Tesla Wins For Now in North Carolina Dealer Battle, But It’s Not Over Yet
In May, the North Carolina General Assembly approved Senate Bill 327 and sent it to the Senate floor where it passed by unanimous vote. From there, the bill head to the House of Representatives for a final vote. That bill is now dead or, more precisely, has been split in two.
Had it passed in its original form, North Carolinians would have been prohibited from purchasing the Model S electric sedan from Tesla directly or Tesla would have been required to switch to a traditional private dealership model to sell in the state. The last option for Tesla would have been to exit North Carolina entirely.
None of that’s going to happen right now.
When the bill hit the House, it appeared unlikely it would pass. Therefore, North Carolina legislators decided to split it in two.
As Automotive News reports:
“Several elements of the original bill, deemed noncontroversial by the North Carolina Automobile Dealers Association, were attached to an unrelated bill that is moving forward. That amended bill was passed out of a House committee on Tuesday and is slated for a vote on the House floor on Thursday.”
It’s believed that bill will pass with ease. It includes “warranty reimbursement, loaner vehicles and training,” says Automotive News.
But remember, the bill was split in two, so that “Tesla bill” is still out there. The split doesn’t mean the end of the challenge for Tesla.
Robert Glaser, president of the North Carolina dealers association, stated: