Tesla lobbying state lawmakers to change franchise law
AUSTIN, Texas - At the State Capitol today, electric car company Tesla is campaigning to sell directly to Texas consumers. It's something car franchises across the state don't want to happen.
A decades old franchise law prevents Tesla from selling directly to consumers. Texas is one of a handful of states with this restriction.
Tesla CEO Elon Musk will be at the Capitol to campaign for the state law to be changed. He's in Austin to give the keynote address at the state's transportation forum.
Right now, Texans can look at the electric car but can't test drive or buy one. If you want to buy a Tesla, you have to call the company or order online. Then it's drop-shipped.
Tesla wants the state's franchise law changed so it can sell directly to the consumer, which saves money.
Critics argue selling direct would hurt dealerships and take revenue away from the state.
Two years ago, Tesla tried to appeal to state lawmakers but a bill never made it to the floor.
By campaigning at the Capitol the electric car company hopes to speed up the process.