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Tesla attorney Tyree P. Jones Jr. argued that context matters when the court considers use of the N-word, distinguishing friendly use among Black people from a white person directing the slur at a Black person. That argument is part of an ongoing California civil-rights trial over allegations of racial discrimination at Tesla; it is not a court finding or a defense of non-Black coworkers’ or managers’ use of the slur against Black workers.

What did Tesla’s lawyer say about the N-word?

At the opening of the trial, Jones argued that the state’s presentation of the slur lacked context. Bloomberg Law reported that he distinguished friendly use between Black people from a white person directing the word at a Black person. In its September 28, 2026 report, Complex quoted Jones telling Judge Peter Borkon: “This trial is not about the N-word — the N-word is not on trial here.”

Jones also argued, as quoted by Bloomberg Law, that “the state of California attacks the way that many Black people greet each other, express respect for each other, and express endearment and love for each other.” Those are arguments made by Tesla’s lawyer, not findings by the judge.

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Did Tesla argue it had a right to use the slur against Black workers?

No. The reported distinction concerned some friendly use among Black people, not a claimed right for white employees, supervisors or managers to direct the slur at Black workers. The Crosscheck’s September 30 fact-check said viral claims that Tesla was defending such a right misrepresented the reported argument. It also found no published account it reviewed that counted how many times Jones used the word in his opening, so no count is established here.

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What is the California case about?

The case is California Civil Rights Department v. Tesla Inc., Alameda County Superior Court No. 22CV006830. The California Civil Rights Department (CRD) says it sued Tesla in 2022 after about three years of investigation. Its case concerns alleged racial harassment, discrimination, and retaliation involving Black employees. The trial opened on September 21, 2026, and is being heard by Judge Peter Borkon without a jury.

CRD alleges that Black workers faced pervasive racial slurs, including slurs used in the presence of or by supervisors and managers, and that workers used “plantation” to refer to the Fremont factory. The department also says its case includes alleged discrimination in job assignments, promotion, discipline and pay. These are the agency’s allegations, not established facts or a ruling on liability.

How do the state’s and Tesla’s positions differ?

Issue CRD’s position Tesla’s position
Pattern of harassment CRD alleges a broader pattern of racial harassment, not only isolated incidents. Bloomberg Law reported that Jones argued the state lacked suitable evidence to show racial harassment was the company’s standard operating procedure.
Context for slurs CRD alleges racial slurs were part of the workplace conditions it challenged. Jones argued that context matters, distinguishing friendly use among Black people from a white person directing the slur at a Black person.
Response to complaints CRD’s case includes allegations involving discrimination and retaliation. Jones argued that Tesla’s human-resources and employee-resources teams responded to complaints.
Legal status The department is asking the court to assess its allegations. Tesla contests the state’s case.

The table describes the parties’ positions as reported at trial opening; it does not resolve which account the evidence supports.

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What does the reported pay difference mean?

CRD says its analysis of worker pay data from June 2018 through June 2024 found that Black workers received $1,533 less in monthly compensation than white workers. That figure is the agency’s analysis in a live case, not a compensation amount the court has found Tesla liable to pay or an adjudicated finding of discrimination.

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Is Tesla on trial now, and has the court ruled?

As of October 3, 2026, the bench trial was underway. Because Judge Borkon is hearing the case without a jury, the judge will decide the issues presented in this proceeding. The reports available at that date describe arguments and allegations, not a verdict or merits finding. Trial developments may change the case’s posture.

How is this different from Tesla’s other racial-discrimination cases?

This CRD proceeding is separate from former Tesla worker Owen Diaz’s federal case. The Associated Press reported that a jury awarded Diaz $137 million in 2021, the judge reduced that award to $15 million, and a later retrial resulted in $3.2 million in damages. Diaz and Tesla settled in 2024 for an undisclosed amount. Those events are not an outcome in the CRD case.

A June 30, 2026 California Court of Appeal opinion in Smith v. Superior Court addressed whether former members of the related Vaughn worker litigation could join claims alleging harm from a common policy or practice. That procedural ruling did not decide whether the CRD’s allegations against Tesla are true.

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