Iowa bars Tesla Motors from offering test drives

DES MOINES, Iowa (AP) — The Iowa Department of Transportation told Tesla Motors to stop offering test drives in the state, saying the electric car company is not a licensed auto dealer in Iowa and state law bars carmakers from selling directly to the public.

A Tesla spokeswoman said the company does not think the statutes apply because the company was offering only three-day test drives, not actually selling cars, The Des Moines Register reported (http://dmreg.co/1sZhA2w).