Tesla sued Wisconsin in January, challenging a state law that forbids manufacturers from owning dealerships. 

Wisconsin denied Tesla’s request for dealer licenses late last year, claiming the company didn’t meet the requirements for exemptions to state law. Tesla wanted to turn its massive galleries in Madison and Milwaukee into dealerships and open others in Glendale and the Fox Cities. 

The company argued in a lawsuit that it should be allowed to operate its own dealerships if there aren’t any independent ones around. 

“Tesla’s Wisconsin customers prefer Tesla’s uniform retail pricing and transparent, middleman-free car-buying experience,” Tesla’s petition read. “As a result, an unaffiliated dealer cannot meet Tesla’s uniformly applied standard qualifications.”

The company also argued Wisconsin law does not ban “a non-franchising manufacturer like Tesla” from operating a dealership.

The company, which saw its stock drop 28% since the end of January and remained in the red as of Monday afternoon, sold between 3,000 and 4,000 electric vehicles in Wisconsin last year and believes sales would grow if it opened dealerships there. A hearing is scheduled later this month on whether the case can be transferred from Outagamie County to Dane or Milwaukee County. 

If Tesla disagrees with the circuit court’s decision, it could appeal to a higher court and eventually reach the Wisconsin Supreme Court. 

Eight days after being denied by the circuit court, Musk told his 219 million followers on X: “Very important to vote Republican for the Wisconsin Supreme Court to prevent voting fraud.” 

That has made things publicly uncomfortable for Judge Brad Schimel, the conservative candidate for the state’s high court who has benefited from Musk’s millions and social media reach. 

Schimel said his vote can’t be bought but has not committed to recusing himself from the case should it reach the Wisconsin Supreme Court. Last week, his camp claimed it knew nothing about Musk’s lawsuit.

James Sample, a law professor at the Maurice A. Deane School of Law at Hofstra University, called the Wisconsin practice of allowing justices to determine for themselves if they can remain impartial in cases a “fundamental flaw” in the system.  

“If Elon Musk’s personal expenditures end up being one of the primary forces that supports the campaign of a judge, and then Elon Musk — in his corporate capacity — effectively appears before the Wisconsin Supreme Court, ask yourself the question: Might it be reasonable to question the impartiality of the judge whom he supported?” Sample told Wisconsin Public Radio. 

Musk’s America PAC has spent $1 million on canvassing operations in Wisconsin. Some of the money was used to distribute pamphlets that read, “President Trump needs you to get out and vote.” His group blasted out attack ads featuring a picture of a woman named Susan Crawford — only it was a picture of a Harvard professor and not Schimel’s opponent, Circuit Court Judge Susan Crawford. 

Crawford, the candidate, has blasted Musk’s meddling and suggested he stay in Washington.

“Brad Schimel welcomes Elon Musk’s involvement, and Musk’s organization is now going door to door with paid canvassers handing out flyers that say that Brad has got to be on the Supreme Court to protect the Trump agenda,” Crawford told reporters on Feb. 25. “We don’t need that kind of politics on our Supreme Court.”

Building America’s Future, another group that has received funding from Musk in the past, spent $1.6 million on a TV ad campaign on behalf of Schimel. 

The April 1 election is technically nonpartisan but has turned into a de facto partisan contest with millions of dollars flooding in from billionaire donors and outside special interest groups. Both candidate camps have blasted the other for trying to “buy” the election, though both have benefited. The 2023 election brought in more than $50 million. Political experts predict this year’s race will easily shatter the record. 

“Get used to the insanity,” Howard Schweber, professor emeritus of political science at the University of Wisconsin-Madison, told the Washington Examiner.

In addition to a favorable Tesla decision, a win in Wisconsin would also certify Musk as a powerful kingmaker who can swing elections in politically important purple states.

WISCONSIN VOTERS GEAR UP FOR ANOTHER HIGH-STAKES STATE SUPREME COURT RACE

It would also put him in a position to make moves in Virginia’s gubernatorial race later this year and test how far his deep pockets and proximity to Trump go during the 2026 midterm elections. 

Musk has found next-level celebrity status following Trump’s win. He’s been at Cabinet meetings, taken center stage at presidential events, and bragged about laying off thousands of federal workers.