Walmart claims Tesla's solar panels caused fires at seven of its stores.
Sorry, Elon Musk. 2019 might not be “the year of the solar roof” after all.
Retail giant Walmart is suing Tesla, claiming that its solar panels ignited seven of its stores’ roofs, CNBC reports.
The suit alleges that Tesla failed to live up to industry standards, amounting to breach of contract and gross negligence. According to the lawsuit that was filed in New York state, “Tesla routinely deployed individuals to inspect the solar systems who lacked basic solar training and knowledge.”
The suit also suggests that Tesla didn’t ground its solar panels properly at Walmart’s stores, which may have caused the fires.
“The number of defects, however, is overwhelming and plainly indicative of systemic, widespread failures by Tesla to meet the standard of care, as set forth in the governing contracts, as to the solar systems installed at Walmart’s stores,” Walmart’s lawsuit reads.
Hours after news emerged of Walmart’s lawsuit, Tesla stock has dropped slightly.
The lawsuit couldn’t have come at a worse time. On Sunday, Tesla CEO Elon Musk announced on Twitter that it will rent out Tesla solar roof panels for only $50 a month plus tax to reignite interest — a move that likely comes in a response to slowing sales.
Tesla first showed off its solar roof tiles in 2017 after acquiring solar panel manufacturer SolarCity in 2016 for $2.6 billion. Walmart claims that problems arose even before the acquisition.
READ MORE: Walmart sues Tesla over several solar panel fires caused by ‘negligence’ [The Verge]
More on Tesla: You Can Now Rent Tesla Solar Panels for Crazy Cheap