Tesla loses fight to set up its own dealers in Texas
#1
Tesla loses fight to set up its own dealers in Texas
Tesla loses fight to set up its own dealers in Texas
For a while there, it seemed like Tesla could do no wrong. But despite repaying its Department of Energy loans early, surging stock prices and even announcing a vast network of proposed Superchargers, Tesla is still in the fight of its life for how to get its cars sold.
According to Automotive News, the startup EV-maker lost its second straight battle to sell cars in dealerships that don't conform to state franchise laws restricting factory-owned dealerships. Earlier in the year, Tesla failed to get a dealer license in Virginia, and this time around, it will have to wait until at least 2015 to fight for an exemption in Texas. This means that Tesla's Houston and Austin showrooms are not actually allowed to sell vehicles. The report also adds that Tesla CEO Elon Musk could end up taking his case to the federal courts.
http://www.autoblog.com/2013/06/04/t...lers-in-texas/
#3
The report also adds that Tesla CEO Elon Musk could end up taking his case to the federal courts.
http://www.autoblog.com/2013/06/04/t...lers-in-texas/
http://www.autoblog.com/2013/06/04/t...lers-in-texas/
#5
Lexus Champion
#6
Lexus Fanatic
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no need to slam the state you live in, the laws are tough across the u.s.
i posted this:
in this thread.
i posted this:
actually car companies CAN'T own dealerships (in the u.s.) - there's an iron clad bunch of laws about it, and a powerful lobbying force preventing change.
#7
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Why not do this? Keep their existing "showrooms" in malls & other nontraditionsl places where people can select what they want & be informed on the vehicles & supercharger network without a sales pitch, fly them to CA to finalize the sale, get the customer a great coastal drive, and then arrange for shipping to the customer's home state. I'm sure there's nothing preventing them from setting up "authorized" service centers in each state to provide the complimentary, then extended maintenance. Sounds win-win.
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#8
Why not do this? Keep their existing "showrooms" in malls & other nontraditionsl places where people can select what they want & be informed on the vehicles & supercharger network without a sales pitch, fly them to CA to finalize the sale, get the customer a great coastal drive, and then arrange for shipping to the customer's home state. I'm sure there's nothing preventing them from setting up "authorized" service centers in each state to provide the complimentary, then extended maintenance. Sounds win-win.
#9
Lexus Test Driver
Why not do this? Keep their existing "showrooms" in malls & other nontraditionsl places where people can select what they want & be informed on the vehicles & supercharger network without a sales pitch, fly them to CA to finalize the sale, get the customer a great coastal drive, and then arrange for shipping to the customer's home state. I'm sure there's nothing preventing them from setting up "authorized" service centers in each state to provide the complimentary, then extended maintenance. Sounds win-win.
#12
Lexus Test Driver
#14
Dealer associations in Texas are seeing their franchise model threatened and are scared. Lucky for them they have lots of money and power to sway legislators in their favor. This has absolutely nothing to do with gas companies. Auto dealers just want to keep their old outdated model of ripping people off.
Last edited by Diesel350; 06-05-13 at 08:06 AM.
#15
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Dealer associations in Texas are seeing their franchise model threatened and are scared. Lucky for them they have lots of money and power to sway legislators in their favor. This has absolutely nothing to to with gas companies. Auto dealers just want to keep their old outdated model of ripping people off.