10,000 Australian Tesla owners sue over phantom braking malfunction
Approximately 10,000 Australian Tesla owners have filed a class action lawsuit against Tesla in Federal Court alleging that the company's vehicles experience "phantom braking"—unintended automatic braking without an obstruction—and fail to meet promised autonomous driving capabilities. The lawsuit, filed in February 2025, claims Tesla knew of these defects since selling vehicles in Australia from May 2021 onwards but failed to address them or compensate customers.
What happened
Approximately 10,000 Australian Tesla owners filed a class action lawsuit against Tesla in Federal Court in February 2025, according to law firm JGA Saddler representing the plaintiffs.
The lawsuit alleges that Tesla vehicles experience "phantom braking"—unintended automatic braking without an actual obstruction—which can occur during highway driving with Autopilot or cruise control activated, creating a dangerous condition that could cause fatal accidents.
The lawsuit also claims that some Tesla vehicles fail to achieve the advertised 75% range and that promised autonomous driving features have not been delivered, and that Tesla knew of these defects since selling vehicles in Australia from May 2021 onwards but failed to address them or compensate customers.
Reported impact
The lawsuit seeks compensation for vehicle defects and false promises regarding automation and autonomy.
The "dangerous" phantom braking defect is alleged to pose a risk of fatal accidents.
Index analysis
Tesla advertises that Autopilot is designed to make driving safer, though it warns drivers to maintain hands on the steering wheel.
Tesla has faced similar class action lawsuits over phantom braking and other autonomous driving issues in the United States.
Classification
Sources and evidence
Sources not yet published
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