On July 22, according to Reuters, Tesla reached a settlement with the state of Louisiana and multiple car dealers and industry organizations on Monday. Tesla previously launched a legal challenge to Louisiana's 2017 ban on direct sales of cars to consumers.
Tesla Model Y
Tesla's claims have been "fully and finally resolved," according to a motion to dismiss filed in federal court in New Orleans. State officials insist they were only doing their jobs and did not violate criminal law.
In August 2022, Tesla sued members of the Louisiana Motor Vehicle Commission, dealers owned by some of the commissioners, and the Louisiana Automobile Dealers Association. Tesla accuses commissioners tied to rival dealers of using their control of the commission to attack Tesla's sales model, which does not employ a franchised dealer network, as an alleged "existential threat." The lawsuit also challenges Louisiana’s restrictions on Tesla leasing and after-sales service.
In August 2024, a federal appeals court in New Orleans restored Tesla's constitutional due process claims and reversed a judge's decision to dismiss its antitrust lawsuit, citing possible bias against Tesla. Last month, the U.S. Supreme Court declined to hear an appeal of the ruling by 18 members of the Louisiana Motor Vehicle Commission.
As of press time, Tesla, its lawyers, and the defendants’ lawyers have not commented on this matter.