Avi Richards, et al. v. Tesla Inc., et al.

CourtDistrict Court, C.D. California
DecidedJanuary 12, 2026
Docket2:25-cv-09854
StatusUnknown

This text of Avi Richards, et al. v. Tesla Inc., et al. (Avi Richards, et al. v. Tesla Inc., et al.) is published on Counsel Stack Legal Research, covering District Court, C.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Avi Richards, et al. v. Tesla Inc., et al., (C.D. Cal. 2026).

Opinion

UNITED STATES DISTRICT COURT JS-6 CENTRAL DISTRICT OF CALIFORNIA CIVIL MINUTES — GENERAL Case No. _2:25-cv-09854-SK Date: January 12, 2026 Title Avi Richards, et al. v. Tesla Inc., et al.

Present: The Honorable: Steve Kim, United States Magistrate Judge Connie Chung n/a Deputy Clerk Court Reporter / Recorder Attorneys Present for Attorneys Present for Plaintiff(s)/Petitioner(s): Defendant(s)/Respondent(s): None present None present

Proceedings: (IN CHAMBERS) ORDER GRANTING PLAINTIFF’S MOTION TO REMAND [ECF 6] I. BACKGROUND In September 2023, plaintiff Avi Richards purchased a preowned 2021 Tesla Model Y manufactured by defendant Tesla, Inc. (ECF 1-1 at 6). According to plaintiff, the vehicle displayed defects during the applicable warranty period and Tesla couldn't repair it after a reasonable number of attempts. (Jd. at 8—9). Tesla then, plaintiff claims, failed to timely repurchase or replace the nonconforming vehicle as required by California's Song-Beverly Consumer Warranty Act, Cal. Civ. Code § 1793.2. (Id. at 10). Not only that, but plaintiff contends that Tesla “willfully failed to comply with its responsibilities under” the Song-Beverly Act. (/d. at 12). For such willful violations, as plaintiff correctly alleges, the Song-Beverly Act provides for “a civil penalty of up to two times the amount of actual damages.” (Id.). Based on these allegations, in October 2024, plaintiff sued Tesla in Los Angeles County Superior Court for violations of the Song-Beverly Act and the federal Magnuson- Moss Warranty Act (““MMWA”). (ECF 1 at 1; ECF 1-1 at 10—18). The complaint attached a copy of the vehicle sales contract, though it was largely illegible. (ECF 1-1 at 20-21). Still, on the face of the complaint, plaintiff demanded actual damages “in an amount [in] excess of $25,000,” civil penalties “in an amount in excess of $50,000,” punitive damages, and reasonable attorney's fees and costs. (Id. at 10, 19). For its part,

CV-90 (03/15) Civil Minutes — General Page 1 of 6

CIVIL MINUTES – GENERAL

Case No. 2:25-cv-09854-SK Date: January 12, 2026 Title Avi Richards, et al. v. Tesla Inc., et al.

Tesla timely answered but didn’t remove the case to federal court until October 2025— nearly a full year after Tesla was served with the complaint. (ECF 6 at 2; see ECF 1 at 1– 2). In the many interim months, the parties evidently exchanged discovery informally—including a legible version of the subject vehicle’s sales contract produced sometime in October 2025. (ECF 1 at 1–3). According to that contract, the purchase price of the preowned vehicle was $65,577.44. (ECF 7 at 15). Claiming that plaintiff’s disclosure of the legible contract was the first time that it could calculate the amount in controversy, Tesla filed its notice of removal just 5 days later, on October 15, 2025. (ECF 1 at 2–3). But that notice relied on the MMWA, a federal statute that confers original jurisdiction under 28 U.S.C. § 1331 so long as the amount in controversy exceeds at least $50,000. See 15 U.S.C. § 2310(d)(3); Shoner v. Carrier Corp., 30 F.4th 1144, 1147 (9th Cir. 2022). In its notice, Tesla calculated the plausible amount in controversy far in excess of that amount—at $196,432.32—based on a presumed rescission of the sales contract ($65,477.44) plus two times that amount ($130,954.88) for maximum possible civil penalties under the Song-Beverly Act. (ECF 1 at 5). Plaintiff now moves to remand the action, arguing that Tesla’s removal—done nearly a year after receiving his complaint—was untimely based on the prescribed deadlines under 28 U.S.C. § 1446(b). (ECF 6 at 2–3). Plaintiff contends that because Tesla received a copy of the sales contract attached to the complaint, it should have removed the case within 30 days of the complaint’s service under § 1446(b)(1). (Id. at 3). In opposition, Tesla contends that it couldn’t ascertain removability until after it received a legible copy of the sales contract. (ECF 7 at 3–6). According to Tesla, then, its removal was timely under a different provision of the removal statute—subsection 1446(b)(3)—which permits timely removal within 30 days of receiving any “other paper” post-complaint revealing the basis for removability. (Id. at 4). Even so, Tesla never explains why plaintiff’s claimed damages plus civil penalties—in excess of $75,000 combined—wasn’t enough to readily determine the minimum amount at stake based on the complaint’s allegations alone. Nor, in any case, does Tesla explain why it took nearly a year to request and obtain a legible version of the sales contract copy that was attached to plaintiff’s complaint—if that was all it genuinely needed to confirm the purchase price of the subject vehicle. CIVIL MINUTES – GENERAL

Case No. 2:25-cv-09854-SK Date: January 12, 2026 Title Avi Richards, et al. v. Tesla Inc., et al.

Plaintiff’s motion to remand is granted. II. DISCUSSION A defendant may remove a civil case from state court so long as jurisdiction would lie in the federal court of the district where the action is pending. See 28 U.S.C. § 1441(a). But removal is subject to certain deadlines under 28 U.S.C. § 1446. If the face of the complaint makes clear an action is removable, the defendant has 30 days to remove. See id. § 1446(b)(1). If removability is not so apparent but the defendant later receives an amended pleading, motion, order, or “other paper” from which it discovers that the case is removable, the defendant must file a notice of removal within 30 days of that post-complaint discovery. Id. § 1446(b)(3). In any event, no case—if based on claimed diversity jurisdiction under 28 U.S.C. § 1332—may be removed more than one year after its commencement even if it isn’t otherwise discovered to be removable until more than 30 days after the complaint’s service. See id. § 1446(c). Here, both sides presume that Tesla had to remove within 30 days of receiving the subject vehicle’s sales contract. According to plaintiff, though, that 30-day clock started as soon as Tesla was served with the complaint because the contract was attached to the complaint. (ECF 6 at 3). Even if it was illegible, plaintiff contends, Tesla could have obtained its own legible copy as the manufacturer of the vehicle within 30 days of the complaint’s service and promptly removed on time under § 1446(b)(1). (Id.). According to Tesla, however, its obligation to remove was triggered only once plaintiff himself disclosed a legible version of the sales contract, which didn’t happen until informal post-suit discovery. (ECF 7 at 5). As a result, Tesla contends that it timely removed under § 1446(b)(3) within 30 days of disclosure of that legible contract—an “other paper” revealing for the first time a purchase price from which Tesla could reasonably estimate the amount in controversy after receiving the complaint. (ECF 1 at 2–3). Both arguments, though, needlessly complicate the removal question without considering first what is apparent on the face of the complaint—even without the sales contract, legible or otherwise.

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Bluebook (online)
Avi Richards, et al. v. Tesla Inc., et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/avi-richards-et-al-v-tesla-inc-et-al-cacd-2026.