Tesla resolves legal battle with car dealers in Louisiana

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Tesla TSLA.O resolved lawsuits against Louisiana and various car dealers and trade groups on Monday, and CEO Elon Musk’s electric vehicle company challenged the state’s ban on direct vehicle sales to consumers since 2017.

Tesla’s claims have been “completely and ultimately resolved,” claiming that state officials were simply at work and did not violate criminal law, according to a filing motion filed in New Orleans federal court.

Tesla sued members of the Louisiana Automobile Commission, individual commissioner-owned dealers and the Louisiana Automobile Dealers Association in August 2022.

It denounced motorist commissioners associated with rival dealers for leveraging committee management by targeting sales models that do not use a network of franchise dealers as “existential threats.”

The lawsuit also challenged Teslas’ lease and services restrictions in Louisiana.

The defendant’s attorney did not immediately respond to a request for comment. Tesla and its lawyers did not immediately respond to similar requests.

In August 2024, the federal court of appeals in New Orleans revived Tesla’s constitutional due-process claims and put aside the termination of anti-trust claim judges, citing possible bias against the Austin, Texas-based automaker.

Last month, the U.S. Supreme Court refused to hear appeals from 18 motor vehicle commissioners of that decision.

This case was conducted by the Eastern District of Louisiana, the United States District Court, the Louisiana Automobile Dealer Association, etc. v. Louisiana area, No. This is 22-02982.

Reported by Jonathan Stempel of New York. Edited by Aurora Ellis

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