COLUMBIA, S.C. (WACH) — Scout Motors is set to testify with consumer freedom advocates at the South Carolina Statehouse on Wednesday in favor of H.3777, the SC Consumer Freedom Act.
The legislation would create an additional option for buyers who want to purchase a new vehicle, allowing them to buy directly from manufacturers that do not have existing franchised dealerships.
Advocates argue that without the SC Consumer Freedom Act some automakers cannot sell their vehicles in South Carolina, forcing customers to travel to other states to buy them.
Scout Motors, which is finishing construction of its new production facility in Blythewood, wants to allow customers to buy the company’s vehicle on an app and then use it to handle everything from repairs to upgrades.
READ MORE | Scout Motors marks progress as final beam is installed in new facility
To make that happen there will have to be a change to an existing state law.
Currently, South Carolina law prohibits manufacturers from selling vehicles directly to consumers online or at showrooms and requires all new vehicles to be purchased through a dealer.
South Carolina Governor Henry McMaster said he wants to protect dealers, but would also like to let Scout Motors sell directly.
“Over the last few years with the Internet and Amazon and all the others, customers are looking for their freedom and that ability to order things directly without a middleman,” Governor McMaster said.
The bill will receive its first hearing in the Business & Commerce Subcommittee of the SC House Labor, Commerce & Industry Committee at 9 am on Wednesday.