Mass. High Court Rules in Favor of Tesla
This week, the Supreme Judicial Court of Massachusetts upheld a lower court’s ruling that dealers did not have grounds to challenge Tesla Motors’ ability to sell vehicles in the state.
BOSTON —The Supreme Judicial Court of Massachusetts ruled Monday that Tesla Motors is allowed to sell directly to consumers in the state, upholding a lower court’s ruling against dealers who challenged the automaker in a lawsuit, reports wbur.org.
The Massachusetts State Automobile Dealers Association argued that a 2002 change in state law barred manufacturers from owning dealerships, but the court stated that the legislation was “aimed primarily at protecting motor vehicle dealers from injury caused by the unfair business practices of manufacturers and distributors with which they are associated, generally in a franchise relationship,” according to the ruling.
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