$5.5 Million Order For 100 Tesla Model 3s Falls Through Over Quality Issues

A huge deal between German rental company NextMove, who wanted to add 100 Model 3s to its fleet, and Tesla fell through after the former was displeased with the quality of the cars.

NextMove placed the 5-million-euro ($5.5 million) order order back in 2018, but after taking delivery of the first 15 Model 3s earlier this year had issues with their quality. The two companies discussed how to fix them, but apparently didn’t come to an agreement.

According to the rental company, it was Tesla that canceled the order for the remaining 85 cars. The car maker, however, disputes that, saying that it was Nextmove that chose not to take delivery of the cars, according to Reuters.

NextMove claims that the 15 Model 3s it took delivery came with paint defects, faulty wiring, scratches on the dash, condensation in the headlights and more. A dispute followed between the two on how to fix those shortcomings, with the rental company claiming that Tesla set a “24-hour ultimatum”, triggering a refund clause.

The company did try to acquire an additional four examples of the Model 3 following the collapse of the deal, but Tesla wanted to sell them cars that had already been registered, meaning that NextMove would not be eligible for Germany’s EV incentive program and potential tax refunds.

Tesla, on the other hand, claims that it was in the process of resolving the quality issues and had provided the rental company with replacement vehicles.

“We believe the customer’s decision not to take delivery of its remaining Model 3 orders wasn’t entirely due to quality issues, but was largely influenced by their frustration with an unrelated dispute from earlier in the year,” Tesla said in a statement.

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  • WalthamDan
  • SPEEDY

  • kachuks

    When a company puts out a “statement” it’s supposed to try and put a positive spin on an otherwise bad situation.

  • I DIDN’T REALIZE RENTAL AGENCIES WERE SO FUSSY GIVEN THE CARS THEY USUALLY HAVE AVAILABLE.

    • Daniela Wolf

      Dude have u ever seen a Tesla? My eyes hurt watching them….

      • David

        They are alright….at least the Tesla look way better than Prius.

        • Daniela Wolf

          Even their press cars look like victims of domestic abuse.

          • David

            😂😂😂

    • Mr. EP9

      Of course they are fussy, they want cars in their fleet to last and have as few issues as possible.

  • Mr. EP9

    That has got to sting.

  • Dennis James

    I suppose the German rental company was used to German cars and had a shock when dealing with American car quality 🙂

    Headlight condensation in 2019…come on, Tesla…

    • Nick099

      That’s not “American” car quality Ace.

      That’s industry standard car quality (or lack thereof).

  • JqC

    Nonsense

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