Rivian Automotive (RIVN) filed a lawsuit Monday in federal court against the registrar of Ohio's Bureau of Motor Vehicles, claiming that the state's prohibition on direct retail sales of vehicles is unconstitutional and harms consumers.
In a filing at the US District Court for the Southern District of Ohio, Rivian said the agency's rule "reduces competition, decreases consumer choice, and drives up consumer costs and inconvenience." Rivian customers must shop beyond Ohio's borders, the suit said.
Ohio's legislature passed a law in 2014 that blocks new manufacturers from obtaining the necessary dealer licenses, while allowing Tesla (TSLA) to continue selling directly through its existing dealerships in the state, according to the filing.
Ohio's Bureau of Motor Vehicles did not immediately reply to a request for comment from MT Newswires.
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