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Tesla accused of illegal car sales in Georgia

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Josée Paquet
The fight against Tesla and its unique business model continues in the U.S. After battling with dealer organizations nationwide over its rights to sell cars directly to shoppers, the company now has to deal with a petition filed by the Georgia Automobile Dealers Association (GADA), which claims Tesla is illegally selling cars.

Georgia's state law allows for sales of up to 150 vehicles at automaker-owned stores, but Tesla has sold 173 copies of the Model S at its one and only store, the GADA argues.

The electric car maker responded by pointing out that sales restrictions are applicable on a calendar year basis. The aforementioned 173 units were sold from October 2013 to June 2014.

Tesla spokesman Simon Sproule told Automotive News on Tuesday that the petition “is nothing more than a thinly veiled attempt to stifle new innovation and eliminate consumer choice by trying to establish a monopoly that restricts the way consumers can buy new vehicles.”

Atlanta has the second-highest percentage of new electric car registrations in the U.S. (the No. 1 market remains the San Francisco Bay Area). It's a city known for long commutes and awful traffic, while Georgia is one of the few states offering a tax credit to encourage drivers to buy alternative fuel vehicles.

Source : money.cnn.com
 
Josée Paquet
Josée Paquet
Automotive expert