New Jersey Opens Way For Tesla To Sell Cars Directly

MarketWatch Pulse

New Jersey Gov. Chris Christie on Wednesday signed legislation allowing Tesla Motors Inc. to sell its cars directly to customers in the state, bypassing dealerships. Tesla sells its cars directly to consumers, to much criticism from dealership groups, and some states such as Texas and Arizona still ban the practice. Shares of Tesla ended Wednesday up 3.1%, and were up a fraction in after-hours trading. The New Jersey legislation also requires Tesla (and other car makers engaging in direct sales) to maintain a service facility and report annually the number of vehicles sold in New Jersey.

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