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Tesla faces a setback in Virginia, DMV sides with dealerships on direct sales


Earlier this year, the Virginia Automobile Dealers Association (VADA) filed a lawsuit against Tesla and the state’s Department of Motor Vehicles (DMV) commissioner, Richard D. Holcomb, to stop the automaker from opening a second store in the state. Tesla currently operates a store and service center in Vienna near Washington DC, but it was also planning to set up shop in Richmond.

Now we learn that a hearing officer for the DMV sided with the dealerships and recommended to deny the automaker’s dealership license request and force them to do business in Richmond through local third-party dealers. Expand