Tesla’s application for a new vehicle dealer license from January 2019 has been denied.
The transportation and energy company has been challenging Delaware's law forbidding manufacturers from operating their own dealer franchises.
Despite the company operating a service station in Wilmington, several charging stations in New Castle County and a support center at Christiana Mall, there is not a single Tesla dealership in Delaware. The nearest dealerships for prospective Tesla clients are in Devon and King of Prussia, Pennsylvania.
“Based upon the statutory prohibitions contained within 6. Del. C. §4913, and Tesla’s efforts to obtain licensing despite that clear statutory prohibition, the new dealership license application for Tesla is denied pursuant to 21Del. C. §6312 and §6313(4),” Karen Carson, chief of the compliance and investigations unit of the DMV, wrote in its April 19 letter, reported by the Delaware Business Times.
The California-based electric vehicle company requested a closed-door hearing with the Delaware Department of Transportation, which is scheduled for Wednesday, June 23.
Previously, Tesla initiated a letter-writing campaign to Gov. John Carney (D) to protest the state’s decision, through its own social media platform, Tesla Engage. The platform was created for Tesla’s public policy team and Tesla Owner’s Clubs, taking its old Tesla forum to a new level.
Some states have changed their laws to allow Tesla to operate sales and service dealership, Delaware Business Times reported.
Alerts Sign-up