Michigan Latest State To Ban Direct Tesla Sales

An anonymous reader writes As many expected, Michigan Governor Michigan Governor Rick Snyder signed a bill that bans Tesla Motors from selling cars directly to buyers online in the state. When asked what Tesla's next step will be, Diarmuid O'Connell, vice president of business development, said it was unclear if the company would file a lawsuit. "We do take at their word the representations from the governor that he supports a robust debate in the upcoming session," O'Connell said. "We've entered an era where you can buy products and services with much greater value than a car by going online."

Comments

So can I buy it in the next state over?

[Anonymous Coward]

It would seem to me that Tesla could re-write their warranty to cover cars after they are re-sold. And if you have a neighboring state that decides to allow flexible temporary titling policies for a modest fee you could buy the car in a neighboring state, pay the neighboring state off and then title the car in Michigan. Traditional car dealerships provide almost no added value in the current market -- everybody builds their virtual car online and then hunts something close. About all a dealer is worth is allowing you to physically check the fit of the seats and the sightlines from the command module.

Map please...

[The New Guy 2.0]

Could somebody please draw a map showing where Telsa's direct sales model has been banned? Seems like this story is on its way to running 50 times...

Tesla faces a catch 22

[mark-t]

Tesla can't form its own dealerships in a growing number of states, and existing dealerships don't want to sell Teslas because the market is too narrow for them to reasonably make a profit (case in point: every Tesla ever manufactured is already sold).