Tesla which is an electric vehicle and clean energy corporation headed by Elon Musk is being sued by Walmart. This happens after solar panels by Tesla which were atop seven of Walmart’s stores had allegedly caught fire.
The suit by Walmart alleged the breach of contract, negligence and a failure to keep up to the industrial standards. Walmart is now demanding that Tesla removes the solar panels from over 240 locations of Walmart where they’ve been installed and consequently pay the damages which are related to the fire which according to Walmart has been caused by negligence due to Tesla.
The suit filed in New York has alleged that till November of last year at least seven of the stores of Walmart were on the receiving end of the fires caused by solar systems of Tesla.
Hours after this news the stocks of Tesla had dropped in excess of 1 %. Walmart has even claimed that the individuals who came to conduct routine inspections of the solar systems had lacked basic training and knowledge of solar systems. They have further alleged that the company had failed to properly ground the solar systems and electric systems, also alleging that the solar panels installed by Tesla at the stores in Walmart contained defects in large numbers that were even visible to naked eye and which people in Tesla should have discovered and managed to repair before the fires happened.
This comes when Tesla had recently announced its scheme of providing solar rooftops systems on rent without entering into a contract. The offer that is available in a few states will cost customers $50 a month. In 2019’s second quarter Tesla has installed a record low of 29 megawatts of solar.