Tesla has scored a win in Canada after a court ruled in the electric automaker’s favor.
The CBC reported Monday that Tesla’s case against the Ontario province of Canada went the automaker’s way after Justice Frederick L Myers declared, “the [Government of Ontario’s] asserted rationale for limiting the transition program to franchised dealerships is laden with factual assumptions that were susceptible to being proved or disproved with evidence.”
Tesla sued Ontario after it announced it would phase out its electric-car tax credits totaling up to $14,000, or around $10,400 USD. The qualm came after the government announced it would still honor rebates through September 10 for buyers who purchased an electric car through a dealership. The company notoriously operates its own stores and does not franchise sales to dealerships. The automaker argued the decision “unjustly targeted” Tesla and its customers.
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While it’s a small win for Tesla in Canada, it has larger issues looming back home. The automaker became the first to reach the United States’ cap on federal tax credits worth $7,500 per car this past summer. Now, Tesla’s credits will enter a phaseout period and the tax credit will halve itself until the funds run dry in 2019.
[Source: CBC]
A version of this story originally appeared on Hybrid Cars.
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