Tesla Whistleblower Wins Appeal in Long-Running Legal Fight Against Elon Musk

A former Tesla engineer who raised concerns about vehicle safety has secured a major legal victory in her years-long battle with Elon Musk and the electric car company.

Cristina Balan, once a prominent employee at Tesla whose initials were engraved on Model S batteries, was fired in 2014 after warning that a design flaw could compromise the cars’ braking systems. Her concerns were reportedly dismissed by management, and her eventual termination led to a protracted legal fight, including a defamation case filed against the company in 2019.

That defamation suit appeared to have reached a dead end after a judge upheld a prior arbitration ruling in Tesla’s favour. However, a U.S. federal appeals court has now overturned that decision, giving Balan fresh ground to pursue her claims in court.

In an interview with the BBC, Balan expressed hope that the ruling would open the door for a new lawsuit—and the chance to confront Elon Musk directly. “We are hoping we will start a new lawsuit and we will have the chance to take on Elon Musk in front of a jury and judge,” she said.

Tesla has not commented on the court’s decision.

The appeals court ruling from the Ninth Circuit found that the California district court lacked the jurisdiction to confirm the arbitration award, ordering it to vacate the ruling and dismiss the case. The decision effectively resets the legal playing field, allowing Balan to relaunch her case in court.

Balan, who also battled stage-3B breast cancer during this period, told the BBC last year that her fight with Tesla has been motivated by a desire to clear her name, especially for her son’s sake. “I want to clear my name,” she said. “I wish Elon Musk had the decency to apologise.”

Tesla previously accused Balan of misusing company resources for a secret project—an allegation she denies and says amounts to character assassination.

Although she initially won a wrongful dismissal case, her pursuit of justice has since focused on the public defamation she says followed. Now, with this new court ruling, Balan is preparing to continue her legal quest – this time, in front of a jury.