"Electric Vehicle Makers Take a Stand: Bypassing Dealership Laws with New Strategies In a move that could fundamentally change the way electric vehicles are sold in the US, several major manufacturers, including Rivian and Scout, are employing unorthodox tactics to circumvent long-standing franchise laws that require dealerships to act as intermediaries between consumers and automakers. By threatening to withhold funding for dealerships that resist their direct-to-consumer sales models and leveraging new loopholes in the law, these companies are pushing the boundaries of what is acceptable in the industry. The consequences of this shift could be far-reaching, with implications for the livelihoods of thousands of dealership employees and the very fabric of the US auto market. As the electric vehicle boom continues to gain momentum, the battle between manufacturers and dealerships is heating up – and consumers are likely to be the ultimate beneficiaries of this high-stakes showdown."
Electric vehicle makers including Rivian and Scout are using ballot threats and new legal tactics to bypass dealer franchise laws and sell directly to consumers.