- Tesla is pushing to change a Wisconsin law prohibiting it from opening car dealerships. That comes as CEO Elon Musk has been investing heavily to influence elections in that state, including in the judicial branch. Tesla’s arguments are likely to eventually reach the state Supreme Court.
Elon Musk is sinking millions of dollars into political races in Wisconsin, with a particular focus on the court system. Now, a possible reason for the emphasis on those races in that state is becoming clear.
Tesla, where Musk holds the CEO role, has been fighting to overturn a Wisconsin law that prohibits it from opening dealerships in that state. The legislation that’s currently on the books requires car dealerships to be owned by third parties, not auto manufacturers. In January, Tesla sought an exemption from that rule right as Musk began dipping his toes into the state’s political waters.
The case could eventually make its way to the state Supreme Court.
Wisconsin is one of nearly 20 states requiring dealerships to be owned by third parties. The thinking behind those laws is excluding manufacturers would prevent independent dealerships from being undercut on pricing.
Tesla only sells cars directly to consumers. Because of the Wisconsin law, however, anyone who buys one in that state needs to travel to a neighboring state to pick it up. Tesla has been trying to find a way around the law since 2017, but bills in the state legislature that would have granted it never made it out of committee.
Earlier this month, Musk’s America PAC began offering registered voters in Wisconsin $100 each if they sign a petition against “activist judges who impose their own views.” Musk has also donated to several Republican senators who have pushed to impeach federal judges.
Paying people to sign a petition echoing his thoughts is becoming a go-to play for Musk. Last fall, he offered voters in swing states the chance to win $1 million each when they signed a petition his PAC put out “to support free speech and the right to bear arms.”
Prosecutors in Pennsylvania argued those payments were illegal, but a judge said the District Attorney failed to present proper evidence and allowed Musk to continue making the offer.