On 13 November 2017, a class action lawsuit was brought against Tesla involving allegations of racist behaviour that involved alleged unfair dismissal of employees. This follows accusations of other discriminatory behaviour towards gay and older workers. The plaintiffs are relying on Californian anti-discrimination law to address the 'racist behaviour'. 

Tesla has responded alleging that there is some confusion in the case the plaintiffs have brought, and denying any form of racist or discriminatory behaviour, emphasisng that the company takes any complaints very seriously.