Please ensure Javascript is enabled for purposes of website accessibility

Tesla Settles Lemon Lawsuit Filed by Wisconsin Owner

By Associated Press – Jul 14, 2014 at 7:59AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The deal calls for the California-based company to pay Franklin physician Robert Montgomery nearly $127,000 to cover the car's cost, his taxes and his attorney fees.

MADISON, Wis. (AP) -- Tesla Motors has settled a lawsuit alleging the company sold a defective electric car to a Wisconsin doctor.

The deal calls for the California-based company to pay Franklin physician Robert Montgomery nearly $127,000 to cover the car's cost, his taxes and his attorney fees.

Montgomery filed the lawsuit in Milwaukee County Circuit Court in April alleging his 2013 SP Sedan was in the shop for more than 30 days with various problems. Attorney Vince Megna, who touts himself as the lemon law king, handled the case for Montgomery.

Court records show the case moved to federal court in May and the two sides reached the settlement deal in June. A judge dismissed the case last week.

Tesla attorney J. Donald Best didn't immediately return telephone and email messages Monday.

The Motley Fool recommends Tesla Motors. The Motley Fool owns shares of Tesla Motors. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.