Tesla Battles GM Over Right to Sell Cars in Indiana | Alternative Energy | Forums

maybe GM will kill the electric car again, just not theirs

Tesla Motors Inc., which has long skirmished with auto dealers over its practice of selling cars directly to consumers, has accused General Motors Co. of being the driving force behind a bill that seeks to kick Tesla out of Indiana.

Tesla is licensed to sell directly to consumers in Indiana, and has operated a store in Indianapolis for two years. Indiana State Representative Kevin Mahan has introduced a bill that would “provide that a dealer license issued to a manufacturer expires after 30 months and may not be renewed.” Tesla would have to find franchised dealers to sell in the state after 30 months.

The legislative battle comes as both companies prepare for a head-to-head competition to sell lower-priced electric cars that target the mass market next year. GM’s lobbying helped create the proposal, which some have dubbed the “Kill Tesla” bill because the legislation is specific to manufacturers of all-electric vehicles.

“I want Tesla here,” Mahan said at a Jan. 27 hearing of the Indiana House Roads and Transport Committee. “But they need to have a dealership. This bill gives them 2 1/2 years to put a dealership system in place.”

more http://www.bloomberg.....in-indiana