Tesla Changed the Cybertruck Resale Policy
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Tesla Changed the 
Cybertruck Resale 
Policy 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tesla Changed the Cybertruck Resale Policy 
 
Friday, November 17th, 2023 
Tesla, the innovative electric vehicle company, is known for pushing boundaries not 
only in technology but also in its business practices. With the highly anticipated 
release of the Cybertruck just around the corner, Tesla has stirred controversy by 
introducing a resale clause that could lead to a $50,000 lawsuit against buyers 
attempting to flip their vehicles within the first year. However, recent developments 
suggest a change in Tesla's stance on this matter. 
 
The Controversial Resale Clause 
Customers eagerly awaiting the first Tesla Cybertrucks were surprised to find a new 
section, "For Cybertruck Only," in the Motor Vehicle Order Agreement. This clause 
explicitly prohibited the resale of the Cybertruck within the initial year after delivery.  
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According to the agreement, Tesla reserved the right to seek injunctive relief or 
demand liquidated damages amounting to $50,000, or the value received for the sale, 
whichever is greater. 
Exceptions and Buyback Options 
Tesla did, however, provide an avenue for exceptions. Buyers seeking to sell their 
Cybertrucks within the first year could do so with explicit written consent from Tesla. 
In such cases, the company offered two options: a reduced-price buyback, accounting 
for $0.25 per mile driven, wear and tear, and repair costs, or permission to sell the 
vehicle to a third-party buyer. 
The Subscription Model Challenge 
Complicating matters further, the subscription model of Tesla's software, including 
the Full Self-Driving feature, adds a layer of complexity to the resale process. Unlike 
traditional vehicle features, the Full Self-Driving subscription, priced at up to $199 per 
month, is not transferable to new owners. 
Tesla's Vision for the Cybertruck 
Initially announced in 2019, the Cybertruck is Tesla's foray into the electric pickup 
truck market. While Elon Musk expressed optimism about the Cybertruck becoming a 
significant contributor to cash flow within a year to 18 months, full-fledged production 
is not expected until 2024. The truck's unique design has garnered attention and 
sparked debates among car enthusiasts. 
Reversal of Resale Restrictions 
In a surprising turn of events, Tesla appears to have reversed its position on the 
controversial resale clause. The clause, which threatened buyers with a $50,000 
lawsuit, has been removed from the updated purchase agreement. The reasons 
behind this reversal remain unclear, and Tesla has not provided an official statement 
regarding the change. 
 
 
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Speculations and Industry Insights 
Industry analysts, including Wedbush analyst Dan Ives, suggest that Tesla's move 
might be a strategic decision to manage the Cybertruck resale market amid challenges 
in scaling up production. Ives speculates that Tesla is setting "guardrails" to address 
the complexities of mass-producing the Cybertruck. 
Key Points 
As Tesla's Cybertruck delivery event approaches on November 30, the company 
continues to keep enthusiasts on their toes with unexpected policy changes. The 
removal of the controversial resale clause opens new possibilities for Cybertruck 
buyers, signaling a potential shift in Tesla's approach to managing the resale market 
for this highly anticipated vehicle. 
This other article may offer more insights about Tesla's automotive venture: Tesla 
Model Y Leads as U.S. EV Registrations Break Records 
 
 
 
 
 
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