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Tesla loses bid to move 'sexual harassment' suit into arbitration

Company is facing separate suits by at least six female employees over alleged sexual harassment

Photo: Reuters
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Photo: Reuters

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Tesla must keep defending itself in open court against claims that female employees face “rampant sexual harassm­ent” in its largest California factory, a Calif­ornia judge ruled, spurning the company’s requ­est for closed-door arbitration.

Alameda County Superior Court Judge Stephen Kaus ruled Monday that the female worker who filed the complaint can proceed in court — even though she signed an arbitration agreement giving up her right to sue. Kaus issued a one-sentence order denying the company’s request without explaining his reasoning.

Tesla has come under fire from shareholder activists who have pushed the electric-vehicle maker’s board, so far without success,

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First Published: May 25 2022 | 1:52 AM IST

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