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Are Tesla's retail stores legal? - Printable Version

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Are Tesla's retail stores legal? - carfanatics - 06-08-2012 08:49 PM

Photo credit: Tesla Motors
June 8, 2012
By: CF staff

[Image: 7158477026_051bfa31ba_b.jpg]

The new stores are owned by Tesla itself, and most states have laws that prohibit or restrict automakers from owning dealerships. In fact, laws in New York state expressly forbid it, said Leonard Bellavia, an attorney who specializes in working with auto dealers.

So far, no outside auto dealers have taken action against Tesla's stores on this basis, Bellavia said, but they should. While traditional dealers may not feel threatened because Tesla sells "niche" products, their stores could set a dangerous precedent should a major automaker decide to try the idea.

RE: Are Tesla's retail stores legal? - AudiR8 - 06-09-2012 09:51 PM

Why is having a store run by the company illegal?

RE: Are Tesla's retail stores legal? - jspookss - 06-10-2012 05:33 PM

Price advantages. If you owned a store in the same town as Joe blow, how can he ever compete on price?