Sony-Honda Afeela Vehicle Sales Challenged in California

On August 19, 2025 the California New Car Dealers Association (“CNCDA”) filed a lawsuit against Sony Honda Mobility, (“SHM”) a joint venture between Sony and Honda, challenging the sale of Afeela vehicles in California.  SHM was created to “engage in the sale of high-value-added electric vehicles” (“EVs”) direct to consumer, bypassing Honda’s dealer network.  SHM is only advertising the sale of Afeela EVs in California.

The lawsuit alleges that by representing to consumers that it is able to sell Afeela vehicles directly to consumers when those sales in fact violate California law, SHM has engaged in deceptive and unfair business practices.  Similar to the first allegation, the lawsuit next alleges that SHM is engaging in false advertising. Finally, the lawsuit seeks a declaration that SHM is in violation of California Vehicle Code Section 11713.3 due to their marketing of Afeela vehicles direct to California consumers without involvement of American Honda franchisees.

CNCDA seeks an injunction against SHM continuing to sell Afeelas direct to consumers, a declaration that the direct sales are illegal, restitution for losses and attorneys’ fees and costs.