Tesla wants court to dismiss Georgia dealer lawsuit
The issue, as with states such as Texas, New Jersey, Virginia and Arizona, is that dealers say Tesla violates state law by selling vehicles directly to consumers instead of through third-party dealerships not owned by the company. Tesla insists that the company is best suited to oversee all distribution channels because of the uniqueness of the product and plans to open stores in Atlanta's Buckhead area and Decatur next week. The judge won't hear the case until next month.
For now, Tesla is allowed to sell as many as 150 vehicles a year in Georgia under a zero-emissions vehicles provision. There's precedent elsewhere for things to improve in states where Tesla and dealers clashed. In August, the company reached a compromise with the state of Pennsylvania that will allow Tesla to open five stores in that state. Of course, there is a precedent for things to go the other way, too.
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