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21 Aug  2019 1255

Walmart sues Tesla

Walmart sues Tesla for negligence after repeated solar system fires

 As reported by news portal Reuters, solar power systems installed and maintained by the manufacturer of electric vehicles were responsible for fires in seven of the dozens of locations where a fire hazard was recorded. The reason was weak wiring, according to court documents filed with the New York State Supreme Court. The company, in turn, Tesla did not comment on this.

The court accuses the corporation of a lack of respect for the selection of personnel. The court documents say "the incompetence of workers who installed the equipment"
The lawsuit is the final blow to Tesla’s challenging solar business, which it acquired through the purchase of SolarCity for $ 2.6 billion in 2016. Quarterly sales have fallen by more than 85 percent since the deal, as Tesla reduced its sales of solar panels and ceased distribution.

The fires destroyed significant volumes of goods in the store and required substantial repairs, which led Walmart to millions of dollars in losses, the lawsuit said.
According to the lawsuit, as of November 2018, at least seven Walmart stores, including Denton, Maryland, and Beavercrick, Ohio, experienced fires due to Tesla's solar systems. According to Walmart, one of the fires occurred a few months after turning off the system.

The lawsuit alleges that Tesla’s inadequate inspections created a security risk for Walmart’s customers and employees.

Walmart became a SolarCity customer in 2010, and over the next six years equipped 244 roofs of its stores with panels to improve its image as an environmentally-friendly company and reduce energy costs. In the lawsuit, he asks the court to demand that Tesla remove all of its systems from Walmart stores, which are now all de-energized.
In the lawsuit, Walmart accused SolarCity of having “an ill-conceived business model that required him to install solar panel systems as quickly as possible to make a profit, and the contractors and subcontractors who performed the initial installation work failed to properly accept to work ".

In July, Walmart provided Tesla with 30 days to analyze the root causes of fires, compensate the retailer for losses in its stores, and demonstrate a major overhaul of its operations, among other measures. As of August 15, Tesla “has not yet taken any reasonable steps to rectify its violations,” the lawsuit said.
Three days later, on August 18, Tesla CEO Elon Musk announced the resumption of the company's solar business, which allows customers to install solar panels without a long-term contract.

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