State Appoints Tesla Employee to Motor Vehicle Dealer Board. 3 Results.

Virginia Governor McAuliffe appointed a Tesla Motors Inc. employee to a board that oversees automobile dealers, and here’s what happened:

  • The Governor became former governor before Senate confirmation
  • The Virginia Automobile Dealers Association vocally opposed the appointment
  • The Senate Committee rejects the appointment.

Background of direct sales in Virginia: The commissioner of the Virginia Department of Motor Vehicles permitted Tesla to open a company-owned store. The Auto Dealer Association filed a lawsuit in response.

What opposition arguments were made by the Auto Dealers Association?

  • The appointment violates state law because the Tesla appointee is neither an owner or top executive of a car dealership.
  • An employee cannot hold the appointment.

What was the response from Tesla representatives?

  • highly unusual if not unprecedented
  • the vote to reject the appointment “raises basic questions of fairness and improper political influence”

Richmond Times Dispatch | Senate committee rejects appointment of Tesla employee to Motor Vehicle Dealer Board