Tesla’s lawsuit to overturn direct to consumer car sales ban dismissed by Louisiana court

A federal court in Louisiana has dismissed Tesla’s lawsuit against a state ban on direct to consumer car sales. The ruling comes as part of Tesla’s ongoing efforts to reverse direct sales bans in several states across the country, and comes one months after Tesla was successful in a similar case in Delaware.

Last year, Tesla filed a lawsuit challenging Louisiana’s refusal to allow the automaker to sell its electric vehicles (EVs) directly to customers, deeming the state’s ban protectionist and anticompetitive. However, in a ruling published on Friday the court ruled that the direct sales ban applied equally to all manufacturers and found no evidence of anti-Tesla bias on the part of the Louisiana Legislature.

“(T)he direct sales ban applies equally to all manufacturers, and Tesla has alleged no facts regarding anti-Tesla animus on the part of the Louisiana Legislature,” the ruling said. (via Reuters)

Alongside the ban on direct sales, Tesla’s lawsuit also addressed the defendants’ alleged attempts to impede vehicle leasing and the operation of repair shops in Louisiana. According to Tesla, over 3,000 vehicle owners registered in the state have been adversely affected by these restrictions.

This legal setback for Tesla is not an isolated incident. The company faces similar hurdles in other states, including Connecticut, where it has been battling for the right to sell cars directly to consumers for many years. Despite the significant investments Tesla has made in the Texas economy, such as the construction of Giga Texas, the company is also not allowed to sell its cars directly to consumers in the state.

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