California DMV Targets Tesla’s License Over Alleged Misleading Autopilot Claims

The California Department of Motor Vehicles is seeking to suspend or revoke Tesla's dealership license, alleging the company misled consumers by overstating the capabilities of its Autopilot and Full Self-Driving systems. The DMV claims Tesla advertised these driver-assistance features as fully autonomous technology when the vehicles required active human supervision.

An administrative hearing begins this week following a DMV investigation into Tesla's 2021-2022 marketing materials. Regulators cite specific claims that vehicles could make "short and long-distance trips with no action required" as particularly problematic. Tesla maintains its systems were properly described as requiring driver attention.

The California proceeding coincides with a Florida trial examining whether Autopilot contributed to a fatal 2019 pedestrian collision. These dual challenges represent mounting regulatory scrutiny of Tesla's autonomous driving claims as the technology remains firmly in the driver-assistance category.