Scout Motors Faces Legal Battle Over Direct-to-Consumer EV Sales Model

Volkswagen and Audi dealers in Florida have filed a lawsuit claiming Scout's sales approach violates state dealership laws.

Scout Motors, a Volkswagen-owned EV brand, plans to sell vehicles directly to consumers, bypassing traditional dealerships.
Florida-based Volkswagen and Audi dealers have sued Scout, arguing the direct-sales model violates state laws protecting dealership networks.
The lawsuit alleges Scout is unlawfully operating in Florida by accepting $100 refundable deposits for vehicles, which dealers claim constitutes a sale under state law.
Scout maintains it operates independently from Volkswagen Group and defends its direct-sales approach as a customer-first strategy offering transparency and simplicity.
The legal challenge highlights long-standing tensions between automakers and dealership networks over direct-to-consumer sales in the evolving EV market.