Tesla Clears Road for Rivian, Others to Sell EVs Without Dealers

  • Michigan’s attorney general indicates others could follow suit
  • Amazon-backed Rivian is also pursuing direct-to-consumer model
An employee speaks with a customer at a Tesla showroom.Photographer: Patrick T. Fallon/Bloomberg
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Tesla Inc.’s legal victory to sell its electric vehicles in Michigan without dealers could clear a path for other carmakers to follow.

As long as it complies with a few unrestrictive legal technicalities, the electric-car maker is free to deliver Model 3, S and X vehicles directly to customers and service them through a subsidiary, the state ruled Wednesday. While Michigan will consider other businesses’ approaches on a case-by-case basis, as long as a manufacturer doesn’t have an existing dealer network, it could follow in Tesla’s footsteps, according to Kelly Rossman-McKinney, a spokeswoman for the attorney general.