Tesla, Inc. faced a legal setback in a sexual harassment lawsuit, days after the company’s stock came under pressure following reports of alleged sexual misconduct by its chief executive officer Elon Musk.
What Happened
Tesla will not be allowed the leeway of arbitration in a lawsuit filed by a female employee over rampant sexual harassment at its Fremont California factory, Bloomberg reported.Alameda Country Superior Court Judge Stephen Kaus ruled that Jessica Barraza, the aggrieved employee, can fight the case in court and Tesla wouldn’t be allowed closed-door arbitration.
