Ohio Senator Accepts Money from State, National Auto Dealerships; Fights Tesla with New Senate Bill
February 14, 2014 3:30 PM
Patton received at least $42,825 between 2002 and 2013
Tesla Motors is trying to sell its Model S EVs directly to customers without auto dealerships acting as middle men. And while Ohio is just one of the U.S. states giving the automaker a tough time about it, many are specifically questioning an Ohio senator's motives against the new sales model.
, Ohio Sen. Tom Patton (R-Strongsville) is the man behind a new bill called Senate Bill 260, which aims to prevent Tesla and any other automaker from "applying for a license to sell or lease new or used motor vehicles at retail."
Tesla opened its own stores in both Cincinnati and Columbus, as Ohio's current laws allow the automaker to do so. However, Senate Bill 260 would certainly put a stop to it, unless existing stores opened before the bill are deemed safe.
It seems Patton definitely likes green, but
in the way of money
instead of Tesla's cars. The article noted that Patton received at least $42,825 between 2002 and 2013 from state and national auto dealership owners, employees, and political action committees.
Auto dealerships have said that Tesla's new sales model threatens their network, which many other automakers rely on. If other automakers were to follow Tesla's example, it would put the dealerships in a bad spot.
They're clearly hoping that staying close to politicians will keep their model safe, but Tesla CEO Elon Musk is a tough competitor that likely won't back down easily.
Sen. Tom Patton [SOURCE: Strongsville Post]
Musk believes that
don't do a very good job at selling specialty cars like Tesla's high-end electric vehicles (Roadster, Model S). Hence, he's looking to run his own Tesla stores around the U.S. where he believes his cars will get a fair shot at being sold.
The National Automobile Dealers Association (NADA) said that dealerships are necessary to ensure competitive prices for customers, and that it will continue to defend franchise and consumer laws in the states.
The problem for Tesla is that auto dealerships have
much deeper pockets
-- meaning that they have a lot more to spend on lobbying, and lawmakers will surely side with them when money is involved.
Tesla Model S
In fact, auto dealers spent $86.8 million on state election races across the U.S. between 2003 and 2012. They also spent $53.7 million on federal campaigns.
Tesla, on the other hand, has spent less than $500,000 on both state and federal politics.
“The challenge we face, of course, is that the auto dealers are very strong and very influential at the state level, among the legislatures, making it harder to get things done.” said Tesla CEO Elon Musk.
While Tesla has been able to fight off auto dealership assaults in some states -- like
-- it has had a more difficult time in others, like Texas. The state has laws that protect the franchise dealership system where car manufacturers are not allowed to run and own dealerships -- and Texas isn't looking to budge on that issue.
Massachusetts and New York are a couple of other states going head-to-head with Tesla over the use of auto dealerships.
Lobbyists say Tesla needs to staff up in Washington to "protect its interests." The company has one registered lobbyist, Daniel Witt, a former aide to Sen. Dianne Feinstein (D-Calif.). Meanwhile, the National Automobile Dealers Association has an annual lobbying budget of about $3 million.
Musk said in April that he'd be willing to make the fight
a federal battle
"The whole principle [of censorship] is wrong. It's like demanding that grown men live on skim milk because the baby can't have steak." -- Robert Heinlein
Tesla Motors Still Looking to Win Against Dealerships, But Auto Dealers have Lobbying Cash
November 29, 2013, 12:47 PM
Tesla CEO Elon Musk May Make Dealership Fight a Federal Case
September 17, 2013, 12:14 PM
Tesla Motors Successfully Fights Off Auto Dealership Assault in North Carolina
June 27, 2013, 2:36 PM
Dubai announces passenger drone plans.
February 14, 2017, 7:56 AM
Lucky LA Residence
January 28, 2017, 4:00 AM
Debuted at CES 2017 - Corning Gorilla Glass Concept Car
January 7, 2017, 3:02 AM
Happy, healthy and feastive New Year to you and everyone in the world that about to celebrate the Season Holidays
January 1, 2017, 12:01 AM
In 2017, Here are the New Autos of 2018
December 30, 2016, 5:00 AM
What Happens When You Put a Blind Man in a Driverless Car?
December 14, 2016, 5:00 AM
Most Popular Articles
Samsung Galaxy S8, Rumored Launch Date!
March 18, 2017, 6:45 AM
Lenovo MIIX 510 – Excellent 2-In-One Tablet with Unique Watchband Hinge
March 17, 2017, 7:50 AM
Gigabyte GA-Z170X-Gaming G1 – Intel Thunderbolt 3 Certified Motherboard
March 9, 2017, 6:25 AM
Xiaomi Mi Note 2 – This Chinese Phablet is the Best
February 24, 2017, 7:25 AM
Lenovo ThinkPad T460 - Ultra-Thin and Feather-light
March 3, 2017, 6:00 AM
Latest Blog Posts
Apple buys an automation app called Workflow. The deal was completed today and brings the app along with its developers.
Mar 23, 2017, 7:35 AM
Apple Announces new color for iPhones and iPads
Mar 22, 2017, 7:45 AM
Instagram: You Can Now Save Live Videos For Later
Mar 21, 2017, 7:49 AM
Samsung Galaxy S8 to Get New Color Scheme
Mar 20, 2017, 7:45 AM
What else to worry about?
Mar 17, 2017, 6:45 AM
Icon of the Day: Intel/ NVIDIA or Mobileye
Mar 16, 2017, 6:15 AM
JUST IN - Twitter Hijacked : High-Profile Account Accesses
Mar 15, 2017, 7:07 AM
Mar 14, 2017, 7:30 AM
News and Tips
Mar 13, 2017, 6:30 AM
iPhone 8 – May Not Get Curved Screen
Mar 11, 2017, 8:00 AM
California paves way to self-driving car tests without humans
Mar 11, 2017, 7:18 AM
Smart Machines V hackers
Mar 10, 2017, 7:00 AM
Uber Can Resume Autonomous Car Testing in California
Mar 9, 2017, 6:50 AM
Mar 8, 2017, 7:09 AM
Mar 7, 2017, 8:45 AM
World news 3-6
Mar 6, 2017, 5:40 AM
Mar 4, 2017, 7:40 AM
Mixed News of the Day
Mar 4, 2017, 6:32 AM
Jaguar Land Rover invests in ride-sharing
Mar 3, 2017, 7:00 AM
Mixed News of The World:
Mar 2, 2017, 7:02 AM
World New 3-1
Mar 1, 2017, 6:30 AM
Gaming News of The Day
Feb 28, 2017, 6:56 AM
More Blog Posts
Copyright 2017 DailyTech LLC. -
Terms, Conditions & Privacy Information