Chipping paint could be costly for Tesla in Canada: In the province of Québec, a class action lawsuit due to paint defects for Tesla Model 3 and Model Y has been officially approved. Thousands of vehicles could be affected – and the resulting damage for Tesla is likely to run into the millions. What is behind the lawsuit and what role a Canadian Tesla owner plays in it, you can read here.
The Trigger: Paint Damage After Only Six Months
In 2020, the Tesla owner Jean-François Bellerose from Québec noticed that the black paint on the side skirts of his Model 3 began to peel off after only six months. When Tesla did not want to repair the damage under warranty, he had to pay around 5,000 Canadian dollars (about 3,400 euros) out of his own pocket.
This case marked the beginning of a class action lawsuit which has now – after several years – been officially approved by a judge and can therefore be heard in court.
Who is Affected? Scope of the Class Action
The class action approved by the court includes:
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All private individuals and companies in Québec,
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who between January 1, 2018, and the publication date of the court notice
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purchased or leased a new Tesla Model 3 or Model Y,
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and discovered paint damage within 48 months of delivery.
Overall, more than 15,000 vehicles could be affected – by mid-2021 alone, over 13,000 Model 3 and 2,300 Model Y were sold in Québec.
Claims: Reimbursement, Protective Measures & Compensation
The lawsuit aims for the following claims:
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Reimbursement of repair costs for damaged paint areas
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Reimbursement of preventive measures such as protective film or splash guards
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500 CAD in damages per plaintiff for stress and inconvenience
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Another 500 CAD for Tesla's alleged failure to warn about the paint risk
Should Tesla be convicted, the compensation amount could reach several million CAD.
Has Tesla already admitted the problem?
Even though Tesla does not officially admit any guilt, the company's behavior paints a different picture: At the end of 2020 – after the lawsuit was filed – Tesla began distributing free mudguards and protective films (Paint Protection Film) to Canadian customers. A possible indication that they were indeed aware of the issue.
The lawsuit also accuses Tesla of having been aware of the risk from the start – but failing to take proactive measures to inform or protect customers. These allegations have not yet been conclusively evaluated by the court.
What's next? Next step: Main proceedings
A recent decision from April 15, 2025 gives the green light for the start of the main proceedings. The trial will take place in Montreal. The court-appointed organization Services Concilia will handle the notification of all potentially affected Tesla owners as well as the management of opt-out requests.
Anyone who does not wish to participate must actively object – the deadline will be announced later.
Conclusion
The class action in Québec could have unpleasant consequences for Tesla – both financially and in terms of reputation. Should the court decide in favor of the plaintiffs, repayments in the millions and further image damage in an important electric car market are threatened. Even though European customers are not affected, the case shows once again: Quality and transparency remain central issues for Tesla worldwide.