SeaGeo
Well-Known Member
I just spoke with my State house rep, who was involved with that legislation. He does not believe the statement precludes a manufacturer from servicing a vehicle if there isn't a dealer that has an existing agreement with them.The intent of the legislation that was passed in 2014 was specifically crafted to exclude any direct sales by auto manufacturers. The wording is such that for sales, a manufacturer cannot compete with any dealer selling vehicles, regardless on whether it is the same brand.
Any manufacturer that already held a dealers license (Tesla was the only one AFAIK) was exempted from the prohibition.
The service facility prohibition may contain a gray area that allows manufacturers to own/operate them as long as no dealers are able to service the vehicles in question.
I'm relatively certain the Auto Dealers Association will, at some point, assert that Rivian, Lucid, Polestar, etc are indeed competing with them for services such as tires, alignment, brakes, etc.
The original intent of these laws was indeed to prevent manufacturers that sold franchises to come into a market and compete against their franchisees, both for sales and service. Some States, such as Washington, have "clarified" them to prohibit manufacturers from selling direct at all (and in Washington's case, servicing vehicles).
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