New Jersey has opted to burn bridges with Tesla.
New Jersey's Motor Vehicle Commission (NJMVC) voted Tuesday to prohibit automakers from selling cars directly to consumers without going through a dealer. The decision deals a blow to the electric car maker, which relies on a direct sales model by operating its own retail stores.
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Tesla had waged a last-minute fight in public on Tuesday to try to put pressure on the commission not to block direct sales in the state. In a blog post, Tesla's team wrote that the administration of New Jersey Gov. Chris Christie had "gone back on its word" this week to delay the new regulation to allow for a "fair process" in the state legislature.
"The Administration and the NJMVC are thwarting the Legislature and going beyond their authority to implement the state’s laws at the behest of a special interest group looking to protect its monopoly at the expense of New Jersey consumers," the company wrote in the blog post. "This is an affront to the very concept of a free market."
A rep for Tesla did not immediately respond to our request for comment on the commission's decision.
The move makes New Jersey the third state to crack down on Tesla's direct sales model. Texas and Arizona decided against Tesla's ability to set up dealerships last year.
Tesla stock was down by about 0.5% in after hours trading following the decision.
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