Tesla Cranks Up Pressure to End Ban on Direct Auto Sales
- Michigan, home to GM, Ford, won’t allow Tesla to set up stores
- Automakers and dealers have grip on lawmakers, Tesla claims
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Tesla Motors Inc. is cranking up the pressure to sell electric cars directly to customers, filing its first federal lawsuit over the practice on the home turf of General Motors and Ford. Tesla sued the state of Michigan to overturn its ban on direct sales by auto manufacturers.
Until now, Tesla has been challenging prohibitions of its sales model on a state-by-state basis. A federal court ruling over the constitutionality of the ban would have national implications as the company races to bring the Model 3, it’s more affordable electric sedan, to market late next year.