If there’s one factor we have realized about automotive sellers on account of Tesla’s huge push to promote on to prospects, it is that they hate it when automotive corporations attempt to promote on to prospects. They hate it a lot that they’ll typically take authorized recourse to stop it from occurring, and that is simply what a pair of seller teams from Illinois are doing to Rivian, in line with a report published Friday by the Chicago Business Journal.
The lawsuit in opposition to Rivian is being introduced by the Illinois Vehicle Sellers Affiliation (IADA) and the Chicago Vehicle Commerce Affiliation (CATA) after the Illinois Secretary of State’s workplace determined to permit Rivian and different EV producers to promote with out a franchised seller community.
The lawsuit particularly seeks a ruling by the state that forces new car producers to abide by the identical laws as present ones — particularly, the one that claims that producers should promote by a licensed franchised seller.
This ruling would additionally have an effect on corporations like Lucid, which additionally needed to promote on to prospects and deliberate on opening a car showroom in Oak Brook.
These are related techniques that we have seen from different automakers when Tesla first tried to push its direct-to-customer mannequin. This ended up with of us in Michigan having to go to Ohio to get their Teslas and to have them serviced. Nonetheless, that scenario has relaxedwithin the intervening years.
Rivian’s car manufacturing amenities are based mostly in Regular, Illinois, and the corporate was planning on opening a showroom in Fulton Market in Chicago.
We reached out to Rivian for remark however did not hear again in time for publication.