Tesla to file lawsuit with Alameda County, Musk plans to move HQ to Nevada or Texas

Elon Musk has had it with the stay-at-home order in California's Alameda County, and Tesla's operations are in flux. The volatile CEO tweeted that the company will pursue legal action today.


Elon Musk sure wants to reopen America and his Tesla factory in California. The erratic genius entrepreneur tweeted some very harsh words regarding Alameda County's decision that the Fremont, Califonia Tesla plant could not reopen until June 1, 2020 due to COVID-19 procedures in place. In reply to investor Ross Gerber, Musk tweeted, "Tesla is filing a lawsuit against Alameda County immediately. The unelected & ignorant “Interim Health Officer” of Alameda is acting contrary to the Governor, the President, our Constitutional freedoms & just plain common sense!" 

Musk continued that this is the final straw between Tesla and the state of California. In a totally rational move last week, Elon tweeted that he planned on selling all of his homes and worldly possessions, and it appears that the Fremont factory may be next. This level of disruptive behavior will likely cost Tesla a pretty penny as they move operations to Nevada or Texas. Musk has had it, and his company is hemmorhagging cash as the factory remains shutdown.

Our friend over at Tesmanian, Vincent, points out that Tesla actually has experience from the reopening at the Shanghai plant and could be uniquely prepared to do the same at the Fremont plant, but it is not the company's decision, and that is at the heart of Elon's issues of the ongoing pandemic stay-at-home orders across the United States.

Tesla shareholders will certainly have to wait all weekend to find out how the stock responds on Monday morning, but sometimes it would be better if their CEO didn't tweet and let the lawyers and PR people do the talking.

What do you think about this whole Tesla situation? Does Elon tweet too much? Let us know in the Shacknews Chatty comment thread below!


Asif Khan is the CEO and majority shareholder of Shacknews. He began his career in video game journalism as a freelancer in 2001 for Tendobox.com. Asif is a CPA and was formerly an investment adviser representative. After much success in his own personal investments, he retired from his day job in financial services and is currently focused on new private investments. His favorite PC game of all time is Duke Nukem 3D, and he is an unapologetic fan of most things Nintendo. Asif first frequented the Shack when it was sCary's Shugashack to find all things Quake. When he is not immersed in investments or gaming he is a purveyor of fine electronic music. Asif also has an irrational love of Cleveland sports.

From The Chatty
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      May 9, 2020 11:55 AM

      Fremont would be slightly more tolerable with 10k fewer people!

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        May 9, 2020 11:58 AM

        Yeah, traffic around the plant is ass right?

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          May 9, 2020 11:59 AM

          It’s not great. Fremont in general is just super, super congested.

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            May 9, 2020 12:03 PM

            In 1998 I lived in Fremont and worked in Mountain View. 22 miles. Took me 2 hours each way.

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          May 9, 2020 1:54 PM

          The Mission Blvd connector between 680 and 880 is the worst part and even roads with or without the plant as it connects two major freeways. Even Mission Blvd connects to parts of 680 and people drive on it to try and bypass the slower traffic on the freeway.

          The Tesla plant kind of has their own exit off Mission before 880 which tricked me once when I was trying to get on 880 after it opened but I rarely go in that direction to get on 880-N from 680-N.

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        May 9, 2020 10:07 PM

        The bay area would be more tolerable with about 500k fewer people.

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      May 9, 2020 12:17 PM

      Another day, another strike against ever buying a Tesla. Musk needs a muzzle. He's doing the company more harm than good these days.

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      May 9, 2020 12:23 PM

      Should have opened in Texas in the first place.

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        May 9, 2020 12:24 PM

        Cybertruck built in Texas. It sells itself.

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        May 9, 2020 12:29 PM

        I think in the past, their primary battle was with them *selling* the cars in the first place, and Texas was kinda leading the fight against Tesla in trying to make them bend the knee on dealerships re: sales, repair, etc.

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          May 9, 2020 12:32 PM

          Yup. I used to go to the Tesla Store in Houston and talk to people about prices of the cars because employees weren’t allowed to.

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      May 9, 2020 12:59 PM

      But what does x ae a12 think?

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      May 9, 2020 1:50 PM

      But the virus is still going strong , what is he up to?

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        May 9, 2020 4:15 PM

        Caring more about money than people's lives, what else?

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      May 9, 2020 5:31 PM

      Will their stock tank because of a completely unstable CEO? Probably not.

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        May 9, 2020 10:00 PM

        As long as they produce the best electric car it wont, if i were to buy a Electric car today, there would be no other real choice, the other cars can't compete and even if they could it wuld be a nightmare to drive through Europe with the different suppliers of chargers.. Only Tesla has a proper working setup for that..

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        May 9, 2020 10:09 PM

        That will only happen if they have a drop in reservations/deliveries. People didn't stop buying iphones when Jobs was a cunt.

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          May 9, 2020 10:10 PM

          Apple sold more iPhones in 2008 than in 2007. Stock dropped 60%.

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            May 9, 2020 10:12 PM

            Was that back when the market behaved more rationally and the fed didn't have the money printer out?

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              May 9, 2020 10:24 PM

              You mean in the 1970s?

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              May 9, 2020 10:24 PM

              Yeah that is a valid point. Just seems kinda crazy to think that a company moving states won’t cost them additional capital...

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                May 9, 2020 10:28 PM

                He's not moving over night. Hell he might not move anything at all and just spool up the truck factory. Today was a temper tantrum to get his way.

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            May 9, 2020 10:20 PM

            And stock prices always make sense :-)
            Tesla has Zero real competition, the only reason for not buying a Tesla is that Elon gets on your nerves or you need something cheaper and smaller, or in other words, not a "real" car. Nothing else compares, and i think it will take 5-10 before the alternatives are real, at least in Europe. And the only reason i think it will happen so fast is the EU is going to make sure that all cars can charge with all chargers and that the companies running them will be forced to work together, including Tesla.

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      May 9, 2020 10:29 PM


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      May 9, 2020 10:30 PM


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