California's DMV has given Tesla 90 days to stop using the name 'Autopilot' or face enforcement action, including a possible 30-day sales suspension. An administrative judge found Tesla may have misled consumers about how autonomous its vehicles are, and her proposed decision was sent to the DMV on November 21. The DMV paused immediate suspension of sales and manufacturing to give Tesla time to comply; Tesla denies hiding the limits of its systems and says California sales will continue.
California Orders Tesla To Rename 'Autopilot' — 90 Days To Comply Or Risk Sales Suspension
The California Department of Motor Vehicles (DMV) has ordered Tesla to stop using the name 'Autopilot' in its advertising unless the automaker amends its marketing language within 90 days. The directive follows a proposed decision by an administrative judge that concluded Tesla may have misled consumers about how autonomous its vehicles really are.
What the DMV Ordered
DMV Director Steve Gordon said the agency wants Tesla to clarify that names like 'Autopilot' and 'Full Self-Driving' refer to advanced driver-assistance systems — not fully automated or autonomous vehicles. If Tesla does not come into compliance within 90 days, the DMV warned it will "enforce the cessation of sales," which could include a 30-day suspension of Tesla's ability to sell cars in California.
Background And Legal Findings
On November 21, Administrative Law Judge Juliet E. Cox issued a proposed decision finding that Tesla's marketing may have led consumers to overestimate the self-driving capabilities of its vehicles. That proposed decision was transmitted to the DMV for consideration and has been withheld from public release until December 22.
The DMV originally sought to suspend Tesla's licenses to both sell and manufacture in California. After reviewing the judge's recommendation, the agency chose not to immediately suspend manufacturing and instead placed a temporary 90-day stay on a sales suspension to give Tesla time to comply.
Tesla's Response
A Tesla spokesperson told Business Insider the DMV order is a 'consumer protection' action focused on the use of the term 'Autopilot' and claimed no customers had come forward to allege the company misled them. Tesla also said California sales would continue without interruption while the company weighs its options.
At the administrative hearing, Tesla's legal team — including attorney Matthew Benedetto — argued the company has consistently informed buyers they 'cannot fully rely' on Full Self-Driving or Autopilot, and that current systems are not capable of driving vehicles without human supervision.
Key Evidence
The DMV's complaint cites examples from 2021 and 2022 in which Tesla's website described its Full Self-Driving (FSD) system as 'designed to be able to conduct short and long-distance trips with no action required by the person in the driver's seat.' The agency says such language could reasonably lead consumers to overestimate the system's capabilities.
Next Steps
Tesla can either change its advertising terminology to satisfy the DMV or pursue legal or administrative remedies. If the company does not make the required changes within 90 days, the DMV has signaled it will move forward with enforcement measures, which could include a temporary halt to sales in California.
Reporting on the original decision was published by Business Insider.
