NEW YORK (TheStreet) -- Tesla (TSLA) will be allowed at least 15 more days to sell its electric cars directly to the New Jersey public, giving it a touch more breathing room to negotiate with dealership organizations.
The state had previously enforced a ban starting April 1.
Earlier in the month, the New Jersey Motor Vehicle Commission passed a rule change which would prohibit auto manufacturers from direct selling, the line of thinking being that consumers wouldn't benefit from competitive pricing and other protections offered by third-party dealers. Texas and Arizona currently have similar bans in place.
Tesla had previously been in negotiations with Governor Chris Christie's administration for the company to bypass the traditional car dealership route (that is, carmakers selling models through a third-party dealer). The company's business model had previously been under attack from the New Jersey Coalition of Automotive Retailers' (NJ CAR), according to Tesla.
In a blog post earlier in the month, the company defended its business model, writing, "This model is not just a matter of selling more cars and providing optimum consumer choice for Americans, but it is also about educating consumers about the benefits of going electric, which is central to our mission to accelerate the shift to sustainable transportation, a new paradigm in automotive technology."
Two proposed pieces of legislation could be the saving grace for Tesla's threatened selling method. The first is proposed legislation in the senate from Democratic Sen. Raymond Lesniak which would allow direct sales of "zero-emission vehicles" until they make up around 4% of total car sales. As CNN notes, however, this is unlikely to come to pass until 2018 at the earliest.