A sample text widget

Etiam pulvinar consectetur dolor sed malesuada. Ut convallis euismod dolor nec pretium. Nunc ut tristique massa.

Nam sodales mi vitae dolor ullamcorper et vulputate enim accumsan. Morbi orci magna, tincidunt vitae molestie nec, molestie at mi. Nulla nulla lorem, suscipit in posuere in, interdum non magna.

USA: Tesla 1, Dealers 0: Judge Tosses Lawsuit Against Electric Car Company

Last fall, Tesla was making headlines — not because of its snazzy Model S sedan, but because of its unusual (and potentially illegal) showrooms. Now, one judge in Massachusetts has vindicated the electric-car startup and its unorthodox sales techniques. Is this the shape of things to come?


Tesla is a small but audacious company. Then again, we wouldn’t expect anything less from its founder, Elon Musk, who also changed the face of banking (PayPal) and space travel (SpaceX).

Tesla hasn’t just created high-end electric cars that can — for a price — achieve ranges comparable to conventional vehicles. It has also reimagined the auto showroom experience, thanks to George Blankenship, the man who helped create Apple’s ridiculously successful, outrageously profitable chain of retail outlets.

According to the automaker’s website, there are currently 23 Tesla “stores and galleries” across the U.S., plus another one in Canada. Generally speaking, these outlets are more like “information centers” than conventional dealerships: customers can peruse vehicles, learn more about them, and even sit in them, but they’re required to go elsewhere for test drives and purchases.

Other auto dealers aren’t happy with Tesla’s showrooms because they claim the facilities violate franchise laws. Franchise laws differ from state to state, but in most cases, they prohibit automakers from selling directly to the public, requiring a dealer to play middleman.

And so, Tesla has been sued in four states: Illinois, Massachusetts, New York, and Oregon. In November, Tesla won a partial victory in Massachusetts when a judge denied a request from the Massachusetts State Automobile Dealers Association to shut down Tesla’s showroom in
More thecarconnection.copm


Leave a Reply