1 unchanged sentence
For a description of our material pending legal proceedings, please see Note 12, Commitments and Contingencies , to the consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q.
−Removed: In addition, each of the matters below is being disclosed pursuant to Item 103 of Regulation S-K because it relates to environmental regulations and aggregate civil penalties that could potentially exceed $1 million.
+Added: In addition, each of the matters below is being disclosed pursuant to Item 103 of Regulation S-K because it relates to environmental regulations and aggregate civil penalties that we currently believe could potentially exceed $1 million.
We believe that any proceeding that is material to our business or financial condition is likely to have potential penalties far in excess of such amount.
−Removed: The Bay Area Air Quality Management District (“BAAQMD”) has issued notices of violation to us relating to air permitting and related compliance for the Fremont Factory, but has not initiated formal proceedings.
−Removed: We have disputed certain of these allegations and have asserted that there has been no related adverse community or environmental impact.
−Removed: While we have not yet resolved this matter, we remain in close communication with BAAQMD with respect to it.
−Removed: We do not currently expect any material adverse impact on our business.
+Added: In May 2021, Tesla entered into a settlement agreement with The Bay Area Air Quality Management District with respect to past notices of violation relating to alleged air permitting and related compliance issues for the Fremont Factory, certain of which we had disputed.
+Added: Tesla agreed to pay $1 million consisting of a cash amount and the implementation of a supplemental environmental project.
+Added: The settlement agreement did not contain any admission of wrongdoing.
The German Umweltbundesamt has issued our subsidiary in Germany a notice and fine in the amount of 12 million euro alleging its non-compliance under applicable laws relating to market participation notifications and take-back obligations with respect to end-of-life battery products required thereunder.
−Removed: This is primarily relating to administrative requirements, but Tesla has continued to take back battery packs, and although we cannot predict the outcome of this matter, including the final amount of any penalties, we have filed our objection and it is not expected to have a material adverse impact on our business.
+Added: In response to Tesla’s objection, the German Umweltbundesamt issued Tesla a revised fine notice dated April 29, 2021 in which it reduced the original fine amount to 1.45 million euro.
+Added: This is primarily relating to administrative requirements, but Tesla has continued to take back battery packs, and although we cannot predict the outcome of this matter, including the final amount of any penalties, we filed a new objection in June 2021 and it is not expected to have a material adverse impact on our business.
In April 2021, we received a notice from the Environmental Protection Agency (the “EPA”) alleging that Tesla failed to provide records demonstrating compliance with certain requirements under the applicable National Emission Standards for Hazardous Air Pollutants under the Clean Air Act of 1963, as amended, relating to Surface Coating of Automobiles and Light-Duty Trucks regulations.
2 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.