hockeythug
Active Member
If it was already illegal there(according to the governer) why was Tesla allowed to sell there in the first place?
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Michigan passes bill to ban Tesla!
- Thread starter Joel
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- Tesla Inc.
Johan
Ex got M3 in the divorce, waiting for EU Model Y!
Yes it puts the problem and the way interstate commerce law and state law comes in direct conflict in the spotlight. The petition to the White House seemed to have no effect what so ever. The dealership lobby have deep pockets and at lot of politicians on their pay-roll. In what form could this be handled at a national level? Is it Supreme Court material? Federal Trade Commision? What is the most likely place for the issue to end up eventually?
Johan
Ex got M3 in the divorce, waiting for EU Model Y!
Republican governors side with the dealers
Democrat governors side with the unions
How will Tesla ever get a break?
One solution... Elon Musk for president!
This.
Of course, it matters who is paying - follow the money. There is a lot of money flowing to Republicans by a very small number of people. These people are have interests that are likely not share by you, or many people in the United States. In some cases, these people donate to both parties, but if you follow the money, you obtain a far clearer picture about politicians and the parties than by inspecting their publicly stated platforms.
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There is a possible upshot in this action - Tesla may be forced to sue, invoking the interstate commerce clause. Tesla wholly manufactures in CA and delivers to MI, MI might not have the authority to regulate this commerce.
Michigan goes backwards once again. Governor signs the bill. Sure hope Tesla fights this! Here is the link from the Washington Post.
Tesla just lost its fight for direct sales in Michigan - The Washington Post
I suspect Tesla has to sue and for whatever reason, Tesla has been reluctant to do so thus far. This might be the tipping point where public opinion is strongly in favor of Tesla and this law is both onerous and clear cut enough for Tesla to file suit.
I'm not a lawyer but based on the news I've read it basically makes the Tesla Stores illegal in Michigan. It means Tesla cannot sell their cars directly (via company-owned Stores) and the law now states they can only sell them through franchised dealerships. Cars can still be configured and ordered online and delivered to a buyer's home/work, it just cannot be done at a Tesla Store.
MartinAustin
Active Member
Don't worry! Tesla sales are also banned in Texas (via laws guaranteeing a monopoly to dealers), but there are thousands of Tesla owners driving around Texas.
This ban by Michigan will not affect production at the Tesla factory, or profits for Tesla Motors, ONE BIT. It won't make ANY difference. Tesla are still scrambling to meet demand and easily sell every car they make.
The difference is for residents of Michigan, who now know how to vote in the election, and also they now can't pay for their Tesla cars directly at the showroom. Just order them over the web and collect them at the service center... not really any different.
This ban by Michigan will not affect production at the Tesla factory, or profits for Tesla Motors, ONE BIT. It won't make ANY difference. Tesla are still scrambling to meet demand and easily sell every car they make.
The difference is for residents of Michigan, who now know how to vote in the election, and also they now can't pay for their Tesla cars directly at the showroom. Just order them over the web and collect them at the service center... not really any different.
Merrill
Merrill
If someone wants a Tesla and lives in Michigan they can still have one, the only issue will be test drives and they have over come that in Texas by having a current owner that will meet the prospective buyer and do the test drive. This just makes Tesla stronger because we are in this together for a better cause.
CliffG
Member
Dodged the issue. Expectable, but disappointing. Looks like he's like most executives who find themselves in this position: too weak to deal with the racketeering dealers and the feckless/corrupt legislature (IMHO). Too bad.
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chickensevil
Active Member
It depends on how far the state wants to push the interpretation of the language. It could be stated that superchargers are a form of service and/or advertising which is not owned or supported by a franchised dealer and therefore would be illegal. I am not a lawyer so take that with a grain of salt, but really the law is just vague enough that if they choose to get nasty about it I would expect the dealership association to step in and accuse Tesla of breaking the law just as they have done in Iowa and just as they have done in Georgia. It wouldn't even have to be proven that they are indeed breaking the law... Just attempting to accuse them of such would stall/shutdown the chargers until the mess gets sorted out.
On the flip side, how upset would owners be and how ridiculous would the claim be if they did that? Whatever public opinion they might have on their side would immediately go down the toilet if they did try to press this one... So I suspect even if it is arguable that it could be considered illegal that is a storm that I don't think they want to start at this time.
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And of course their argument for why Superchargers are bad for the consumer would be how many gas pumps are owned by the manufacturer? And Tesla has a market control over the charging for their cars which is anticompetitive and is hurting consumers.... I can picture the spin right now.
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