Tesla Faces Sales Suspension in California: What Investors Need to Know
Tesla Inc. is facing a 30-day suspension of sales in California due to allegations of misleading customers about its driver-assistance technology. The penalty is a result of deceptive marketing practices related to Tesla's Autopilot and Full Self-driving systems. The Department of Motor Vehicles has given Tesla 90 days to comply with its requirements before the suspension takes effect. Tesla's shares dropped over 1% in after-hours trading following the news, despite reaching a record high earlier in the day on the back of optimism surrounding the company's robotaxi plans.
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