FTC Wants Automotive Ban Lifted

The Federal Trade Commission is urging the Michigan legislature to reconsider its ban on automakers like Tesla Motors from selling directly to consumers.

The FTC Tuesday sent a letter to Senate Republican Darwin Booher of Evart urging the state to end its ban, saying it would benefit consumers.

Booher had asked the FTC about a bill pending in the state Senate that would create a limited exception to state law to allow for the sale of autocycles, which are small three-wheeled cars.

But the FTC says the Senate bill doesn’t go far enough and would largely perpetuate the current law’s protectionism for independent franchised dealers, to the detriment of Michigan car buyers.