Illinois dealers lose lawsuit to halt Rivian, Lucid direct sales

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Atkins said in his ruling that relevant state laws contemplate vehicle sales outside of the franchise model.

“It is evident that franchisees are not the sole contemplated form of dealer,” the judge said in regard to the Illinois Motor Vehicle Franchise Act. “This is further supported by various provisions referencing dealers with a ‘franchise or selling agreement,’ apparently contemplating other types of arrangements.”

While the use of franchised dealers has become the dominant…

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