Governor Christie Signs Bill Allowing Direct Sales For Tesla In New Jersey

MAR 19 2015 BY MARK KANE 26

Governor Christie Signs Bill Allowing Direct Sales For Tesla In New Jersey

Governor Christie Signs Bill Allowing Direct Sales For Tesla In New Jersey

Direct sales of cars by Tesla Motors (or other manufacturers) are now lawful in New Jersey.

The state imposed a limit of four locations for Tesla to conduct sales. The manufacturer must maintain a servicing facility and report annually to the Division of Taxation as to the number of vehicles sold in New Jersey.

“Governor Chris Christie today followed through on his commitment to sign legislation allowing Tesla Motors to have lawful direct sales operations in New Jersey. The bill changes the law in New Jersey and removes the prohibition on direct sales by auto manufacturers who do not have franchise agreements, giving manufacturers of zero emission cars, including Tesla, the ability to sell directly to New Jersey consumers at up to four locations in the state.”

“The bill, A3216 / S2098, partially supersedes prior statute and corresponding regulations put in place by the New Jersey Motor Vehicle Commission in April 2014 that required new car dealers to have a franchise agreement in order to sell new cars in the state.”

Governor Christie said:

“I said last year that if the Legislature changed the law, I would sign new legislation put on my desk and that is exactly what I’m doing today. We’re pleased that manufacturers like Tesla will now have the opportunity to establish direct sales operations for consumers in a manner lawfully in New Jersey.”

Tesla sold over 600 Model S in New Jersey before the March 2014 direct sales obstruction by the state’s Motor Vehicle Commission.

On a higher level, the state listened to what its people asked for and responded by following the demands of its residents.  That’s precisely how government is supposed to operate.

Press release below:

GOVERNOR CHRISTIE FOLLOWS THROUGH ON COMMITMENT TO SIGN LEGISLATION ALLOWING DIRECT SALES BY TESLA MOTORS IN NEW JERSEY

TRENTON, NJ – Governor Chris Christie today followed through on his commitment to sign legislation allowing Tesla Motors to have lawful direct sales operations in New Jersey. The bill changes the law in New Jersey and removes the prohibition on direct sales by auto manufacturers who do not have franchise agreements, giving manufacturers of zero emission cars, including Tesla, the ability to sell directly to New Jersey consumers at up to four locations in the state.

“I said last year that if the Legislature changed the law, I would sign new legislation put on my desk and that is exactly what I’m doing today,” said Governor Christie. “We’re pleased that manufacturers like Tesla will now have the opportunity to establish direct sales operations for consumers in a manner lawfully in New Jersey.”

The bill, A3216 / S2098, partially supersedes prior statute and corresponding regulations put in place by the New Jersey Motor Vehicle Commission in April 2014 that required new car dealers to have a franchise agreement in order to sell new cars in the state.

In addition, the legislation signed today requires a vehicle manufacturer engaging in direct sales at an established place of business in the state to also maintain a servicing facility. Manufacturers must also report annually to the Division of Taxation as to the number of vehicles sold in New Jersey.

Primary sponsors of A3216 include Assembly members Louis D. Greenwald (Burlington, Camden), Timothy J. Eustace (Bergen, Passaic), Paul D. Moriarty (Camden, Gloucester), Pamela Lampitt (Burlington, Camden) and John F. McKeon (Essex, Morris). Senator Shirley Turner (Hunterdon, Mercer) is the primary sponsor of S2098.

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26 Comments on "Governor Christie Signs Bill Allowing Direct Sales For Tesla In New Jersey"

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Christie could have waited until the end of April to sign this bill, so kudos to him for not letting this languish for another month.

Since the “Libertarian” Koch Brothers now openly support Tesla’s desires for Direct Auto Sales, Christie can look like a Republican Conservative and sign it without political backlash from his own party.

I can believe that I just wonder which car company the Koch Bros are considering buying?

Since they’re heavy into coal, I’m gonna guess they would just rather keep selling it to utilities while they continue to FUD Climate Change in the mainstream media, and delay the EPA tightening power plant emissions for as long as possible.

Well done.

I wonder what Rick Perry thinks of this?

Maybe Christie will start a new hip Republican trend. Don’t they say they are big defenders of “free enterprise”?

They say a lot of things…

As do the democrats…

“If you like your health care plan, you can keep your health care plan. Period!”

So your saying a democrat could be a hypocrite also??

Nooo how could that be 🙂

Thats what I meant by “they”

Oh man – isn’t it the truth?

Bush Sr. lost his bid to a second term on this “read my lips, no new taxes” gaffaw… Why does this administration roll along even after that huge lie?

“If you like your current plan – you can keep your current plan ( if you add $500/mo )” Would have been the truth.

Rick Perry publicly supported Tesla’s desire to sell direct, but the Texas state congress hasn’t put forward a bill to modify the laws. TADA has has the congressmen on lockdown.

Perry may have only been supportive in an attempt to get the GigaFactory though.

http://cleantechnica.com/2014/04/11/governor-rick-perry-supports-tesla-direct-car-sales/

Besides, Perry is no longer Governor.

The Texas legislature is currently in session (once every 2 years), so we’ll see what happens with some of the proposals.

But you are right in saying the dealers (TADA) have got most of the representatives by the short hairs.

Perry has been supportive of wind power and electric cars since 2007 or 2008.

Time for Tesla to open a NJ location to rival any other dealer in the state. Maybe with their own test drive track and solar canopy parking lot. 1,000 acres ought to do it.

NPNS! SBF!
Volt#671

Texans, please go to http://www.teslaintexas.org to send a message to your state legislators asking them to support HB 1653/SB 639 which would allow Tesla to sell cars directly to consumers in Texas.

Sad that an American manufacturing company has to fight to sell an American made car in American states.

In another story Tesla just doubled the number of US workers they employ, and the Gigafactory will make the US content of the Tesla one of the highest of all vehicles assembled in the US. How any state can still be standing in the way of them here in 2015 is beyond me.

Actually, with Giga Factory batteries, Tesla will have the highest US content of any vehicle.

Rotten republicans strike again…

CherylG's_DirtyLittleSecret

Why should Government impose a limit of just 4?
Do they limit the other “Stealerships”?

Congratulations to the residents of New Jersey.

Now, about the 25 remaining states where direct sales of Tesla’s cars are still illegal…

Here’s an older map, from before the New Jersey change:

http://insideevs.com/wp-content/uploads/2014/05/tesla-map-2014-05-22.png

I like it. It opens the door for all other car manufactures to offer direct sales. No more going to the dealer to get a new car. You go to a mall and order a car made for you for the sticker price so no more negotiating. Plus you get to make more money by selling your old car yourself. Most new cars only need to be service every sis months anyway so you can just go to any gas station to get your car serviced. Let’s do it for all cars!

I always wondered why a manufacturer would be required by law to sell it’s product through a dealership. You would think it would be a business decision the manufacturer would be free to make based on how they could make the most money and provide the best support for their product.

What I read recently was that the reason these State laws were passed to protect dealerships was that formerly, during economic downturns, the auto manufacturers would prey upon their dealers by forcing them to make up for the money the manufacturers were losing in bad years. In other words, there was a legitimate reason for such laws in shielding auto dealers from a predatory business practice, and that explains why auto franchises (but not other types of franchises) have such protectionist laws.

Of course, using such laws to keep out legitimate competition (such as that from Tesla) was never the intent, and it’s a travesty that those laws are being misused in such a fashion.

I agree with Randy. This is what Allibaba and Amazon are doing. With the internet age you will eventually be able to buy everything online and have it shipped to your door. Tesla should partner with Amazon to sell their cars. 2 day prime delivery.