Tesla’s legal victory in Michigan would seem to open the door for other electric vehicle companies without established dealers to sell their upcoming EVs in the state direct to the consumer. University of Michigan law professor, Daniel Crane, wrote in a blog post that manufacturers like Rivian and Faraday Future will ” benefit from the [legal] trail Tesla has blazed.” Crane thinks the state will not be able to deny other automakers like Tesla (without franchised dealers) the ability to sell their vehicles in a similar arrangement offered to Tesla. Crane also believes that traditional auto companies which have franchised independent dealers might be at a disadvantage because of what Crane describes as a “dated and inefficient dealer model.” Additionally, Crane believes the Michigan settlement will put pressure on other “hold-out” states that block Tesla from selling to consumers. Crane also noted that Tesla was previously prevented from opening service centers in Michigan as well. He asserts that Tesla’s ability to open service centers in the state is the most important part of the settlement, which he thinks will dramatically increase the appeal of Tesla vehicles in Michigan.
Disclosure: I own shares of Tesla stock