Former CEO Martin Eberhard drops case against former employers

A lawsuit against Tesla Motors and its chairman has been dismissed at the request of the former company executive who brought the civil case against his former employer.

Former CEO Martin Eberhard voluntarily requested that the suit be dropped on 7 August, according to his lawyer, Yosef Peretz.

Peretz declined to comment further, other than to say that more may become public about the case late in September.

Eberhard filed the suit on 26 May against Tesla chairman and CEO Elon Musk and Tesla Motors.

It claimed that Eberhard had been defamed by Musk, had received a damaged Tesla Roadster, was owed wages and that Musk was taking credit for founding the company when in fact Eberhard was the founder.

Tesla has declined to comment on the end of the case.

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