Tesla Motors can now cross West Virginia off the list of states where it can directly sell its electric cars thanks to a new law in the Mountain State.
Gov. Earl Ray Tomblin signed a bill Friday that prevents automakers from acting "in the capacity of a new motor vehicle dealer" or operating "a dealership, including, but not limited to, displaying a motor vehicle intended to facilitate the sale of new motor vehicles other than through franchised dealers," according to Ars Technica. The only exception would be if the display is part of a trade show involving more than two automakers.
While West Virginia Senate President Bill Cole, who also owns a Nissan dealership, did not vote on the bill, he did show support for it due to past experiences with Tesla owners, The Verge reported.
"Nissan makes us put public charging stations outside our dealerships. So I've sold a couple of leafs, and nobody uses them," Cole said. "But I have a guy who bought a Tesla that pulls up to my dealership every day and plugs right in because his office is close. I'm sorry- my electricity isn't free. But he doesn't have any problem pulling his Tesla into my Nissan store and laughing and leaving it on charge."
The ban also takes away the opportunity for Tesla to sell cars to customers from nearby states, including Ohio, Pennsylvania, Virginia, Maryland, Kentucky and Washington, D.C.
Tesla expressed great opposition to the bill, saying it is designed to "protect the car dealer monopoly" and doesn't promote competition, Ars Technica reported.
"West Virginia deserves the right to choose how and from whom they purchase their vehicles," the company said in a statement. "We will return next year to fight for consumer choice and free market access."
Ruth Lemmon, the President of the West Virginia Automobile & Truck Dealers Association, countered by saying the new law isn't meant to target Tesla.
"Tesla could better serve the consumers, the local communities and their product by becoming a true business partner to all concerned," Lemmon said in a statement. "West Virginia would welcome (Tesla) to join the ranks of dealerships and play by the same rules and requirements and laws we must do."
Other states that have banned the electric car maker from directly selling vehicles include Maryland, Michigan, Iowa, Texas and Arizona. New Jersey use to ban the company's direct sales as well, but that ban was overturned, which was a big win for the company due to the Garden State being one of the biggest markets for expensive vehicles like Tesla's.
