Tesla's victory in the U.S. appeals court allows the company to legally challenge Louisiana's direct vehicle sales ban, which requires automakers to operate through franchised dealerships.
The 5th U.S. Circuit Court of Appeals' 2-1 decision not only allows Tesla to pursue its antitrust claims but also emphasizes the ongoing debates about direct vehicle sales versus dealership models.
In its ruling, the appeals court has reinstated Tesla's legal challenge against the state, marking a significant moment for the company amid state efforts to uphold the traditional dealership model.
This win for Tesla comes as the company navigates ongoing direct sales litigation in various states, highlighting an emerging trend in the automotive sales landscape, especially among EV makers.
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