Tesla sues government of Ontario over scrapped electric auto rebate

Tesla files lawsuit against Ontario government over electric vehicle rebate program

Tesla files suit against Ontario government over cancelled EV rebates

This version of the story corrects figure in second paragraph to C$14,000 from C$4,000) Electric vehicle-maker Tesla Inc (TSLA.O) is taking the Ontario government to court over the Canadian province's cancellation of an electric vehicle incentive program, according to documents filed in court on August 10.

In July, the government said the incentives would be honoured for vehicles ordered through a dealership if they are delivered and registered by September 10, but Tesla sells vehicles directly to customers rather than through a dealership.

Doug Ford's Ontario government cancelled the Electric and Hydrogen Vehicle Incentive Program on July 11, shortly after it scrapped the cap-and-trade program that funded the incentives.

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Customers who have been waiting for Tesla Model 3 cars to be delivered say the Ontario government move has them rethinking their purchase.

Take a walk around Tesla's new "service plus centre" in Auckland.

A spokesman for Ontario's Ministry of Transportation said the province was aware of the application for judicial review filed by Tesla Canada, but declined to comment as the matter is before the court. The suit wants the exclusion removed entirely.

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Ontario "left hundreds of Tesla Canada's customers in the unfair position of no longer being eligible for the rebate they had expected to receive when they ordered their vehicles, while purchasers of other brands and from other dealers will still receive the rebate during a transition period", Tesla said in its lawsuit.

The company called the decision "unreasonable and unlawful" and that "it has created the impression that Tesla Canada and its customers will not be treated equally under the law". Tesla did not immediately return a request for comment, but it confirmed the lawsuit to Reuters while declining to comment further.

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