Tesla is an automaker that directly challenging the typical thought of what a car should be and how it should be powered. Even though some of the Detroit automakers are beginning to create their own electric models, Tesla has boldly stated they won\u2019t have a gasoline engine in any of their vehicles and has successfully done so for the past few years. This isn\u2019t the only reason that Tesla seems to be the target of the angst from Michigan and its three major automakers that have been the economic support for the state over the past century or more.<\/p>\n

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Not only does Tesla sell cars that are always EV models, and they\u2019ve built supercharging stations around the country that are made to help allow Tesla owners be able to leave their cities and venture out, but Tesla has a different way of selling their cars. They don\u2019t use actual dealerships like every other automaker, they use a direct sales technique that sells vehicles straight form the manufacturer to the customer, cutting out the dealer network that we\u2019re all used to working with when we venture out to buy a new or used vehicle.<\/p>\n

It appears Michigan is taking a stand against the sale of Tesla vehicles. This stand started in 2014 when the governor, Rick Snyder, signed a bill into law<\/a> that prohibits the sale of Tesla vehicles in the state. This bill states that a car manufacturer must use a dealership network in order to sell cars in the state which Tesla refuses to do. This prompted Tesla to apply for a license for dealership nearly six months ago and since that time they have received a decision from the state as to whether or not they can sell new Tesla models in the state of Michigan.<\/p>\n

The state law requires a dealer to have a contract with an automotive manufacturer in order to sell vehicles. This means the two entities must be separate from one another and the way Tesla sells their vehicles is at Tesla stores that are part of the company and not a separate organization. This is the part of the law that Tesla has told the department of State Communications that it could not comply with and is why they have not been denied their application for dealership licensing in the state of Michigan.<\/p>\n

It\u2019s expected that Tesla will appeal the ruling in a higher court. In a higher court Tesla may win out because the Federal Trade Commission<\/a> sides with Tesla in this case. While the law is meant to help protect dealerships from the abuse that can happen with a manufacturer, the FTC has stated this doesn\u2019t justify a blanket prohibition. This isn\u2019t the first time Tesla has run into this type of ban in a state, but Michigan is the one state that would prove pivotal for Tesla since it\u2019s still home to the Big Three automakers of the US. For now though, you can\u2019t buy a Tesla model in Michigan, which shouldn\u2019t come as any real surprise.<\/p>\n

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Tesla is an automaker that directly challenging the typical thought of what a car should be and how it should be powered. Even though some of the Detroit automakers are beginning to create their own electric models, Tesla has boldly stated they won\u2019t have a gasoline engine in any of their vehicles and has successfully […]<\/p>\n","protected":false},"author":4,"featured_media":606,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"footnotes":""},"categories":[1],"tags":[272],"class_list":["post-604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-tesla"],"acf":[],"aioseo_notices":[],"jetpack_featured_media_url":"https:\/\/dealers.social\/wp-content\/uploads\/2016\/10\/10.27.16-Michigan-Governor-Rick-Snyder.jpg","_links":{"self":[{"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/posts\/604","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/comments?post=604"}],"version-history":[{"count":1,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/posts\/604\/revisions"}],"predecessor-version":[{"id":609,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/posts\/604\/revisions\/609"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/media\/606"}],"wp:attachment":[{"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/media?parent=604"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/categories?post=604"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dealers.social\/wp-json\/wp\/v2\/tags?post=604"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}