4 ms·

I understand and agree with the reason behind the petition, but ultimately this is a state issue, not a federal one. So i wouldn't see this petition really doin

I understand and agree with the reason behind the petition, but ultimately this is a state issue, not a federal one. So i wouldn't see this petition really doing anything meaningful. It's the whole basis of the 10 amendment.

DiabloD3 13y ago
Its a federal issue, actually. There is a law on the books that tries to "regulate" the car industry by forcing them to have "independant local businesses" as "frnachised dealers". The franchised dealership model is a failure, the dealerships cant do anything on their own initiative else they may lose the frnachise, and all they do is make it harder for the consumer to make an informed choice on a car purchase, and drives the cost up as well. States COULD try to override the dealership laws (many states have laws that strengthen the Federal one), but thats like trying to herd cats.
- brownbat 13y ago
  I don't believe that's the case, can you cite the federal law in question? I've read the FTC Commissioner's report on state laws here, and an economic analysis report that both cite state lawmakers as the responsible parties: 1. http://www.ftc.gov/speeches/leary/learystateautodealer.shtm http://www.ftc.gov/speeches/leary/learystateautodealer.shtm 2. http://www.justice.gov/atr/public/eag/246374.htm http://www.justice.gov/atr/public/eag/246374.htm Arizona goes farther, apparently has a law that basically prevents manufacturers from releasing any information which might hurt the negotiating position of dealers. Needless to say, it's being challenged in court. Alliance of Auto Manufacturers v. Hull No. CIV 00-1324-PHX-PGR (D. Ariz. Apr. 30, 2001).
- Marc_Paradise 13y ago
  Do you have a reference to the specific law? While dealerships are affected by a large number of federal regulations (fair credit reporting act, certain used car regulations, and others) I am not aware of anything on the books at a federal level regarding structure of dealerships. Look at the wording of the petition itself: "States should not be allowed to prevent Tesla Motors from selling cars directly to customer" That doesn't sound like a federal issue to me.
3pt14159 13y ago
This clearly falls under the interstate commerce clause, much more so than 99.9% of the laws passed under it.

DiabloD3 13y ago

Its a federal issue, actually. There is a law on the books that tries to "regulate" the car industry by forcing them to have "independant local businesses" as "frnachised dealers". The franchised dealership model is a failure, the dealerships cant do anything on their own initiative else they may lose the frnachise, and all they do is make it harder for the consumer to make an informed choice on a car purchase, and drives the cost up as well. States COULD try to override the dealership laws (many states have laws that strengthen the Federal one), but thats like trying to herd cats.

brownbat 13y ago
I don't believe that's the case, can you cite the federal law in question? I've read the FTC Commissioner's report on state laws here, and an economic analysis report that both cite state lawmakers as the responsible parties: 1. http://www.ftc.gov/speeches/leary/learystateautodealer.shtm http://www.ftc.gov/speeches/leary/learystateautodealer.shtm 2. http://www.justice.gov/atr/public/eag/246374.htm http://www.justice.gov/atr/public/eag/246374.htm Arizona goes farther, apparently has a law that basically prevents manufacturers from releasing any information which might hurt the negotiating position of dealers. Needless to say, it's being challenged in court. Alliance of Auto Manufacturers v. Hull No. CIV 00-1324-PHX-PGR (D. Ariz. Apr. 30, 2001).
Marc_Paradise 13y ago
Do you have a reference to the specific law? While dealerships are affected by a large number of federal regulations (fair credit reporting act, certain used car regulations, and others) I am not aware of anything on the books at a federal level regarding structure of dealerships. Look at the wording of the petition itself: "States should not be allowed to prevent Tesla Motors from selling cars directly to customer" That doesn't sound like a federal issue to me.

3pt14159 13y ago

This clearly falls under the interstate commerce clause, much more so than 99.9% of the laws passed under it.