Tesla filed a lawsuit against the California Department of Motor Vehicles (DMV) on February 13, 2026. The legal action, reported on February 27, 2026, contests the agency's classification of the company as a false advertiser.
Tesla argues the DMV has not proven that customers were misled by the branding of Autopilot and Full Self-Driving Capability (FSD). The company maintains that users do not incorrectly believe the vehicles are fully autonomous.
The lawsuit follows a California administrative judge's ruling that Tesla engaged in deceptive marketing. The judge found that Tesla’s driver assistance systems operate at Level 2 automation and do not meet the standards for full self-driving.
The DMV stated it remains committed to protecting the public. The agency intends to defend the administrative judge's decision in court.