Tesla Motors Wins Lawsuit Against Auto Dealers in Massachusetts
Judge Dismisses Massachusetts State Automobile Dealers Association
PALO ALTO, CA -- (Marketwire) -- 01/04/13 -- Tesla Motors (NASDAQ:
Tesla Motors won dismissal of a lawsuit brought by the Massachusetts
State Automobile Dealers Association claiming Tesla was in violation
of Massachusetts law by conducting sales within the Commonwealth of
Massachusetts. A Superior Court judge dismissed the case based upon
the auto dealers' lack of standing and failure to state a claim.
Several months ago the judge denied a temporary restraining order and
preliminary injunction requested by the Massachusetts State
Automobile Dealers Association and in December Tesla Motors was
granted a full Class 1 Dealer License by the Town of Natick's Board
"We are delighted by the outright dismissal of this case and the
validation that we are operating our business in compliance with the
laws and expectations of the Commonwealth of Massachusetts," said
Elon Musk, Tesla co-founder and CEO. "We are confident that other
states will also come to this same conclusion and look forward to
following through on our commitment to introduce consumers to
electric vehicle technology in an open, friendly, no-pressure
The Massachusetts State Automobile Dealers Association has also filed
a separate lawsuit against the individual Selectmen that make up the
"We think this subsequent lawsuit is a very unfortunate action taken
by the Massachusetts State Automobile Dealers Association against a
group of individual citizens who thoroughly reviewed our request for
a Class 1 Dealer License and thoughtfully made a decision that was
both legal and in the best interests of the citizens of Natick. We
look forward to supporting the Board of Selectmen in this case," said
Tesla is pursuing a company owned store and service center model to
accelerate the adoption of electric vehicle technology and to
interact with consumers in a friendly, open and no-pressure
environment. Tesla's retail concept demonstrates the benefits of
driving electric through informative videos, interactive displays,
and a Design Studio where customers can configure their own Tesla
Model S on a large touchscreen.
Tesla's goal is to accelerate the world's transition to
electric mobility with a full range of increasingly affordable
electric cars. California-based Tesla designs and manufactures EVs,
as well as EV powertrain components for partners such as Toyota and
Daimler. Tesla has delivered more than 2,400 Roadsters to customers
worldwide. Model S, the world's first premium sedan to be engineered
from the ground up as an electric vehicle, began deliveries to U.S.
customers in June of 2012.
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