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US state of New Jersey blocks Tesla’s direct sales

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US state of New Jersey blocks Tesla’s direct sales

We just brought you yesterday the news about dealer’s strive in some states to end Tesla’s ability to use direct sales showrooms and there you have it – the first state that blocks Tesla is New Jersey.

The administration led by Governor Chris Christie decided to block Tesla, which hasn’t got franchised retail dealers, from pursuing direct sales – a move that threatens the two stores the electric car maker owns in the state.

Christie “has gone back on his word,” Tesla Chief Executive Officer Elon Musk said on Twitter prior to the vote. “His administration, under pressure from auto dealers, may shut down Tesla in NJ as soon as today.”

Yesterday, the New Jersey Motor Vehicle Commission unanimously approved the proposal to block Tesla from direct sales, also delaying in the process public comments on the matter. The rule change affects Tesla by banning it access to the most densely populated state in the US, which is also pivotal to reaching people from the New York metro area.

Jonathan Chang, a lawyer for the automaker has commented that Tesla is already under way on talks with New Jersey lawmakers about what changes can be made to the state’s law for them to operate, but it’s also considering other options, including litigation.

Via Bloomberg

by Aurel Niculescu (my Google+) - Wednesday, March 12th, 2014 - filed under Industry, News, Tesla. Image credit: .
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