Tesla Sales Banned in New Jersey... hopefully not for long!

[wycolo]

In a Dream:

The Supreme Court today issued an obiter dictum (to a case being appealed) advising:

States attempting to restrict consumer sales that normally would be transacted within their state save said restrictions, will lose all claim to sales/use taxes on such sale.

Film at 11.
--

 

[TexasEV]

All the national media attention has been good for educating the public. I heard today in Austin that when lookers are told "We can't discuss the price", instead of surprise the response is often now "Oh, like New Jersey."

 

[AlMc]

All the national media attention has been good for educating the public. I heard today in Austin that when lookers are told "We can't discuss the price", instead of surprise the response is often now "Oh, like New Jersey."

This is helping brand penetration/awareness in my area as well. Twice today as I was parking my car people came up to me to discuss the car AND NJ situation.

 

[judimasters]

About Face New Jersey

New Jersey Legislature wants Tesla and free market. Reconsidering and pushing new bill.

 

[dauger]

Link? Such as:

New Jersey Legislature Starts Process To Allow Tesla To Sell Direct

 

[Dan5]

So this past weekend my father was talking to a guy who works for a Chevy dealership in NJ.

Any rate: here's the the dealerships issues:

Lack of service centers, selling for a lower price, and that you can only go 200 miles per charge and that the superchargers are in inconvenient areas.

I really wish they would have tried using those arguments with someone familiar with the product.

Here's the questions to easily shoot holes in it:

1. Do you agree EVs need less maintenance? After all they lack many of the moving parts present on a regular car.
2. Do you agree any automotive store can put on tires?
3. Do you agree that when you sell a car you as a dealership have to make a profit?
4. Do you agree that superchargers are on major interstate highways in most cases?
5. How often do you take X hundred mile trip? Mind if I check the odometer on your car?

 

[EdA]

Great article summing up the situation in NJ - not sure if it has been posted already, forgive me if it has.
Chris Christie pulls the plug on Tesla - and his political career (Mulshine) | NJ.com

 

[Doug_G]

Yet another article on the topic...

Elon Musks Battle to Sell Cars the Way Apple Sells iPads | LinkedIn

 

[dauger]

Rubio Throws in his Support - on Tesla's side

Tesla is being swept into a larger argument about government overregulation benefiting incumbent companies:

Sen Rubio: Allow Tesla to sell direct to consumers

Although the video clip doesn't include it, CNBC says Rubio has "no problem allowing Tesla to bypass independent car dealerships and sell directly to consumers in his home state."

Is Tesla's fight merely going to be lost in this bigger debate, or will that debate create side effects benefiting Tesla?

Edit: Found a link to video clip where Rubio addresses Tesla:

Sen. Rubio: Dont hold back Tesla | Watch the video - Yahoo Finance

 

[TexasEV]

I think Rubio is looking for any way to make himself look good/Christie look bad and this was a cost-free way to do it.

 

[EdA]

I think Rubio is looking for any way to make himself look good/Christie look bad and this was a cost-free way to do it.

I agree...

 

[AEdennis]

On the other side of things... A nice article on one of the guys trying to get NJ's law changed.

 

[Shumdit]

Elon, I'll make you a deal. You pay to fly me down to any gallery in any "banned" state on a Friday night, put me up in a hotel and fly me back early Monday AM. I will be a free volunteer representative (as an owner who jut happens to be visiting one of the galleries while in town). I will work all weekend gratis and since that means I am not an employee I can discuss price and answer questions the employees are banned from answering. If it's successful for you I will give you a full week over the summer, again gratis. Let's think outside the box to circumvent these ridiculous laws the stifle the very basis of a free market society.

 

[dauger]

On the other side of things... A nice article on one of the guys trying to get NJ's law changed.

Great article! NJ citizens, sounds like you have something to call your local reps to support: NJ Assembly Bill A2986 and the proposed amendment to NJ Senate Bill S297. Any takers?

 

[Vger]

I think the tide is beginning to turn. The dealers woke the sleeping elephant to their peril. I think political action is starting to follow broad public opinion in recognizing the absurdity of these laws. I predict that within a year, Tesla will be selling legally in all 50 states (with the possible exception of the Republic of Texas [sorry!]).

 

[djp]

Tesla Sales Banned in New Jersey

The tide turning becomes a tidal wave. Over 70 economists and law professors have signed an open letter supporting Tesla.

http://www.laweconcenter.org/images/articles/tesla_letter_icle.pdf

Over 70 economists and law professors sign letter opposing anti-Tesla direct automobile distribution ban Truth on the Market

 

[Doug_G]

The tide turning becomes a tidal wave. Over 70 economists and law professors have signed an open letter supporting Tesla.

http://www.laweconcenter.org/images/articles/tesla_letter_icle.pdf

Over 70 economists and law professors sign letter opposing anti-Tesla direct automobile distribution ban Truth on the Market

Wow. This really has stirred up the hornet's nest!

 

[neroden]

That's what Massachusetts HB 241 would do: an all-or-nothing approach. OEMs with dealers are stuck with them, ensuring the incumbent dealers are allowed to continue in their current form, but new entrants can decide whether to use dealers (or not).

This is essentially the law in NY as it has been for decades. If you have any franchised dealers at all (anywhere in the world), you cannot sell direct. If you have no franchised dealers, you can sell direct. It makes *sense*. Theoretically a manufacturer could switch from franchised to non-franchised, but they'd have to wait for all their franchises to expire and spend some months not selling any cars, which I think no manufacturer is willing to do.

 

[ggies07]

The tide turning becomes a tidal wave. Over 70 economists and law professors have signed an open letter supporting Tesla.

http://www.laweconcenter.org/images/articles/tesla_letter_icle.pdf

Over 70 economists and law professors sign letter opposing anti-Tesla direct automobile distribution ban Truth on the Market

Very nice.

 

[neroden]

"They passed a law, which is still on the books, which says if you want to sell cars in this state, you must go through an authorized dealer. My job is not to make the laws, it’s to enforce the laws. And Tesla was operating outside the law."

He's still lying, lying through his teeth about what the law actually is in New Jersey. I really dislike politicians who lie through their teeth about what the law says. Call it a personal bias.

- - - Updated - - -

What they should really do is write a law that says that if a manufacturer chooses to allow a privately owned franchise in the state, then all cars must be sold through a franchise. But if a manufacturer doesn't want any franchises in the state, then they don't have to sell through them—or something like that.

That's what the law ACTUALLY SAYS RIGHT NOW in New Jersey. But the Dealers' association didn't like that, so the dealers' association convinced Christie and the MVC to issue an ultra vires ruling banning Tesla.

Bypassing the legislature. Making laws, not enforcing laws. Tesla was operating according to NJ law. The MVC was operating outside the law.