US: Virginia dealers fight Tesla in court to stop a second store in state image

The US auto dealers from the state of Virginia are trying to prevent Tesla from opening a second store by suing the electric carmaker.

Tesla’s fight with the US auto dealers over its way of selling cars directly to customers is keep going as the electric carmaker is trying to open a second store in Virginia, where it has one inaugurated since February 2015. Elon Musk’s company prevailed last month in one of such many battles, and especially with General Motors, after it was in danger of losing its license in Indiana where it has operated one store in Indianapolis since 2014. The front is now moving in Virginia, where the Automobile Dealers Association filed a lawsuit this week against Tesla and the state officials. Dealers claim that Tesla and the state’s Department of Motor Vehicles commissioner, Richard D. Holcomb, are violating a 2013 agreement stating that the automaker should not consider owning and operating a second dealership in Virginia until at least August 2017.

President of the VADA said in an interview with Reuters that Tesla and the Virginia DMV tried to keep the VADA in the dark about Tesla’s efforts to open a second dealership. The suit claims that Holcomb named a hearing officer for a DMV hearing of the Tesla request and that a hearing is set for March 31. “They tried to get this done very quickly, in the dark of the night, in hopes that no one could know about it,” he said.

Via Reuters