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Why Are Tesla Dealerships Banned in Texas?


As if fires and explosions from oil and gas rigs weren’t enough in Texas, now the state has to worry about electrical fires, explosions, and spontaneous combustion in passenger vehicles.

Tesla appears to be the culprit.

A History of Legal Battles in Texas

Since 2013, the state of Texas has barred Tesla from excepting state law and opening its own dealerships. While lawmakers want to keep local consumers safe from monopolies, they may be keeping them from a litany of other threats.

Claims and Controversy

As a company that frequently believes it’s above the law, Tesla has recently been under scrutiny from national safety organizations. The company claims to have the “safest” crash test rating in the United States, but the National Highway Traffic Safety Administration (NHTSA) does not condone this messaging.

Additionally, the company’s safety claims seem to be constantly undermined by its controversies. In addition to several ongoing investigations about their vehicles’ AutoPilot systems, Tesla has been associated with dangerous electrical fires and spontaneous combustion.

Electrical Fires

In February of this year, a car was engulfed in flames after a mysterious collision with trees in the median. Not only was the driver “burned beyond recognition,” but the vehicle continued to burn for an entire day after the accident. While any vehicle can catch fire, and electrical fires are naturally more difficult to put out, Tesla fires, specifically, have been a concern since 2013.

Spontaneous Combustion

Just this June, a man was driving a Tesla in Los Angeles traffic when his car caught on fire without warning or cause. He was flagged down by a concerned couple and left the vehicle to burn on the side of the road. The incident is alarming, but Tesla asserted that it was “very rare.”

Still, this is not the first time a Tesla has caught fire without rhyme or reason. Vehicles manufactured by Tesla have caught fire in Hong Kong and exploded in Shanghai.

Perhaps Texas’ decision to limit the sale of Teslas is wise, after all.

What to Do if You’ve Been Affected by a Fire or Explosion

At the Law Office of James M. Stanley, we have been representing injured Texans and their families since 1976. We have special experience with claims arising from fires and explosions, and are also well-versed in car accident and product liability cases. If you were harmed by a Tesla, we will help you determine the best angle to approach the case from and support you every step of the way.

Even if you were burned or injured by an oil or gas rig, our attorneys are here for you.

Call us at (817) 591-4222 today for a free consultation.

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