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Tesla said the sales restrictions under its license agreement are applicable on a calendar year basis. GADA, which represents 500 dealerships, said in its Aug.
by 300bps 12y ago
Tesla said the sales restrictions under its license agreement are applicable on a calendar year basis. GADA, which represents 500 dealerships, said in its Aug. 29 petition that Tesla sold 173 sedans in the period from October to June.
So in essence, the law perhaps ambiguously states that you can not sell more than 150 cars in a year. The dealerships are interpreting this as "more than 150 cars in any 12 month span" whereas Tesla is interpreting this as "more than 150 cars in a calendar year". On its face, Tesla has the stronger argument.
- smackfu 12y agoThey still seem pretty close to the line there. I wonder if they were planning to stop sales at 150.
- randyrand 12y agoNot as close as you think. If it's not calendar months, then it is almost impossible to make actual sense of. If you wanted to limit yourself to 150 cars per year regardless of the start and end months, then you have to limit yourself to 12.5 cars a month which makes a whole lot less sense. Even still, at the day level you then have to restrict yourself to 0.411 cars a day. Then the hourly level... Things are made simpler if you aren't close to the limit, but what is the purpose of expressing a limit if you aren't intended to get close to that limit? for example, let's say you have this sequence (assuming the law is 150/year regardless of calendar months: 12.5, 12.5, 12.5, 10.5, 14.5 , 12.5, 12.5, ..... Boom, you're over if you continue to sell at 12.5 a month. You can compensate for the 14.5 by having another month of 10.5 within 12 months of the 14.5 month, but then you are under the limit within a different 12 month period and can/should have another 14.5 month to make up for it. The pattern repeats itself... The overall point is that this would be a very stupid way to express a limit and it is far from logical to interpret it that way.