- L AW OFFICES OF

Edward Chen , Esq .

One Park Plaza , Suite 600

I~ EDWARD C. CHEN Irvine, CA 92614

(949) 287-4278
Edward.Chen@edchenlaw.com

September 17, 2019

SENT VIA USPS CERTIFIED MAIL (RETURN RECEIPT REQUESTED)

U.S. Department of Transportation

Secretary Elaine L. Chao
Deputy Administrator James C. Owens
National Highway Traffic Safety Administration
1200 New Jersey Avenue SE, West Building
Washington, D.C. 20590

Re: PETITION FOR INVESTIGATION OF POTENTIAL DEFECT IN TESLA 2012-2019

MODEL S AND X VEHICLES

To Secretary Chao and Deputy Administrator Owens:

Pursuant to 49 U.S.C. § 30162 et seq. and 49 C.F.R. § 552.1 , the Law Offices of Edward C. Chen ,
on behalf of its clients who own various vehicles manufactured and sold by Tesla , Inc, including
Tesla's Model S, X and 3 vehicles , please consider this a formal written request and petition for
the National Highway Traffic Safety Administration (NHTSA) to initiate a Defect Investigation into
the recent set of software updates, including software updates 2019.16.1 and 2019.16.2 and all
subsequent updates issued by Tesla, Inc. to its Model Sand Model X vehicles , which have been
alleged to be issued by Tesla in response to the alarming number of car fires that have occurred
worldwide.

The Law Offices of Edward C. Chen currently represents a number of different individuals who
own Tesla's and reside throughout the United States that have been affected by the software
updates and currently suffer from a significant amount of range loss. This office also represents
the named plaintiff, David Rasmussen , in the matter titled David Rasmussen v. Tesla, Inc., case
number 5: 19-cv-01422-VKD, which is currently pending in the U.S. District Court for the Northern
District of California (the "Subject Litigation"). A copy of the putative class action complaint is
enclosed herewith.

The fact pattern for most, if not all, of the affected owners is the same and begin in or around late
May 2019, where Tesla issued its 2019.16.1 . and 2019.16.2 software updates. For most owners,
it was shortly discovered after updating their cars that the cars had suffered from a sudden and
significant decrease in the amount of rated miles available. On average, affected owners have
reported losing anywhere between 25-30 miles, with 50 miles of range loss at the higher end of
the spectrum.

There is evidence to suggest that Tesla issued these updates in response to an increasing
number of battery fires that have occurred worldwide. Tesla has taken the position and made
statements to the public regarding the same, that the updates were issued in order to promote
the health and longevity of their batteries. Additionally, despite some media coverage and news
outlets having covered the issue and taking interest in the litigation, it is clear that there is

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widespread confusion and uncertainty regarding the true purpose of the software updates in
question and the safety of the affected vehicles. 1 2 3

As it currently stands, owners of the affected vehicles have experienced severe range loss and
increased amounts of time needed in order to charge their vehicles . As alleged in the operative
pleading of the Subject Litigation , it is believed that Tesla has throttled the performance and
cha rging capabilities of these batteries in order to avoid potential battery fires from occurring and
to skirt from having to replace said batteries under warranty. The latter is especially concerning
where a large number of affected vehicles are older Model S vehicles and would not be covered
then under Tesla's warranties.

Tesla is aware of these issues yet has failed to provide any concrete position or explanation to
address the concerns of these affected owners, including the concerns of my clients. As David
Friedman , former Deputy Administrator of the NHTSA from 2013 to 2015 stated at the time , "OTA
fixes can be really convenient for consumers , but you can 't treat cars like smartphones because
a new bug in your car's safety systems can be deadly. 4 Here, Tesla is using over-the-air software
updates to mask and cover-up a potentially widespread and dangerous issue with the batteries in
their vehicles.

Even more egregious is the fact that Tesla has left affected owners with no effective remedy for
these problems. Many of the affected owners have been left with no adequate remedy after being
denied battery replacements under warranty via the arbitration and dispute settlement program
administered through the National Center for Dispute Settlement (NCDS).

In order to ensure that all Tesla owners are provided with an accurate notification of the potential
safety issues and defects involved with their vehicles , NHTSA should conduct a formal
investigation regarding the safety of Tesla 2012-2019 Model Sand X vehicles.

Pursuant to 49 U.S.C. § 30162(d), a formal request is hereby made and it is respectfully requested
that NHTSA respond to this petition within 120 days, if not sooner, as Tesla has continued to
remain silent on the issues. In the meantime, this office will do its part by vigorously litigating the
issues and continue the representation of the clients and affected owners of these vehicles . Your
prompt attention to this matter is greatly appreciated.

Very Truly Yours ,

Edward Chen , Esq .

Encl.
Dkt. 1 Complaint

1 https ://www. reute rs. com/ a rti cl e/tesl a-batte ry/tes Ia-hit-by-I awsu it-claiming-thousands-of-owners-lost-battery-
ca pacity-after-softwa re-u pd ate-id USL2 N 25418A
2 https :// el ectrek.co/2019 /08/08/tesl a-own er-ra nge-s Iash ed-softwa re-update-cl ass-action-lawsuit/
3 https://insideevs.com/news/36434 7 /tesla-model-s-u pdate-lawsu it/
4 https ://www .green ca rreports .com/ n ews/11244 77 tesla-faces-1 a wsu it-over-software-that-cut-range-from-some-
ca rs

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