Conn. DMV Says Tesla Running ‘Gallery’ Like New Car Dealership

HARTFORD, Conn. (CBSNewYork/AP) — Connecticut’s Department of Motor Vehicles says electric car maker Tesla Motors has operated its Greenwich “gallery” like a new car dealership, but without the proper state license.

The DMV last month ordered Tesla to “cease all business functions” in Greenwich, but a revised order released Thursday puts that action on hold pending an appeal.

State law prevents a vehicle manufacturer from being a retailer. Tesla is lobbying legislators to change the law, allowing it to open retail locations.

The Connecticut Automotive Retail Association opposes Tesla’s efforts, saying the company should participate in the existing franchise system. The association filed a petition with the DMV last summer, accusing Tesla of conducting direct sales.

Tesla claims no vehicles are sold at the Greenwich location, saying employees only provide education and information, WCBS 880’s Sean Adams reported.

While customers can use personal computers to order a vehicle, the DMV says the purchase practice is identical to a licensed dealership.

(© Copyright 2017 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.)

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