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Attorney says firm won’t sell its cars at Natick Mall

Discussion in 'New England' started by Larry Chanin, Jul 20, 2012.

  1. Larry Chanin

    Larry Chanin Model S Perf Sig 1055

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    Attorney says firm won’t sell its cars at Natick Mall

    Larry
     
  2. dsm363

    dsm363 Roadster + Sig Model S

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    There should be a challenge to these laws on a national level. I don't see how these laws can be constitutional but they may be.
     
  3. CapitalistOppressor

    CapitalistOppressor Active Member

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    We need a lawyer for that one. Those laws are ancient and the world has changed since they were first drafted. Early on the dealership model was a net benefit to manufacturers and now that it's institutionalized car companies don't have a huge incentive to challenge it.

    So it seems possible at least that this has never been litigated at the Supreme Court level. States certainly have a lot of leeway to regulate their internal marketplace and the funeral industry is a classic example of extreme anti-competitive practices being enshrined into law. But the funeral industry doesn't impact interstate commerce in the same way that car sales do.

    Regardless, its the law right now and any challenge would take years to resolve.
     
  4. CapitalistOppressor

    CapitalistOppressor Active Member

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    Here is an interesting paper on the subject.

    http://www.justice.gov/atr/public/eag/246374.htm
     
  5. richkae

    richkae VIN587

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    If Tesla is prevented from selling cars there, those of you who are affected by it need to sue because it is your rights that are being infringed by the stupid law.
     
  6. Krugerrand

    Krugerrand Active Member

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    Silverman sure has his panties in a knot. :) And who is he, or Natick County to decide what is an appropriate distance for a service center to be from the place of business, just because everyone else has it on the same property/block? Pfft! It's about time things changed.
     
  7. dsm363

    dsm363 Roadster + Sig Model S

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    #7 dsm363, Jul 20, 2012
    Last edited: Jul 20, 2012
  8. doug

    doug Administrator / Head Moderator

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  9. mitch672

    mitch672 Active Member

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  10. ElSupreme

    ElSupreme Model S 03182

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    I think someone should configure their car on a laptop in that mall. Just because!
     
  11. vfx

    vfx Well-Known Member

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    I would hope Tesla is making that 30% middleman profit to make up for the "no maintenance" of electric cars. Pass it on to customers.
     
  12. cinergi

    cinergi Active Member

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    I heard a tesla emPloyee comment that it's looking like this won't be an issue (the store will exist)
     
  13. hj-45

    hj-45 Member

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    I came away with the same feedback. Also confirmed the service center will be in Watertown, MA.
     
  14. Steph

    Steph Member

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    Word of the day: Disruptive
     
  15. EdA

    EdA Model S P-2540

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    I'll try to do exactly this since I live about 5 minutes away...
     
  16. doug

    doug Administrator / Head Moderator

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    So I thought the issue in MA was more that the cars have to be able to be serviced where they're sold (rather than requiring some dealership middleman). If that's the case, it does sound like the rule was made with consumer protection in mind. Though it's at odds with Tesla's model of decoupling sales from service.
     
  17. hj-45

    hj-45 Member

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    The service issue is a requirement but really is just a sidebar. The real issue for the NADA and in this case the MADA is to protect the dealerships by restricting manufacturers ability to directly sell to the public. What if Ford set up their own Tesla style shop across the street from an established Ford dealership and simply undercut every deal because they could? The spin is to 'protect the consumer' but the reality is to protect the dealer. With Tesla's paradigm, there really is no protection or consumer issue because there is no Tesla franchised dealers to protect. So then the real issue is that established dealers for the competition cannot make the same margin on a car, which makes them less competitive as a whole, and thus the pushback from an established lobby.
     
  18. Robert.Boston

    Robert.Boston Model S VIN P01536

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    There's some twist, too, about there being a zoning prohibition on selling cars at the mall -- I guess car dealerships were considered too down-market for what the town planners were aiming for at the mall.
     
  19. brianman

    brianman Burrito Founder

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    It might be interesting to see the language of the prohibition. Perhaps it's written in an "ICE" way or the rationale involves pollution (chemical and noise) type issues.
     
  20. JRod0802

    JRod0802 Member

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    So now the next logical question (in my/our endless thirst for Tesla knowledge)... where in Watertown? Perhaps the Arsenal Mall or the Watertown Mall? Or maybe not a mall at all since that might not be allowed...

    Does anyone have any speculation?
     

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