2019 Legislative Session

Auto franchise bill passes first committee
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A bill that would allow some car manufacturers to bypass local auto dealers and sell directly to consumers in New Mexico, passed its first committee Thursday afternoon. The Senate Public Affairs Committee approved Senate Bill 243 along party lines, with only Democratic members voting to advance the proposal. The bill would allow companies like electric car manufacturer Tesla to open service centers and sales showrooms in the state. Current law mandates that vehicle manufacturers must sell through local, franchised dealers. The bill narrowly changes the state franchise law, and would only allow companies that do not have a franchise business model to sell in the state.