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Tesla Dealerships

I live in a banned state, it's not just the franchise laws, here in Texas is the dealers association. They have a monopoly and if you don't play their game they send their lobbyist to the state legislature to put in laws to keep you out.

We only have galleries for the potential buyer to touch and feel, Q&A from gallery associates, no test drive, and no orders. You have to order online. I've been to the gallery closest to me once, that was to put down the 1k deposit.

It has made it a frustrating ordeal to purchase a Tesla, as I found out just receiving my 9/29. The cu, Tesla, and the trade in dept for Tesla required paperwork up front, money up front, and paid in full prior to pickup. You do have a 48 hour accept/reject period when you could take it back for another vehicle and any refunds.

Our legislature only comes in session every 2 years, and Tesla has hired lobbyist to plead their case for their stores, but have been shut down because of the Association. So, it is a long process, I believe Tesla has spent close to $2 million dollars in lobbying efforts in the last 6 years.

So, what does the Association want, they want a piece of the pie, franchise dealerships, the very thing that Tesla is built to oppose. We'll have to see if next session is the one, I only hope so.
 
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Reactions: Brando

Rockster

Active Member
Oct 22, 2013
3,026
4,710
McKinney, TX
As someone close to me is fond of asking, "How do you kill a monster? You starve it to death."

I fantasize about the residents of the Tesla prohibited states deciding to take a 12 month hiatus from buying new ICE cars or having their cars repaired at a dealership. After 12 months of near zero revenue the dealership's associations would find themselves singing a very different tune.

A person can dream...
 

SpudLime

Active Member
Jun 10, 2018
1,424
2,559
Leesburg, Va
As someone close to me is fond of asking, "How do you kill a monster? You starve it to death."

I fantasize about the residents of the Tesla prohibited states deciding to take a 12 month hiatus from buying new ICE cars or having their cars repaired at a dealership. After 12 months of near zero revenue the dealership's associations would find themselves singing a very different tune.

A person can dream...

I dont think its unrealistic. Probably just not in a time frame we all would like. Soon enough the ICE sales will go down so far that the public will scream loud enough for it to change. Thank you for tolerating the BS to get it sooner than that.
 
I live in a banned state, it's not just the franchise laws, here in Texas is the dealers association. They have a monopoly and if you don't play their game they send their lobbyist to the state legislature to put in laws to keep you out.

We only have galleries for the potential buyer to touch and feel, Q&A from gallery associates, no test drive, and no orders. You have to order online. I've been to the gallery closest to me once, that was to put down the 1k deposit.

It has made it a frustrating ordeal to purchase a Tesla, as I found out just receiving my 9/29. The cu, Tesla, and the trade in dept for Tesla required paperwork up front, money up front, and paid in full prior to pickup. You do have a 48 hour accept/reject period when you could take it back for another vehicle and any refunds.

Our legislature only comes in session every 2 years, and Tesla has hired lobbyist to plead their case for their stores, but have been shut down because of the Association. So, it is a long process, I believe Tesla has spent close to $2 million dollars in lobbying efforts in the last 6 years.

So, what does the Association want, they want a piece of the pie, franchise dealerships, the very thing that Tesla is built to oppose. We'll have to see if next session is the one, I only hope so.
Costs more than $2 million to bribe enough legislator, don't you think ??
 

StellarRat

Active Member
Jan 8, 2014
1,529
1,520
Pacific
I live in a banned state, it's not just the franchise laws, here in Texas is the dealers association. They have a monopoly and if you don't play their game they send their lobbyist to the state legislature to put in laws to keep you out.

We only have galleries for the potential buyer to touch and feel, Q&A from gallery associates, no test drive, and no orders. You have to order online. I've been to the gallery closest to me once, that was to put down the 1k deposit.

It has made it a frustrating ordeal to purchase a Tesla, as I found out just receiving my 9/29. The cu, Tesla, and the trade in dept for Tesla required paperwork up front, money up front, and paid in full prior to pickup. You do have a 48 hour accept/reject period when you could take it back for another vehicle and any refunds.

Our legislature only comes in session every 2 years, and Tesla has hired lobbyist to plead their case for their stores, but have been shut down because of the Association. So, it is a long process, I believe Tesla has spent close to $2 million dollars in lobbying efforts in the last 6 years.

So, what does the Association want, they want a piece of the pie, franchise dealerships, the very thing that Tesla is built to oppose. We'll have to see if next session is the one, I only hope so.
My friend recently got her Model 3 in Austin TX. Seemed pretty much like my experience in Oregon. She said they were pumping out the cars as fast as humanly possible. I guess I'm saying that being in Texas doesn't seem like much of an impediment to getting a Tesla based on the swarm of customers receiving their M3's anyway. She bought the car totally online like I'm sure most customers do. The test drive wasn't needed since I vouched for the vehicle and she had ridden with me in mine previously.

If the Texas Dealers are trying to keep Tesla out, they are failing miserably.
 
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Reactions: Brando

Gavyne

Member
Jul 27, 2018
667
1,859
SoCal
I think it's amazing Tesla can be a top selling car in the US despite 16 States having laws that prevent Tesla from having a dealership, and 9 States have placed a limit on number of Tesla dealerships in those States. I don't think words can describe how crazy it is that Tesla is able to accomplish so much despite having so many things going against them.

It's still sad to see that politics and greed are preventing an American company from conducting business and thriving in America.
 
My friend recently got her Model 3 in Austin TX. Seemed pretty much like my experience in Oregon. She said they were pumping out the cars as fast as humanly possible. I guess I'm saying that being in Texas doesn't seem like much of an impediment to getting a Tesla based on the swarm of customers receiving their M3's anyway. She bought the car totally online like I'm sure most customers do. The test drive wasn't needed since I vouched for the vehicle and she had ridden with me in mine previously.

If the Texas Dealers are trying to keep Tesla out, they are failing miserably.


They can't outright ban the vehicle, I'm sure they would if they could. The fact is the vehicles are purchased outside of Texas, they are just being delivered to us locally. That's one of the reasons that make purchasing a vehicle in banned states different from your normal experience buying from a dealership. Pay in full before you even see it.

I bet many in Texans don't know that there is a rebate for purchasing a alternative fuel vehicle, nowhere is any model of Tesla listed as a qualifying vehicle. Why? because to qualify the vehicle has to be purchased in state and that means via dealerships. Another way we get shafted.
 

SMAlset

Well-Known Member
Mar 4, 2017
9,420
10,331
SF Bay Area
I read that Yahoo article this morning and found some of the comments there interesting as well. I thought it was well written and explained why Tesla has to go through what it does on some deliveries. I was aware of some of the states and issues but this was more indepth. Fortunate I guess to live where we do and that California is very EV friendly. The particular story that got me was the last minute change to the law that took out one word, clearly all in an effort to halt Tesla.
 
I think it's amazing Tesla can be a top selling car in the US despite 16 States having laws that prevent Tesla from having a dealership, and 9 States have placed a limit on number of Tesla dealerships in those States. I don't think words can describe how crazy it is that Tesla is able to accomplish so much despite having so many things going against them.

It's still sad to see that politics and greed are preventing an American company from conducting business and thriving in America.
OMG - you just know it is the problem of that out of control Chairman - couldn't even sell his cars in half the States. What a moron. Luckily for the shortsellers (or was it investors??) the SEC is getting rid of that Chairman for at least 3 years. And those investor/shortsellers can re-invest with some of the $40 million from the SEC fund provided by that moron Chairman and the Tesla Board. Hope these investors will buy more Tesla stock and then Tesla can become profitable, right? Soon sales will skyrocket, right?
I may miss the tweets, however. </sarcam>:confused::cool:

PS- What will be the Lawyers cut on this Tesla $40 million dollar fund? Do you have to pay commissions to the SEC to get on the re-fund list?? It will be an interesting education to see how this all plays out. Free Markets are just so interesting.
 
In Utah they can’t sale to us directly either. We have to go to the dmv to pay and register the sales and property tax. But we do have tesla store and SC.
technically a Gallery? and not a store? So the Judge allowed Tesla to open a Service Center - great!
Stores can give demo/test rides and talk money/costs. Gallery can only display cars - no test drives.

ps- thanks to TMC member @Tam for finding this recent article. good read and great map.
Why you can't buy a Tesla in these states
 
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StellarRat

Active Member
Jan 8, 2014
1,529
1,520
Pacific
I think the other thing worth mentioning is how terrified dealers are of the Tesla business model and maybe the cars themselves. If they were truly adding value to the purchase of superior vehicles they probably wouldn't be in such a panic. Remember, this is ALL car dealers in those states not just one brand or another.
 
  • Informative
Reactions: Brando
I think the solution Tesla should use in the states that don't allow dealerships is to help set up Tesla consumer cooperatives to own and manage dealerships. Not only does it get around the direct sales law, but having the local sales and service team reporting to a board of local Tesla owners should help keep the quality of sales and service high. Since cooperatives aim to be non-profit or return profits to members, Tesla can maintain the ideals of not profiting on vehicle service, and can maintain the Tesla pricing structure for new vehicles.
 

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