Bill > A5604

This bill repeals a previous law that allowed certain zero emission vehicle manufacturers, specifically Tesla, to sell vehicles directly to consumers in New Jersey, effectively requiring these manufacturers to sell their vehicles through traditional franchised dealerships. The legislation eliminates a special exemption that previously permitted manufacturers of zero emission vehicles to bypass the standard dealership model. By removing the existing exception, the bill mandates that all motor vehicle manufacturers must sell their vehicles through franchised dealerships, which means companies like Tesla would no longer be able to operate company-owned stores or sell directly to consumers in the state. This change would significantly impact Tesla's sales model in New Jersey, forcing the company to adapt to the traditional franchise system used by most automotive manufacturers. The bill removes the definition of "zero emission vehicle" from the existing law and modifies several sections of New Jersey's motor vehicle sales regulations to ensure that all manufacturers must follow the same sales protocols, regardless of their vehicle type or technology.

Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/A5604