"Scout Faces Court Battle Over Plans to Sell Directly to Consumers. In a significant blow to the electric vehicle startup, a judge has ruled that one of the first lawsuits filed against the company will proceed. The lawsuit, which challenges Scout's plans to sell vehicles directly to consumers without the involvement of traditional dealerships, is seen as a major test of the company's business model. As the electric vehicle market continues to grow, Scout's decision to bypass dealerships has sparked controversy, with some arguing that it infringes on state franchise laws and others seeing it as a way to cut costs and improve customer experience."
In a setback for the startup in the biggest new-vehicle market, one of the first lawsuits filed against Scout over its plans to sell directly to consumers will continue, a judge ruled.