Reportedly, Tesla has recently brought a complaint and filed a lawsuit against Alameda County-based in California for not authorizing the firm to resume operations at its Fremont – based factory plant. The Fremont factory of the company has not been in operation since March 23. It was due to the order of Alameda County that the factory was closed down. The notice was forwarded and implemented with reasons of social distancing measures to address the ongoing pandemic of coronavirus. CNBC first mentioned the case, which is requesting injunctive and declaratory relief against Alameda County. The complaint has been brought in the U.S. District Court for the Northern District of California.
In the lawsuit filed against the County, Tesla has shown its grievances and alleges that the closure order given by Alameda County has thoroughly contradicted the fourteenth amendment. They further added that the County had ignored the order given by the California Governor Gavin Newsom last March. The Governor has passed the permit for businesses that fall in “16 crucial infrastructure industries”, which includes the manufacturing of transportation equipment, to resume their function throughout the epidemic. As part of its reopening program, Tesla had intended to put back some 30 percent of its factory employees Friday, defying the stay-at-home order of Alameda County.
Sources have also reported that suit further added that “no rational basis” existed for the shutdown of the factory, and that Alameda County supposedly corroborated its constructive guidance on what businesses are essential for the public and allowed them to operate during the pandemic of COVID-10. The corporation of Tesla is now requesting a formal and permanent injunction that would invalidate the County’s decision to close down Tesla’s Fremont Plant.
While stating our source on Saturday, Tesla adamantly stated, “We will continue to put people back to work safely and responsibly. However, the County’s position left us no choice but to take legal action to ensure that Tesla and its employees can get back to work,”. At the same heated moment, Tesla CEO Elon Musk decided and posted a threatening series of tweets on Saturday, starting to move the business headquarters to Texas or Nevada because of the County’s decision of keeping the factory close without further notice.
Musk said in his tweet, “ Frankly, this is the final straw. Tesla will now move its HQ and future programs to Texas/Nevada immediately. If we even retain Fremont manufacturing activity at all, it will be dependent [sic] on how Tesla is treated in the future. Tesla is the last carmaker left in CA,”.Source
Obliged to respond to the lawsuit filed against them, The Alameda County Health Care Services Agency released a statement alleging that the organization has been “communicating directly and working closely with the Tesla team on the ground in Fremont”. It further added, “ This has been a collaborative, good-faith effort to develop and implement a safety plan that allows for reopening while protecting the health and well-being of the thousands of employees who travel to and from work at Tesla’s factory,”.
The officials stated that Tesla is receptive to their advice and aims to find an agreement with the firm. A week before Tesla launched the lawsuit, Newsom proposed a four-stage plan to allow Californians to slowly reopen some small businesses and public spaces. In the statement, he said counties should have flexibility over how the system should be carried out with a systematic framework.
Newsom further stated, “While the state will be moving from Stage 1 to Stage 2, counties can choose to continue more restrictive measures in place based on their local conditions, and the state expects some counties to keep their more robust stay at home orders in place beyond May 8,”.
At the time when he released these statements, The World Health Organization estimated there are 3.9 million documented infections that are confirmed cases. Along with about 275,000 deaths as a consequence of the ongoing outbreak of COVID-19. It was also recorded that there are over 1.2 million confirmed cases of infections in the United States, which includes 75,000 deaths.