Tesla settles Norway lawsuit regarding car’s performance

Tesla showroom in Oslo, Norway

Tesla Motors has reached an out-of-court settlement with 126 clients in Norway who claimed their cars performance did not match promises made in the automaker’s marketing.

Lawyers for the owners and the automakers informed the Oslo District Court in a joint letter they wished to withdraw the case which had been due to begin on Monday, a court spokesperson said.

Kaspar Nygaard Thommessen of Oslo-based law firm Wikborg Rein, that represented the Tesla owners, informed Reuters a settlement had been reached in recent days and the case had been resolved.

He refused to give information of the settlement.

Norwegian newspaper Dagens Naeringsliv stated on Sunday Tesla had accepted pay 65,000 Norwegian crowns ($7,700) to every car owner, about half of exactly what they required, or allow them to pick from alternative choices, consisting of car upgrades.

Tesla did not right away respond to a Reuters request for remark.

The case concerned Tesla’s Model S P85D, which the car owners said had a lower horse power than mentioned by Tesla. The company has denied deceiving the buyers.

While the Model S PD85 is not used in Norway anymore, comparable Tesla Model S automobiles range from $95,000 for the 90D variation to $135,000 for the P100D, as per the company’s Norwegian cost site. Most purchasers will also spend for add-ons that raise the price further.

Norway is one of the world’s leading markets for electrical cars due to generous government subsidies aimed at boosting the electrification of transportation.

The registration of new Tesla vehicles in Norway dropped by 24 percent in the very first 11 months of 2016 compared to 2015, as per information from lobby group Road Traffic Information Council (OFV).

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