Earlier this year, New Jersey banned Telsa Motors from selling cars in their state without using dealerships. The ban was based on an old law and pressure from local auto dealers, who were upset with Tesla's direct sales strategy. The direct sales model was banned in New Jersey, Arizona and Texas.
At the time Gov. Chris Christie said the company would have to "engage" with the state legislature if it wanted to direct sales. Today, a new bill was passed through the New Jersey Assembly Consumer Affairs Committee that would allow Tesla to start selling cars through their two existing dealerships. The bill is not specific to Tesla, it allows all zero-emission vehicle manufacturers to open to up four showrooms in New Jersey through which they can sell cars. The vote was passed unanimously.
The bill is definitely a step in the right direction, but four showrooms might not be enough to sustain Tesla in the long run.
This article is from the archive of our partner The Wire.