Tesla has sparked widespread concern in China for refusing to deliver to a buyer who purchased a Model 3 through Pinduoduo.
In an interview with Tencent News on August 17, the buyer, Zhang Yi (a pseudonym), said he hoped Tesla would honor the contract, and had consulted with relevant legal sources, who believed the contract was valid.
In Zhang's view, this is his personal order, but also a personal contract, which cannot be defined as "resale", which is the reason for Tesla's refusal to deliver.
Recently a merchant on Pinduoduo launched Tesla Model 3 2019 model group buy activity with a price tag of 251,800 yuan after subsidy, 20,000 yuan cheaper than Tesla's official price of 271,800 yuan after subsidy.
According to the campaign, there are five black Teslas participating in the event, all of which are new cars, and consumers need to pay the full price of the car, not in installments.
After the campaign was launched, Tesla China released a statement on Weibo on July 21, saying that Tesla did not have any cooperation with the merchant or Pinduoduo regarding the group buy, nor did it have any kind of commissioned sales service with them. "Our company is not responsible for any disputes or damage to rights and interests produced by the group buy."
On August 14, Zhang Yi, who placed an order in this group buy, was denied delivery, and Tesla said, "The consumer informed Tesla that he had accepted the Pinduoduo subsidy.”
Tesla delivery personnel said to Zhang Yi, "Our company suspects that this order was placed in your name by Pinduoduo or other merchants. It actually constitutes a concealment of true order information from our company, and our company's previous announcement has stated that this group purchase by Pinduoduo is unauthorized and that you should request delivery of the vehicle or a refund from the merchant who paid for the vehicle."
Pinduoduo responded to this by stating, "It is true that he himself independently signed an order contract with Tesla, and the consumer himself placed the order on Tesla's website and will not resell it, but will only use it for his own use. Tesla explicitly refused to deliver in this case. Tesla refuses to fulfill the contract with the consumer, as a subsidizing party regrets this, but we support the consumer's rights according to the law, and actively implement the delivery of vehicles."
Media reports indicate that Tesla insiders revealed that the process of service with customers found that the purchase order of the car was not operated by the customer himself, but by a third party using the customer's personal information to place the order on behalf of the customer, and the final payment was paid by Pinduoduo.
The insider said, this behavior in Tesla's view has constituted an order resale, the customer did not have a direct contractual relationship with Tesla. He believes that it is Pinduoduo who cannot fulfill the promise, and the customer should make a claim to Pinduoduo or the merchant, "For this reason, Tesla supports consumers in safeguarding their legitimate rights and interests, and is willing to provide the necessary support for the customer's reasonable rights."
The following is a partial transcript of the conversation.
Tencent News: There are rumors that you are a courier?
Zhang Yi: I am from Xianning, Hubei province, and I have been a courier working in Wuhan for 10 years and have saved up some money. Being a courier is quite busy, and I have to send and receive nearly 5,000 pieces of express delivery a month, which is more than 60,000 a year. I've been working for 10 years, and I've always wanted to buy a Tesla.
Tencent News: Why do you want to buy a Tesla?
Zhang Yi: I was born in an ordinary small town, but I've always loved tech products since I was a kid, I've bought DJI drones, I usually buy some digital devices, and I have some geeky dreams.
I especially like Musk, many technology lovers like me around us all admire him, think Tesla is great, and appreciate his geek spirit. I joined a lot of Tesla ownership groups early on, but I never saved enough money to buy one myself.
Tencent News: Did you make a big decision to buy this car?
Chang I: Of course it is. I was working as a courier before, and my income was only that much every month, so it was hard to save money.
I have seen people on the Internet say, why are you greedy for this subsidy? Actually, being 20,000 yuan cheaper is very attractive. I was originally thinking that I'd either wait for Tesla to drop the price or I'd save more money. Now there's an event to subsidize it, and it's just enough for me to get it.
I was also warned by a friend to be cautious before placing the order. But the iPhone I'm using now was also bought on Pinduoduo, which is more than 1,000 yuan cheaper and there is no problem with it, I think the platform will give me protection.
Tencent News: What was the process of buying a car on Pinduoduo?
Zhang Yi: I was participating in the Pinduoduo Tesla group buy event, and the merchant I placed the order with was Yi Auto flagship store. The official price of the Tesla Model 3 was over 290,000 yuan, and I actually paid slightly over 250,000 yuan, which was subsidized by China's National Renewable Energy Program, and then Pinduoduo subsidized 20,000 yuan with the merchant.
After I was qualified for the subsidy on Pinduoduo, someone from Yi Auto contacted me and said they wanted to place an order on the official website, so I sent them my ID card and other information. They signed up for an account on the Tesla website and I agreed to help them place the order, and when it came time to pay, they paid the final payment as well.
My understanding was that they were just helping me, and I was the one who placed the order for the car and used the car.
Tencent News: How did you communicate with Tesla, and why were you denied delivery?
Chang I: After paying the deposit, Tesla was still instructing me on how to pay for it. Originally, I thought it was fine, and I was waiting to pick up the car. But all of a sudden, they said, I'm involved in reselling and not eligible to pick up the car.
We communicated several times. I wanted the car, but they wouldn't deliver it and said they would cancel the order. Then I asked if it's okay for me to place a new order after cancellation. They said no, that I was no longer eligible to buy it and that it was recorded in the system. I'm now on Tesla's "blacklist" after trying to buy a Tesla this time.
Tencent News: Do you know what "resale" is?
Chang I: I don't understand, it's my personal order, my personal contract, and my personal registration, how can this be called resale?
Tencent News: Is it reasonable for Tesla to refuse to deliver because of subsidies?
Zhang Yi: I think it's unreasonable. If Tesla and Pinduoduo have a conflict, then they should go to Pinduoduo, why not let me pick up the car? I also left a message on the Tesla website saying I want the car, I paid for it, you won't give me the car, that's your problem, not mine.
Tencent News: Has Pinduoduo contacted you yet? What's next?
Zhang Yi: They contacted me after the problem with picking up my car, and have been communicating and offering a lot of solutions, such as the possibility of advancing 270,000 yuan for another order, or a full refund for my compensation if I really can't do it. However, I still want to get my car sooner, and since the Shanghai owner was able to pick up the car, I think there is still a way.
I'm still in closer communication with Pinduoduo.
I saw that a lawyer did an analysis and said that Tesla's practice is not legal and the contract is still valid.
If I can't get the car, I want to sue Tesla. Musk said the geek spirit is to be serious, so I also want to be serious.
Tencent News: Have you consulted any relevant legal people?
Zhang Yi: I consulted a lawyer, who said my subscription contract is valid.
Tencent News: If you file a lawsuit, what kind of result do you hope to get?
Zhang Yi: First of all, I hope that Tesla can fulfill my car purchase contract, at the moment I have not thought about what to do in case it cannot fulfill the contract, because I also do not understand what is going on with Tesla.
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