New Jersey Lawmakers Rethink Tesla (TSLA) Direct Sales Ban

The outcry over New Jersey banning Tesla (Nasdaq: TSLA) from selling vehicles directly to customers has caused state lawmakers to rethink the decision.

According to NJ.com, State Assemblyman Tim Eustace (D-Bergen) is sponsoring a bill (A2986) which would allow direct sales of cars to customers in New Jersey. The move following the NJ Motor Vehicle Commission revoking a license for Tesla to conduct direct sales in the state on March 11th, with the ban taking effect on April 1st.

Eustace, who drives a Nissan LEAF, commented, What we should be doing is supporting American entrepreneurs and American businesses

State Sen. Raymond Lesniak (D-Union) introduced the bill (S927), which would offer an amendment allowing for Tesla to operate independently until electric vehicle sales reach critical mass. That critical mass level would be about 4 percent of all cars sold in the U.S. Otherwise, the Senator favors the dealership model.

Shares of Tesla are down 3 percent Monday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Tesla (TSLA) PT Raised to $400 at Jefferies
• Active options:TSLA META NVDA AAPL AMZN SOFI MSFT
• Apple suing OpenAI over alleged misappropriation of trade secrets