Tesla Attempts To Shorten Cybertruck Wait List; Will Prevent Resales for One Year

Tesla is trying to prevent scalpers from reselling the Cybertruck

MatthewDR/X

Tesla is taking steps to prevent owners from flipping their Cybertrucks for a profit. The company intends to help prevent the trucks from being resold at inflated prices and potentially speed up the delivery of Cybertrucks to actual customers.

Preventing Cybertruck Flipping

The Cybertruck is a hotly anticipated vehicle. Although the exact official data remains unknown, Elon Musk mentioned that more than 1 million people have pre-ordered it, but didn't reveal the exact number of units preordered. Giga Texas has already started production and the first deliveries are scheduled to take place at the November 30th delivery event. The truck is a complex product, and it will take time to ramp up production. Tesla eventually plans to land on 200,000 units per year, meaning that it could take five years for Tesla to make it through its preorder list. Tesla seems to be actively working to shorten wait times for its truck by encouraging those who preordered solely for reselling at a profit to cancel their preorders.

This practice is relatively common in the automotive world, especially when it comes to highly anticipated vehicles such as the Cybertruck.

Tesla's Order Agreement for the Cybertruck

Like several other automakers, Tesla has added an important clause to the Terms and Conditions of the Motor Vehicle Order Agreement, as noticed by @TeslaTruckClub. When purchasing a Cybertruck, the customer will have to agree to the terms and conditions described therein. In particular, the company prohibits the resale of the truck to third parties for a period of one year from the date of delivery.

If the customer has conditions that require the sale of the vehicle, they must notify the company. Tesla can buy the Cybertruck back "at its sole discretion and at the purchase price listed on your Final Price Sheet less $0.25/mile driven, reasonable wear and tear, and the cost to repair the Vehicle to Tesla's Used Vehicle Cosmetic and Mechanical Standards." If Tesla refuses to purchase the vehicle, the customer will be able to resell it to a third party only after receiving written consent from the company. If the terms are violated, Tesla may seek an injunction to prevent the transfer of ownership of the Cybertruck or seek damages of $50,000 from the customer. The full text of the terms and conditions can be found at the bottom of the article.

Why Is This a Positive Condition?

While some consumers may consider such terms to be a violation of their rights, in reality, they are intended to protect them. Since the Cybertruck already has a fan base and is the most anticipated vehicle in automotive history, some people may try to take advantage of early preorders. Many of them have pre-ordered multiple trucks with the sole purpose of reselling them at inflated prices once they receive them. However, this is only part of the problem.

If Tesla can get scalpers to cancel their preorders, then customers who ordered the truck for themselves could be in for a shorter wait time.

Below is the clause in Tesla's Order Agreement:

Cybertruck Only: You understand and acknowledge that the Cybertruck will first be released in limited quantity. You agree that you will not sell or otherwise attempt to sell the Vehicle within the first year following your Vehicle's delivery date. Notwithstanding the foregoing, if you must sell the Vehicle within the first year following its delivery date for any unforeseen reason, and Tesla agrees that your reason warrants an exception to its no reseller policy, you agree to notify Tesla in writing and give Tesla reasonable time to purchase the Vehicle from you at its sole discretion and at the purchase price listed on your Final Price Sheet less $0.25/mile driven, reasonable wear and tear, and the cost to repair the Vehicle to Tesla's Used Vehicle Cosmetic and Mechanical Standards. If Tesla declines to purchase your Vehicle, you may then resell your Vehicle to a third party only after receiving written consent from Tesla. You agree that in the event you breach this provision, or Tesla has reasonable belief that you are about to breach this provision, Tesla may seek injunctive relief to prevent the transfer of title of the Vehicle or demand liquidated damages from you in the amount of $50,000 or the value received as consideration for the sale or transfer, whichever is greater. Tesla may also refuse to sell you any future vehicles.

How had I never seen this in the Motor Vehicle Order Agreement before? pic.twitter.com/wI5FP05qV0

— Mike - CyberOwners.com (@TeslaTruckClub) November 11, 2023

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Tesla Introduces Hands-Free Frunk Opening in Update 2024.32.3

Not a Tesla App

In Tesla’s upcoming update, 2024.32.3, Tesla has added hands-free support for opening the vehicle’s frunk. This follows the Spring Update (2024.14), which added Hands-Free Trunk support for certain vehicles.

When hands-free trunk support was added earlier this year, it was supported on vehicles that include an ultra wideband chip, which includes the refresh Model S, new Model X, and the 2024 Model 3. Due to the hardware requirement, these will be the same vehicles that support the new Hands-Free Frunk feature. Legacy vehicles without UWB will unfortunately not support either feature due to the hardware requirement. UWB enables far more accurate tracking of the phone key, allowing Tesla to pinpoint its exact location relative to the vehicle.

The Cybertruck interestingly also includes an ultra wideband chip, however, it didn’t include the automatic opening of the gate earlier this year. However, we expect the Cybertruck to also receive the hands-free frunk opening in this 2024.32.3 update or relatively soon afterward.

Update: The Cybertruck is receiving hands-free frunk support in the 2024.32 update as well.

Hands-Free Frunk

The Hands-Free Frunk works similarly to the trunk feature – with an iPhone 11+ and a recent version of the app, you’ll be able to stand in front of your vehicle, and the Frunk will unlatch after sounding a chime. On some vehicles, the frunk will immediately open after being unlatched, however, you’ll need to manually close it.

This new feature isn’t enabled by default – you’ll need to go to Settings > Locks > Hands-Free Frunk to enable it.

At this time, Tesla doesn’t support UWB on Android devices, though both the Hands-Free Trunk and Hands-Free Frunk support will come to Android users in a future app update, according to Tesla.

Exclude Home

With the addition of the hands-free frunk opening, Tesla has also added a new option. You can now choose to disable the automatic opening when your vehicle is located at home to prevent you from accidentally opening. This will apply to the automatic frunk and trunk. In addition, in the Model X, you’ll also be able to disable the self-presenting doors at home. This is a great addition as many people have kept the hands-free feature disabled due to it awkwardly opening in the garage.

In the 2024.32.3 update, Tesla also mentions that they’ve improved the detection of the phone key, which should make the feature more reliable and faster when approaching the vehicle from the front or rear.

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Tesla’s Referral Program Launches in Europe

Not a Tesla App

Following its recent launch in the United States and Canada, Tesla has launched their referral program in several European countries as well.

The program is available in Germany, Norway, France, the Netherlands, the United Kingdom and possibly others. The program is almost the same as the one available today in North America, with rewards for each referral and a discount for those referred. The cap in Europe is also ten per year.

This program comes right on the heels of a 0% financing offer for the Model Y in Sweden and France. While referrals aren't currently available in Sweden, the 0% financing still is.

European Referrals

The European Referral program accounts for country and local currency, where applicable.

The referral reward program is comparable to the one available in North America. After exchange rates, there is only an approximately 10% difference between the available rewards in the US and EU.

Other Countries

We expect this program to start rolling out to other European countries over the next few days or weeks, as Tesla continues to expand its referral program.

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