W. Virginia Bans Direct Tesla Sales, With Urging of Car-Dealer Senate President

Ars Technica reports that another state has buckled to the auto dealership lobby, though with an interesting twist: West Virginia became at least the fifth state to ban the direct-sales approach practiced by Tesla Motors following Friday's signature by Gov. Earl Ray Tomblin. ... The bill was championed by West Virginia's Senate president, who is an auto dealer in his home state and Kentucky. ... The legislation says a vehicle maker may not “act in the capacity of a new motor vehicle dealer” or “operate a dealership, including, but not limited to, displaying a motor vehicle intended to facilitate the sale of new motor vehicles other than through franchised dealers, unless the display is part of an automobile trade show that more than two automobile manufacturers participate in.” ... The Palo Alto, California-based electric-vehicle company operates so-called "galleries" in Texas, Arizona, and Maryland because the company's sales practices are barred there, too. Customers can see Tesla cars in these galleries, but they may not order vehicles, discuss prices or take test drives."

Comments

Re:Customers... may not... discuss prices?

[fuzzyfuzzyfungus]

If Congress were to pass some 'Free Sale of Vehicles and American Free Enterprise Act', which explicitly overrode laws like this, it would take about 10 seconds for the supreme court to decide that a law governing business within West Virginia is subordinate to federal authority because intrastate commerce has an affect on interstate commerce (that's basically Gonzales v. Raich, so they could cut and paste); but congress hasn't done so.

The Interstate Commerce Clause doesn't require the feds to regulate any and all matters of interstate commerce, it just gives them the authority to, if they so choose. Without any contradictory federal legislation there is no conflict, and no case; but if there were I'd be shocked to see a commerce clause argument fail.

Re: The future is here

[bill_mcgonigle]

The purpose of government is to privatize gains and socialize losses. Whenever they think they can get away with it anyway.

In this case, they did. The folklore schools teach about rulers as moral betters is starting to wear quite thin. Dynamic systems undergo state changes rapidly. Be aware.

Journalism. :(

[Orgasmatron]

What does it mean when a politician does something bad (by the standards of the reporter) and no party is mentioned?

That right! Earl Tomblin (D).