Tesla and Rivian's four-year legal battle reaches "conditional settlement"
After four years, Tesla’s legal battle with Rivian appears to have ended. As per a report from Bloomberg News, Tesla has stated that it had reached a “conditional settlement” in its lawsuit against Rivian Automotive. The lawsuit had accused Rivian of poaching Tesla’s trade secrets.
Tesla did not disclose the specifics of its conditional settlement with Rivian in its court filing. The electric vehicle maker did, however, inform a California state judge that it was expecting to seek dismissal of the case by December 24 upon satisfactory completion of its terms.
Rivian and Tesla have not issued formal comments about the matter as of writing.
The legal dispute between Rivian and Tesla started over four years ago when the Elon Musk-led EV maker alleged that Rivian exhibited an “alarming pattern” of poaching employees. Tesla also claimed that Rivian was stealing trade secrets, stating that some of the workers had been “caught red handed” misappropriating core technology for next-generation batteries.
Rivian denied the allegations. The electric truck maker also criticized Tesla’s lawsuit, arguing that it was a way for the EV giant to suppress competition in the electric vehicle sector. Rivian, as well as a group of former Tesla employees, later attempted to get the lawsuit thrown out, but their efforts were unsuccessful.
As per Santa Clara County Superior Court Judge Theodore C. Zayner, Tesla had presented enough evidence to warrant a trial and “persuasively argues that Rivian could have conducted a more thorough investigation with respect to some of its employees.”
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