The Federal Trade Commission strongly urged the Michigan state Legislature to reconsider its ban on Tesla Motors Inc. and other automakers from directly selling vehicles to owners.In an 11-page letter to Michigan State Sen. Darwin Booher, R-Evart, three senior FTC staff members on Monday urged the state to drop its bar to automakers selling vehicles directly to consumers, saying it amounts to "protectionism" for dealers, and is "likely harming both competition and consumers."
However, the federal agency's power is limited. It can only advise states as to what is in the best interest of consumers and cannot compel Michigan to change its laws.
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