Texas Law Against Tesla in Works

March 18, 2019

The new bill prevents manufacturers from fixing cars at its own service centers.

March 18, 2019—Tesla may not be able to service its vehicles in Texas. According to a report by Quartz, a new bill has developed which prevents manufacturers from fixing cars at its own service centers.

Quartz reports that republican senator, Kelly Hancock's proposal has morphed language in the state's transportation code to ban vehicle manufacturers from both servicing and repairing cars. According to Quartz, the bill is being fought by Berkshire Hathaway who owns car dealerships and an RV manufacturing business in Texas.

The Texas Automotive Dealers Association is against Tesla's direct-to-customer sales and service business model as it cuts dealers out of the transaction. 

Tesla currently has 13 galleries in Texas.


 

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