesla has said it does not tolerate discrimination and takes complaints by workers seriously.

In the new lawsuit, Goode claims that over the course of 2022 the white regional manager made a series of offensive comments. Goode claims that last October the manager blocked him from interviewing for a promotion that ultimately went to a white worker. Tesla company policy does not set a deadline for the reports, Goode claims. The lawsuit, which alleges violations of California and federal laws banning workplace race discrimination and retaliation, seeks damages for lost wages and benefits and emotional distress and punitive damages. Tesla has denied wrongdoing in those cases and has said the lawsuit by the California Civil Rights Department was politically motivated.

“It made me feel less than a man (and) it made me question my worth,” Diaz said. Diaz rejected the lower payout and opted for a new trial on damages before a different jury. Tesla has maintained that it does not tolerate workplace harassment and takes discrimination complaints seriously. The lawyer testified that while Tesla had adopted adequate anti-bias policies, the company failed to properly investigate and respond to complaints from Diaz and other Black workers. Reporting by Daniel Wiessner in Albany, New York Editing by Matthew LewisOur Standards: The Thomson Reuters Trust Principles.

☆ The second day of Tesla's racial bias trial included testimony from a former worker who said he found feces on a factory cart
▼ + stars: | 2023-03-29 | by ( Grace Kay | ) www.businessinsider.com time to read: +6 min

It was part of a retrial for an ex-contractor who filed a racial discrimination lawsuit against Tesla. Wheeler was one of a handful of former Tesla workers that testified on Tuesday regarding their experience as Black workers at Tesla's Fremont factory. Wheeler said that the incident occurred one evening during his night shift at the factory after he took a 30-minute break. Wheeler had testified about the alleged incident in the initial trial in 2021. His complaints echo similar lawsuits from other Tesla factory workers.

The five-day trial on damages, in federal court in San Francisco, comes after a jury in 2021 found Tesla liable for discrimination and ordered the company to pay Diaz $137 million. Diaz rejected the lower payout and opted for a new trial on damages before a different jury. Tesla has maintained that it does not tolerate workplace harassment and takes discrimination complaints seriously. The lawyer testified that while Tesla had adopted adequate anti-bias policies, the company failed to properly investigate and respond to complaints from Diaz and other Black workers. Reporting by Daniel Wiessner in Albany, New York Editing by Matthew LewisOur Standards: The Thomson Reuters Trust Principles.

Diaz's lawyers rejected the lower payout and opted for a new trial on damages. Alex Spiro, a lawyer for Tesla, told the jury that any racist conduct at the plant was indefensible. As at the last trial, Diaz and several employees and managers at the Fremont plant are expected to testify. U.S. District Judge William Orrick last year reduced the compensatory damages to $1.5 million and the punitive damages to $13.5 million. The U.S. Supreme Court has said punitive damages typically should be no more than 10 times compensatory damages.

Last year, a judge slashed the $137 million verdict that the jury awarded in 2021 to plaintiff Owen Diaz, one of the largest ever in a U.S. workplace discrimination case. Diaz's lawyers rejected the lower payout and opted for a new trial on damages. After the 2021 trial, U.S. District Judge William Orrick agreed with a jury that Tesla was liable for race discrimination but cut the verdict to $15 million. As at the last trial, Diaz and several employees and managers at the Fremont, California plant are expected to testify. Orrick last year reduced the compensatory damages to $1.5 million and the punitive damages to $13.5 million.

☆ Elon Musk calls US media and schools 'racist against whites & Asians'
▼ + stars: | 2023-02-26 | by ( Lora Kolodny | ) www.cnbc.com time to read: +5 min

Tesla Chief Executive Office Elon Musk speaks at his company's factory in Fremont, California. In the video, Adams discussed a poll conducted by right-leaning Rasmussen Reports that said 26% of Black respondents disagreed with the statement "It's OK to be white." In his video, Adams called Black people who rejected that phrase as a "hate group." He then added, "For a *very* long time, US media was racist against non-white people, now they're racist against whites & Asians. Musk claimed that the media coverage is "Very disproportionate to promote a false narrative."

☆ Federal judge denies Tesla's retrial request in case involving worker's claims of racism at factory in Fremont, California
▼ + stars: | 2022-12-07 | by ( Grace Kay | ) www.businessinsider.com time to read: +3 min

A federal judge denied Tesla's request for a retrial over the verdict of a case involving a former worker's claims of racism. Last year, a jury determined that Tesla owed Owen Diaz $137 million over allegations of racism at its Fremont factory. US District Judge William H. Orrick halted Tesla's efforts to potentially overturn the racism verdict during a 20-minute motion hearing on Wednesday. Last year, a jury awarded former Tesla elevator operator Owen Diaz $137 million in his lawsuit against Tesla. Diaz was among the first of many Tesla workers at the Fremont factory to file a lawsuit against the company.

☆ Tesla seeks full retrial in factory worker’s race bias lawsuit
▼ + stars: | 2022-10-18 | by ( ) www.nbcnews.com time to read: +2 min

The damages trial is scheduled for March. Lawyers for Tesla and Diaz did not immediately respond to requests for comment on Monday. Tesla on Friday said the issues of liability and damages are “inextricably interwoven,” and Diaz must start from scratch with a full retrial. Tesla is facing a series of lawsuits involving alleged widespread race discrimination and sexual harassment at the Fremont factory, including one by a California civil rights agency. The company last month counter-sued the agency, claiming it filed the lawsuit without following the procedures required by state law.

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