Model X

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Regarding my Tesla Model x order and failure of Tesla to honor the purchase agreement.

On Nov 21 2020 I placed an order for a New model X with Tesla Motors. I have been patiently waiting for my delivery and keeping in touch with Tesla on this matter. I was recently told that delivery would be in the May/June time frame. This is not ideal but acceptable to me.

On 02/19/21 I was notified that Tesla would not honor the sales agreement price. Because the model X that I purchased was "no longer being manufactured". The price of $84,290 as agreed was now to become $93,490. So this does confirm that the Model X is being manufactured but Tesla wants another $9,200 to complete the transaction.

As a side note it is impossible to believe that the decision to no longer produce the Model X is now being communicated to me only now in Febuary 2021 3 months after the sales agreement was executed with the $100 deposit. In New Jersey Tesla would have 3 days to terminate the agreement. Clearly this time has expired.

This increase is unacceptable. Tesla clearly is offering a Model X long range as contracted in our sales agreement. Even if the Model X was "discontinued" there is nothing in the contract that would release Tesla from its agreement to provide a new model X as contracted for in the agreement. Superficial changes to the orientation of the touch screen and or the addition or subtraction of any minor feature does not make it a different model. The consumer does not know what or when internal changes might take place at any random time in the manufacturing process. The agreement does not specify these things or even a "Model Year" that will be delivered. The only criteria is that it is a newly manufactured Model X with a specific paint color and 1 or two trim options.

The agreed contract does not give Tesla the right to cancel the deal or change the terms or agreed price.

Tesla needs to deliver a newly manufactured Tesla Model X as agreed in the contract at the agreed price. I will not accept any other resolution. I am fully prepared to go the arbitration route if that is what is necessary.

This is a very sad thing when a "Fortune 500 company" will not honor its sales agreement for its top of the line vehicle. The claim that the ordered car is no longer available is fiction and more typical of unscrupulous organizations.

I ask you Tesla to deliver the Model X as per the legally binding contract agreed to and written by Tesla Motors.

Glenn Sanders

Comments

  • Glenn:

    I think Tesla should honor their agreement price to you, and deliver either the same or an enhanced version (whichever they prefer) at that price. It would be the right thong for them to do. However, in your explanation above you do throw the term "contract" around like it is the same as an "agreement". I believe that Tesla enters in to Sales Agreements, not contracts. And there is a defined agreed upon price, not a contracted one. The significant difference being a contract is legally enforceable (you have rights), an agreement is not (my belief).

    In the Sales Agreement I have (for a 2020 MX delivered Feb 2020) it states:

    Final Price Sheet: The Final Price Sheet will be provided to you as your delivery date nears. It will include final pricing based on your final Vehicle Configuration and will include taxes and official or governmental fees.

    and...

    Agreement to Purchase. You agree to purchase the vehicle (the “Vehicle”) described in your Vehicle Configuration from Tesla, Inc. or its affiliate (“we,” “us” or “our”), pursuant to the terms and conditions of this Agreement. Your Vehicle is priced and configured based on features and options available at the time of order and you can confirm availability with a Tesla representative. Options, features or hardware released after you place your order may not be included in or available for your Vehicle.

    and...

    The estimated delivery date of your Vehicle, if provided, is only an estimate as we do not guarantee when your Vehicle will actually be delivered. Your actual delivery date is dependent on many factors, including your Vehicle’s configuration and manufacturing availability.

    They may to modify this agreement going forward if they intend to not honor agreed upon prices.
  • I believed Tesla should honor the "agreement" is a right thing to do. But, Tesla get a bit cocky now-a-day as they have built a "brand" and do not care much. I also heard their services is a joke as well.
    I am still debate to order the Model X as I am reading the review and thus far I don't like what I am reading.
    Good luck, Glen Sanders.
  • I ordered my MX before the refresh. I was asked to pay an additional 10k because they stopped making the old model. Which I refused to. Anyone in this situation get honored?
  • @Mxless - Do you mean to get back your $100 deposit? Yes, that works. It's not clear you canceled your order or not, but once canceled, Tesla will refund your deposit. I'm not aware of anyone getting the new LR for the old LR+ price.
  • @"TeslaTap.com" I don't know. I'm still dealing with this issue. I was just asking if anyone is in the same situation. Even when I got the phone call about the 10k, they assured me that I would still get the old version. Today I found out that they stopped production.
  • Yes, the price increase is for the new X, not the old one. Production stopped on the old Model X at the end of December. There are a lot of improvements in the new X, but I can understand the shock of seeing a new higher price from what you expected. Many think the old X price was lowered a while back to help clear out the inventory, making the gap even larger than it might normally have been.
  • @"TeslaTap.com" thank you
  • I too have been left in the dark and extremely unhappy with Tesla's X delivery. I returned my leased 2017 X and was expecting to pick-up my new 2021 X. I found myself having to rent a car for over 2-months until I broke down and purchased a Y. I considered myself a loyal Tesla customer but my patience has worn thin. I can not wait for the competition to catch up. Tesla broke a good faith transaction. If there ever is a class action lawsuit, please add my name to the list.
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