In 2020, two of the nation’s most prominent electric vehicle manufacturers faced off — not in a speed trial or a cross-country rally, but instead in the legal arena. As CNN reported at the time, Tesla sued Rivian, arguing that its employees had stolen trade secrets from the Elon Musk-owned company. The legal jousting continued over the years that followed, with Rivian’s efforts to dismiss the lawsuit denied by a judge earlier this year.
EV enthusiasts hoping to watch pitched courtroom drama in the coming months may be a bit disappointed. According to new reporting from Bloomberg‘s Malathi Nayak, Tesla has announced that it plans to settle its lawsuit as opposed to having the matter go to trial. Tesla described its settlement as “conditional,” but did not provide any more details, and Rivian had no comment when contacted by Bloomberg.
Nayak also reports that Tesla expects to move to dismiss the case on or before December 24, 2024.
In the intial lawsuit dating back to 2020, Tesla contended that “six Rivian employees took Tesla highly valuable, confidential as they left for Rivian.” As Engadget reported, Rivian has repeatedly argued that Tesla’s allegations are without merit.
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The Olympian will be promoting Tesla in South KoreaWhen Santa Clara County Superior Court Judge Theodore C. Zayner ruled that the lawsuit could continue, he sounded persuaded by at least some of Tesla’s argument. “Tesla’s evidence establishes that some Rivian employees were less thoroughly investigated and not disciplined,” he wrote in July. Perhaps for both companies, the best option is leaving this lawsuit in the rearview mirror.
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