Tesla Motors Fighting Texas for Right to Sell Vehicles Customer Direct
Electric car manufacturer Tesla Motors was in the Texas state Capitol today lobbying with state officials in hopes that they may soon amend certain laws that would allow the car builder to start selling their vehicles directly to customers.
As it stands, Texas law does not permit automakers from selling their vehicles directly to the public, and it requires that any transaction regarding new automobile sales be conducted strictly through a franchised and licensed dealer.
However, Tesla Motors Chief Executive Elon Musk says that business philosophy goes against what Texas “is all about,” referencing legendary Texan Michael Dell who built a successful computer company by selling customer direct.
There is currently a proposal on the table of Texas legislature that if passed, would allow companies that produce electric or battery-powered vehicles to sell directly to their customers. Yet, members of the Texas Automobile Dealer Association heavily oppose the bill because they say they do not see any reason for manufactures of electric vehicles to be treated differently.
Musk says that he has been forewarned that the likelihood of the proposed legislation being approved is next to none. Still, he says he wants to pursue it because he reportedly has some strong support if the bill ever reaches the desk of Texas Governor Rick Perry.
Tesla Motors announced earlier this month financing plans to develop a project that would make its electric vehicles more affordable and more readily available to the public.