Don't let the middleman earn the price difference. Tesla sued the US state government.
Beijing, August 30 (Xinhua) Tesla has filed a lawsuit to challenge a law in Louisiana. Tesla said the law restricted the company's ability to sell electric cars directly to customers and violated the company's constitutional rights.
Tesla filed the lawsuit in Louisiana Eastern District Court last week, suing officials from the Louisiana Automobile Dealers Association, the Louisiana Automobile Commission and some dealers in the state. Tesla said they conspired to implement existing laws and regulations. It is the latest move by the company to try to expand the market for selling cars directly to consumers rather than using dealers as middlemen. Tesla argues that Louisiana law infringes on its rights such as interstate trade.
"Louisiana's consumer freedom is unduly restricted by protectionist, anti-competitive and inefficient state regulations and laws." Tesla said in the lawsuit. The Louisiana ban, which came into effect in 2017, prohibits manufacturers from selling cars directly to consumers. Such laws were first introduced in the 1950s to prevent manufacturers from arbitrarily closing stores.