Tesla Motor Vehicle Purchase Agreement and Order Terms

Vocabulary flashcards covering key contractual terms, state-specific legal disclosures, connectivity provisions, and pricing details from the Tesla Motor Vehicle Purchase Agreement.

Vehicle Configuration

The document forming part of the Agreement that describes the specific vehicle configured and ordered by the buyer, itemizing options and pricing while excluding taxes and official government fees.

Final Price Sheet

The document provided to the buyer closer to the delivery date that details final pricing based on the Vehicle Configuration, incorporating applicable sales taxes, registration fees, and government charges.

Liquidated Damages (Tesla Agreement)

The Order Fee, Order Deposit, and Transportation Fee that Tesla is permitted to retain if a customer cancels an order or defaults, representing an agreed reasonable estimate of costs incurred to transport, remarket, and resell the vehicle.

Delivery Timeline for New Vehicles

The contractual window requiring the buyer to schedule and accept delivery within $3\text{ days}$ of notice, with Tesla reserving the right to cancel the order and keep the Order Fee if delivery is not taken within $14\text{ days}$ of the first notification attempt.

FOB Shipping Point Delivery

The delivery terms used when Tesla coordinates transport to a state where it lacks a sales license; delivery, title transfer, and risk of loss officially transfer to the buyer the moment the vehicle is loaded onto the common carrier.

Agreement to Arbitrate

A mandatory dispute resolution clause stipulating that any dispute between the buyer and Tesla must be decided by a single arbitrator administered by the American Arbitration Association (AAA) under its Consumer Arbitration Rules rather than by a judge or jury.

Arbitration Opt-Out Procedure

The process allowing a buyer to reject the arbitration agreement within $30\text{ days}$ of signing by sending a written letter specifying their name, Order Number or VIN, and intent to opt out to Tesla, Inc., P.O. Box 15430, Fremont, CA 94539-7970.

Standard Connectivity

A baseline connectivity package included with the vehicle at no additional charge for a period of $8\text{ years}$ starting on the delivery date or the date the vehicle is first placed into service.

Premium Connectivity

An upgraded connectivity tier provided as an initial trial following delivery, requiring a paid subscription upon trial expiration to prevent the vehicle from reverting to Standard Connectivity.

Default Remedies (Tesla Agreement)

Contractual actions Tesla may execute if a buyer defaults, which include physical vehicle repossession, electronically locating and disabling the vehicle via remote connection, legal action for damages, and recovery of collection costs.

New York 30-Day Delivery Provision

A state-mandated clause giving New York residents the right to cancel the agreement and obtain a full refund if the vehicle is not delivered within $30\text{ days}$ of the estimated delivery date, provided the delay is not caused by the buyer.

Section 419-a of New York State Vehicle and Traffic Law

The specific state statutory standard that the dealer must certify the vehicle satisfies regarding inflatable restraint system requirements upon delivery.

Massachusetts Statutory Vehicle Warranty

A legal mandate providing that all motor vehicles sold are warranted under state law to be fit for safe driving and capable of remaining in good running condition for a reasonable time, existing in addition to any express warranties given by the seller.

Rhode Island Safety Inspection Requirement

A state legal provision requiring all motor vehicles sold at retail to meet the condition necessary to pass a State safety inspection at the time of sale for consumer protection.

Virginia 24-Hour Return Notice

A statutory disclosure stating that if financing under a proposed retail installment sales contract is rejected and the sale is cancelled, the consumer must return the vehicle within $24\text{ hours}$ of notice to avoid repossession.

Full Self-Driving Capability

An optional vehicle software package itemized on the purchase agreement configuration at an additional cost of $\text{\$}10,000.00$.

Arrowhead Central Credit Union

The financing institution specified on the Final Price Sheet providing credit for the financed amount of $\text{\$}102,000.00$.