Why might Tesla's sales be suspended in California?

California regulators are considering suspending Tesla's sales license due to misleading marketing claims about its self-driving features.

What specific Tesla features are causing concern for regulators?

The terms 'Autopilot' and 'Full Self-Driving' are at the center of the regulatory action for allegedly misleading consumers.

How long does Tesla have to change its marketing in California?

Tesla has a 90-day window to make changes to its marketing to avoid a potential suspension of its sales license in California.

Home / Business and Economy / Tesla Faces Sales Blackout in California

Tesla Faces Sales Blackout in California

18 Dec, 2025

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Summary

California may suspend Tesla's sales license early next year.
Regulators cite misleading marketing of 'Autopilot' and 'Full Self-Driving'.
Tesla has 90 days to change marketing to avoid sales suspension.

Tesla Faces Sales Blackout in California

California regulators are considering a significant penalty for Tesla: a potential 30-day suspension of its license to sell electric vehicles in the state, beginning early next year. This action stems from a judge's conclusion that the Elon Musk-led company has engaged in deceptive marketing practices for years.

The ruling by Administrative Law Judge Juliet Cox found that Tesla's use of terms like 'Autopilot' and 'Full Self-Driving' misled consumers about the technology's true capabilities. While the judge also recommended suspending Tesla's manufacturing license, state regulators have decided not to pursue that specific penalty.