Tesla Wins Court Ruling in Racial Bias Case, Stock Rises
Tesla shares climbed after a California court blocked a class-action lawsuit by former Black workers alleging racial discrimination at its Fremont factory. Judge Peter Borkon ruled the plaintiffs failed to gather enough witnesses to represent the proposed class of 14,000 employees.
The decision reverses a February 2024 Superior Court approval for the case to proceed as group litigation. Tesla's legal victory removes a potential multi-billion dollar liability, though individual claims may still proceed.