Virginia's Dealership Mafia Can't Stop Tesla (NASDAQ: TSLA)

Written By Jeff Siegel

Posted March 20, 2016

teslastore1It’s the ultimate in irony.

Check out this piece from Green Car Reports …

The state-by-state battles between electric-car maker Tesla Motors and lobbyists for state auto-dealer interests often take unusual twists and turns.

But the situation in the state of Virginia may be among the odder episodes in Tesla’s eight years of selling cars online directly to buyers.

In the Old Dominion state, the auto-dealers’ trade group has sued not only Tesla but the state itself, alleging a conspiracy to ‘hide’ the opening of a second Tesla Store.

Well, if anyone should know about conspiracies in the auto market it’s the folks who keep the scam of dealerships alive with fat campaign contributions and a steady does of bullying.

Keep reading …

The suit, filed on March 9, alleges that DMV Richard Holcomb and Tesla are violating the terms of a 2013 agreement that prevents Tesla from opening a second facility in the state until 2017.

It says that a hearing was set by Holcomb for March 31 on a request to open a second location—which the dealers’ association learned about only when a member alerted it to a pending real-estate transaction in the city of Richmond.

VADA president Don Hall told Reuters that Tesla and the DMV were attempting to get the new store approved “very quickly, in the dark of the night, in hopes that no one could know about it.”

In the “dark of night?”  Seriously?

The lengths at which the dinosaurs of the auto industry will go to just to keep Tesla from sprucing up their neighborhoods is mind-boggling.

Of course, the most bizarre thing is that the powers that be in Virginia have done little to stop this violation of basic free market capitalism. And it’s Virginia that stands to lose out big by continuing to allow these dealerships to act like a bunch of dictators and thugs.  After all, adding more Tesla outlets in Virginia would contribute to job creation and increase tax revenues.

Truckstop Hookers and Gold-Plated Glory Holes

In less than two weeks, Tesla (NASDAQ: TSLA) will unveil the Model 3. This is the vehicle that’s going to take Tesla from niche to mainstream almost overnight.

The Model 3 represents a huge opportunity for Tesla and Tesla shareholders to make a lot of money. And not even a bunch of knuckle-dragging gangsters disguised as reputable dealerships, can stop the juggernaut that is Tesla.

Sure, they’ll try. As we’re seeing in Virginia right now, this fight is very real. But mark my words, the state of Virginia does more harm to itself than it does to Tesla by catering to the dealership lobby like a truckstop hooker with a gold-plated glory hole.

In any event, on March 31, folks will be able to put down a deposit on the new Model 3 by either reserving the vehicle online or going to a Tesla location and reserving the vehicle in person. If you prefer the latter, here’s a map from Green Car Reports which shows where you can find a Tesla store …

teslamap 600x475

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