Tesla (TSLA) is facing renewed scrutiny over its door handle design. A lawsuit has been filed against the automaker in Wisconsin state court over a fatal crash involving a 2016 Model S. The incident occurred last November in Verona, Wisconsin, when the vehicle collided with a tree and allegedly caught fire due to battery defects.
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According to the suit, two passengers initially survived the impact but were unable to escape as the car caught fire, allegedly trapped by malfunctioning electronic doors.
The lawsuit accuses the automaker of negligence and highlights a “foreseeable risk” tied to Tesla’s flush-mounted door handles and post-crash fire hazards. It also claims Tesla has long been aware of similar complaints involving battery fires and door malfunctions but failed to take corrective action.
Tesla’s Door Handle Design Under Scrutiny
Tesla’s door handle design has come under increasing scrutiny in recent years. The flush-mounted handles rely on electronic mechanisms to open, which can malfunction during or after a crash.
While Tesla includes mechanical overrides, many passengers are unaware of their location or how to use them in an emergency.
The National Highway Traffic Safety Administration (NHTSA) is currently investigating whether Tesla’s door systems are defective, citing cases where children and other passengers were trapped inside.
Following multiple complaints, the NHTSA recently widened the probe to include other vehicles, such as the 2017–2022 Model 3 sedans and 2020–2022 Model Y SUVs.
What Is the Prediction for Tesla Stock?
Turning to Wall Street, TSLA stock has a Hold consensus rating based on 14 Buys, 10 Holds, and 10 Sells assigned in the last three months. At $395.54, the average Tesla price target implies a 15.66% downside risk. The stock has gained 62.9% over the past six months.
