Tesla Sues Over Michigan Sales Ban

(RTTNews) - Luxury electric car maker Tesla Motors Inc. (TSLA), Thursday filed a lawsuit against state officials over its right to sell vehicles directly to consumers in Michigan.

The lawsuit has been filed against Governor Rick Snyder, Secretary of State Ruth Johnson and Attorney General Bill Schuette as defendants.

Tesla sells its cars directly to consumers through company-owned stores in other states.

The company filed the lawsuit after Michigan state officials denied Tesla a new-dealership license, because the company's business model violated Michigan law. The state law requires a dealer to have a contract with an auto manufacturer — not act as both.

"Tesla Motors brings this lawsuit to vindicate its rights under the United States Constitution to sell and service its critically-acclaimed, all-electric vehicles at Tesla owned facilities in the State of Michigan," the automaker said in its complaint.