Gallery Loophole Before Lawmakers Reconvene

"Together with a Tesla lawyer, Blankenship sat in the state office going through the books, line by line, exploring the limits of what was possible. They presented an idea: Can we open a showroom that’s purely educational—no sales, just staff members on hand to tell people about the electric car? An official looked at the existing language. “Well, that’s not in here.” “So that means we can do that?” “Well, we’ll have to…” “No, no, no,” Tesla’s lawyer interjected. “It’s not in the law, it cannot be in the law next week.” Tesla had found the loophole they needed, and they sped right through it. The timing of their meeting, just after the legislative session had ended, meant they’d have fully two years on the ground before the statehouse had a chance to revise the laws on the books."

"One of the next places Blankenship targeted wouldn’t offer such easy entree. Texas was among a handful of states that banned carmakers from selling directly to customers. Musk wasn’t about to lie down, though. Tesla simply needed to find a way around the law."

"“We are revolutionizing the auto purchase and ownership experience,” Blankenship told the San Jose Mercury News. “At a typical car dealership, the goal of the dealer is to sell you a car that’s on the lot. At Tesla, we’re selling you a car that you design. The shift is people say: ‘I want this car.’ ”"