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by scythe 4756 days ago
>Other smaller car manufacturers are having to go through dealerships, even with zero pre-existing relationships. Why should Tesla, which has a market cap that far exceeds those aforementioned manufacturers, get special rules?

I don't believe you. Show me some evidence that they have to, and that they're not merely choosing to.

1 comments

They have to. Franchise laws. Look it up. Here is MA's: http://www.malegislature.gov/Laws/GeneralLaws/PartI/TitleXV/...
Nope, turns out you're reading it wrong.

https://malegislature.gov/Laws/GeneralLaws/PartI/TitleXV/Cha...

Subsection (6):

>[It shall be a violation...] to offer to sell or to sell any new motor vehicle to any person located in the commonwealth, except a distributor, at a lower actual price therefor than the actual price offered and charged contemporaneously to a motor vehicle dealer located in the commonwealth for the same model vehicle similarly equipped or to utilize any device which results in such lesser actual price unless the same is available on equal terms to all dealers located in the commonwealth; but this paragraph shall not apply to sales by a manufacturer or distributor to any unit of the federal government or any agency thereof or to the commonwealth or any of its political subdivisions.

As written, this clearly applies if and only if Tesla already sells cars to dealers, and furthermore similarly to other independent car manufacturers, electric and otherwise.

Is it a bad law? Yes. Does it hurt the incumbents? Yes. Is it biased in Tesla's favor? No. Is it giving Tesla special treatment? No.