Tesla and Rivian have reached a conditional settlement over a 2020 lawsuit that Tesla filed about Rivian’s alleged poaching of employees and the theft of EV trade secrets, including sensitive battery technology.
Per Bloomberg, the specifics of the settlement have not yet been released, nor have the details been filed to the courts. However, in a court filing to update the court, Tesla confirmed that once the settlement terms are completed to Tesla’s satisfaction, Tesla will move to dismiss the lawsuit with a target date of December 24, 2024.
The original Tesla suit alleged that Rivian had an alarming pattern of poaching Tesla employees and stealing trade secrets. In fact, some workers were caught “red-handed” sharing next-generation battery information with Rivian.
It remains unclear if that information helped guide Rivian’s research and development or future plans.
Rivian denied wrongdoing and accused Tesla of attempting to suppress competition in the North American market. The company and the group of ex-Tesla workers previously filed a motion to dismiss, but the Judge did not grant this motion.
The trial was set for March 2025, but with a settlement on the horizon, this most likely will not happen.
Neither Rivian nor Tesla have commented on the potential conditional settlement.
