• Sign in to follow this  
    Followers 0

    Michigan Denies Tesla's Application For A Dealer License


    • Time to go back to the drawing board

    In news that will likely not shock anyone, Michigan's Secretary of State office has official denied Tesla a dealership license to sell vehicles in the state. The ruling issued last week follows a hearing earlier this month to review Michigan's initial motion to deny Tesla's request for a license, submitted last November.

    “The license was denied because state law explicitly requires a dealer to have a bona fide contract with an auto manufacturer to sell its vehicles. Tesla has told the department it does not have one, and cannot comply with that requirement,” said Michigan Department of State Communications Director Gisgie Dávila Gendreau in an email to The Detroit News.

    This is due to a state law signed in 2014 which states,  “a vehicle manufacturer shall not … sell any new motor vehicle directly to a retail customer other than through franchised dealers.”

    Tesla has been fighting tooth and nail to sell their vehicles in Michigan for a few years now by lobbying and applying for a license.  As Automotive News notes, Michigan is the most populated state that doesn't have a Tesla gallery or store. 

    "At the urging of local car dealers and GM, Michigan law was changed two years ago to prevent Michigan consumers from buying cars from a Tesla store within the state. As part of the process of challenging the legality of that law, Tesla applied for a license in Michigan. Tesla will continue to take steps to defend the rights of Michigan consumers," Tesla said in a statement to Automotive News.

    Now people outside of Tesla have been trying to change the law. As we reported back in February, a 22-year launched a petition to repeal this law. Also, Rep. Aaron Miller, R-Sturgis introduced a bill into the state's legislature to allow companies like Tesla to do direct sales. But as The Detroit News reports, the bill has sat stagnant.

    “The discussion’s not over but for this session I think we’ve reached that point of no progress. I think the clock is going to run out on us,” said Miller.

    Now it should be stated that anyone from Michigan who wants to order a Tesla can do so from the company's website. You'll have to pickup your vehicle outside of the state however, the closest ones being in Ohio.

    Where does Tesla go next? That is anyone's guess at the moment. But as Tesla's general counsel Todd Maron said back in May, the company would either go to court or the legislation to make the change. Our hunch is Tesla will be going for the former.

    Source: Automotive News (Subscription Required), The Detroit News

    0


    Sign in to follow this  
    Followers 0


    User Feedback


    The dealership laws are mostly pretty bad.  The idea that a company can't sell direct so we can protect another business line removes competition which isn't good.  

    Tesla will still cars online and get people to drive a couple hours to pick it up.  GM and Ford and their dealers are scared, if they weren't they wouldn't care, but hat 1950s and 1960s thinking of protect Detroit and keep all other completion out thinking still exists.  Instead of seeking government protection how about spend those lobbying dollars on building better cars.

    0

    Share this comment


    Link to comment
    Share on other sites

    This reminds me of when Tucker tried to get up and running in the late 40s.  (which is a good movie by the way)  The Big 3 did everything they could to pressure lawmakers to block Tucker at ever turn, and Tuckers car was at least a decade ahead of what any of the Big 3.  They got their protectionist laws back then, although it only delayed the inevitable until the 1970s when Toyota, Honda, Mercedes, etc came to the USA and cleaned their clock.

    0

    Share this comment


    Link to comment
    Share on other sites
    18 hours ago, dfelt said:

    Sad, this is one area that is as stated, so out dated. Anyone should be able to sell direct if they want too.

    Agreed.  We need to increase liberty in America, not decrease it.

    14 hours ago, smk4565 said:

    This reminds me of when Tucker tried to get up and running in the late 40s.  (which is a good movie by the way)  The Big 3 did everything they could to pressure lawmakers to block Tucker at ever turn, and Tuckers car was at least a decade ahead of what any of the Big 3.  They got their protectionist laws back then, although it only delayed the inevitable until the 1970s when Toyota, Honda, Mercedes, etc came to the USA and cleaned their clock.

    We have learned very little in almost 70 years.  And in a lot of ways, not just automotive marketing.

    0

    Share this comment


    Link to comment
    Share on other sites


    Your content will need to be approved by a moderator

    Guest
    You are commenting as a guest. If you have an account, please sign in.
    Add a comment...

    ×   You have pasted content with formatting.   Remove formatting

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor




  • Popular Stories

  • Today's Birthdays

    1. Carguy
      Carguy
      (47 years old)
    2. Elitedragon27
      Elitedragon27
      (30 years old)
  • Similar Content

    • By William Maley
      Almost a week after the state of Michigan signed into law a series of bills that allow for the testing of autonomous vehicles on public roads, General Motors announced today that it would begin testing them immediately. The plan will see GM beginning to test vehicles on road the company's technical center in Warren, MI. In due course, the testing will move to the metro Detroit area. During a press conference today, CEO Mary Barra said Detroit would be GM's primary test area for snow and cold-weather driving.
      “Revolutionizing transportation for our customers while improving safety on roads is the goal of our autonomous vehicle technology, and today’s announcement gets us one step closer to making this vision a reality. Our autonomous technology will be reliable and safe, as customers have come to expect from any of our vehicles,” said Barra in a statement.
      Along with this, General Motors is assigning the Orion assembly plant to build the next-generation autonomous testing vehicles. They'll be based on the Chevrolet Bolt EV and come equipped with LiDAR, cameras, sensors and other hardware required for full autonomy. The vehicles will be used in Detroit, San Francisco, and Scottsdale, Arizona. Currently, GM has 40 test vehicles operating in San Francisco and Scottsdale.
      Source: General Motors
      Press Release is on Page 2


      GM to Start Autonomous Vehicle Manufacturing and Testing in Michigan

      DETROIT — On the heels of the signing of the SAVE Act legislation to support autonomous vehicle testing and deployment in Michigan, General Motors will immediately begin testing autonomous vehicles on public roads. GM also announced it will produce the next generation of its autonomous test vehicles at its Orion Township assembly plant beginning in early 2017. 
      “Revolutionizing transportation for our customers while improving safety on roads is the goal of our autonomous vehicle technology, and today’s announcement gets us one step closer to making this vision a reality,” said General Motors Chairman and CEO Mary Barra. “Our autonomous technology will be reliable and safe, as customers have come to expect from any of our vehicles.”
      Testing is already underway on GM’s Technical Center campus in Warren, Michigan, and with the passage of the SAVE Act legislation will now expand to public roads on the facility’s outskirts. Within the next few months, testing will expand to metro Detroit, which will become GM’s main location for the development of autonomous technology in winter climates. 
      Workers at the Orion Township assembly plant will build test fleet Bolt EVs equipped with fully autonomous technology. The plant currently manufactures the Chevrolet Bolt EV and Sonic. The new equipment will include LIDAR, cameras, sensors and other hardware designed to ensure system safety, leveraging GM’s proven manufacturing quality standards. 
      The test fleet vehicles will be used by GM engineers for continued testing and validation of GM’s autonomous technology already underway on public roads in San Francisco and Scottsdale, Arizona, as well as part of the Michigan testing fleet.
      Since the beginning of 2016, GM has taken significant steps in its development of autonomous vehicle technology.
      In January, the company announced the formation of a dedicated autonomous vehicle engineering team and a $500 million investment in Lyft to develop an integrated network of on-demand autonomous vehicles in the U.S. In March, the company announced the acquisition of Cruise Automation to provide deep software talent and rapid development expertise to help speed development. 
      In June, GM began testing autonomous Chevrolet Bolt EVs on the public roads in San Francisco and Scottsdale. The company has more than 40 autonomous vehicles testing in the two cities.

      View full article
    • By William Maley
      Almost a week after the state of Michigan signed into law a series of bills that allow for the testing of autonomous vehicles on public roads, General Motors announced today that it would begin testing them immediately. The plan will see GM beginning to test vehicles on road the company's technical center in Warren, MI. In due course, the testing will move to the metro Detroit area. During a press conference today, CEO Mary Barra said Detroit would be GM's primary test area for snow and cold-weather driving.
      “Revolutionizing transportation for our customers while improving safety on roads is the goal of our autonomous vehicle technology, and today’s announcement gets us one step closer to making this vision a reality. Our autonomous technology will be reliable and safe, as customers have come to expect from any of our vehicles,” said Barra in a statement.
      Along with this, General Motors is assigning the Orion assembly plant to build the next-generation autonomous testing vehicles. They'll be based on the Chevrolet Bolt EV and come equipped with LiDAR, cameras, sensors and other hardware required for full autonomy. The vehicles will be used in Detroit, San Francisco, and Scottsdale, Arizona. Currently, GM has 40 test vehicles operating in San Francisco and Scottsdale.
      Source: General Motors
      Press Release is on Page 2


      GM to Start Autonomous Vehicle Manufacturing and Testing in Michigan

      DETROIT — On the heels of the signing of the SAVE Act legislation to support autonomous vehicle testing and deployment in Michigan, General Motors will immediately begin testing autonomous vehicles on public roads. GM also announced it will produce the next generation of its autonomous test vehicles at its Orion Township assembly plant beginning in early 2017. 
      “Revolutionizing transportation for our customers while improving safety on roads is the goal of our autonomous vehicle technology, and today’s announcement gets us one step closer to making this vision a reality,” said General Motors Chairman and CEO Mary Barra. “Our autonomous technology will be reliable and safe, as customers have come to expect from any of our vehicles.”
      Testing is already underway on GM’s Technical Center campus in Warren, Michigan, and with the passage of the SAVE Act legislation will now expand to public roads on the facility’s outskirts. Within the next few months, testing will expand to metro Detroit, which will become GM’s main location for the development of autonomous technology in winter climates. 
      Workers at the Orion Township assembly plant will build test fleet Bolt EVs equipped with fully autonomous technology. The plant currently manufactures the Chevrolet Bolt EV and Sonic. The new equipment will include LIDAR, cameras, sensors and other hardware designed to ensure system safety, leveraging GM’s proven manufacturing quality standards. 
      The test fleet vehicles will be used by GM engineers for continued testing and validation of GM’s autonomous technology already underway on public roads in San Francisco and Scottsdale, Arizona, as well as part of the Michigan testing fleet.
      Since the beginning of 2016, GM has taken significant steps in its development of autonomous vehicle technology.
      In January, the company announced the formation of a dedicated autonomous vehicle engineering team and a $500 million investment in Lyft to develop an integrated network of on-demand autonomous vehicles in the U.S. In March, the company announced the acquisition of Cruise Automation to provide deep software talent and rapid development expertise to help speed development. 
      In June, GM began testing autonomous Chevrolet Bolt EVs on the public roads in San Francisco and Scottsdale. The company has more than 40 autonomous vehicles testing in the two cities.
    • By William Maley
      Michigan Governor Rick Snyder signed into law today a full suite regulations regarding the testing, use and eventual sale of autonomous vehicles in the state.
      “By establishing guidelines and standards for self-driving vehicles, we’re continuing that tradition of excellence in a way that protects the public’s safety while at the same time allows the mobility industry to grow without overly burdensome regulations,” said Synder in a statement. 
      The new law will allow vehicles without steering wheels or brake pedals to travel on public roads, companies to operate autonomous ride-hailing services, and sell autonomous vehicles of the public once they have been certified and tested. This law also establishes the Michigan Council on Future Mobility. Part of the state's department of transportation, the council will be tasked with developing policies and standards on autonomous vehicles, along with regulating connected vehicle networks and data sharing.
      Michigan's autonomous vehicle legislation has fewer restraints than states such as Nevada, Florida, and California.
      Source: Automotive News (Subscription Required), The Detroit News, Roadshow

      View full article
    • By William Maley
      Michigan Governor Rick Snyder signed into law today a full suite regulations regarding the testing, use and eventual sale of autonomous vehicles in the state.
      “By establishing guidelines and standards for self-driving vehicles, we’re continuing that tradition of excellence in a way that protects the public’s safety while at the same time allows the mobility industry to grow without overly burdensome regulations,” said Synder in a statement. 
      The new law will allow vehicles without steering wheels or brake pedals to travel on public roads, companies to operate autonomous ride-hailing services, and sell autonomous vehicles of the public once they have been certified and tested. This law also establishes the Michigan Council on Future Mobility. Part of the state's department of transportation, the council will be tasked with developing policies and standards on autonomous vehicles, along with regulating connected vehicle networks and data sharing.
      Michigan's autonomous vehicle legislation has fewer restraints than states such as Nevada, Florida, and California.
      Source: Automotive News (Subscription Required), The Detroit News, Roadshow
  • Recent Status Updates

    • Drew Dowdell

      It might not be VW's scandal that kills diesel, it might be Mazda. What if you could get diesel like fuel economy from a gasoline engine and none of the diesel emissions issues? Mazda just might have the solution. HCCI is a type of gas engine that can run in certain situations with the spark plugs off, making for very efficient operation.
      · 0 replies
    • regfootball

      THERE IS BIG INCENTIVES ON CHEVY CRUZE RIGHT NOW
      · 0 replies
    • FordCosworth

      Who thinks lending more money to a country that will NEVER be able to repay its existing loans is solid idea? Oh , right the EU of course ...
      · 0 replies
  • Who's Online (See full list)