Elio Motors Appealing $500k Fine

[TexasTesla]

Bottom line...the fact that Elio Motors never understood they needed a manufactures license in Louisiana is just another example of Paul Elio’s weak project management skills...

The Elio Motors saga is so darn convoluted...just a decade of poor business decisions...

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[RSchneider]

it's an example of LA is punishing Elio Motors. It's what happens when you promise to start building cars by mid 2014 and exporting them by the end of 2019 yet haven't done anything according to them. I thought this was going to be thrown out but it's obvious that there was enough to nail Elio on technicalities.

Those technicalities were the phrasing to convince people to give them non refundable money. The people that did knew that it was a risk but that doesn't matter in the courts. Acting like a manufacturer and taking deposits is what Elio did in the eyes of the law. We all know that's not the case but it doesn't matter now.

Elio will pay the fine, get the license and produce the info that the refundables are in escrow (which is easy to do) and go on. If Elio would have done what they promised, then the license would have cost $1 and would have been done. Nobody would have ever noticed or cared.

 

[Ty]

Bottom line...the fact that Elio Motors never understood they needed a manufactures license in Louisiana is just another example of Paul Elio’s weak project management skills...

The Elio Motors saga is so darn convoluted...just a decade of poor business decisions...

...

I don't think that was the case at all. I think that Paul hadn't gotten a manufacture's license for Louisiana simply for the reason that he was NOT YET MANUFACTURING anything yet. Louisiana fining him ahead of time is like giving a 5 year old a ticket for driving without a license because at some point, he MAY be a driver.

 

[RSchneider]

I don't think that was the case at all. I think that Paul hadn't gotten a manufacture's license for Louisiana simply for the reason that he was NOT YET MANUFACTURING anything yet. Louisiana fining him ahead of time is like giving a 5 year old a ticket for driving without a license because at some point, he MAY be a driver.

The way the law looks at it is, Elio claims to be a manufacturer and they are not. So instead, they needed to claim they are a prototyping shop and that would have been suffice. As of now, Elio has only been in the prototyping business but collecting money because the say they are in the manufacturing business. It comes down to a misrepresentation of what they are doing and thus they are now being punished for it.

 

[TexasTesla]

Let’s all be honest...

Elio Motors has always claimed to be a manufacture...

Paul indicated they were going to start manufacturing vehicles in 2014...2015...2016...2017...2018...
2019...

If Elio Motors plans to manufacture vehicles in Louisiana... they should understand all the state regulations with regards to vehicle manufacturing...

At this point in time... Louisiana will not go out of its way to help Elio Motors... too many broken promises...

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[Ty]

Let’s all be honest...

Elio Motors has always claimed to be a manufacture...

Paul indicated they were going to start manufacturing vehicles in 2014...2015...2016...2017...2018...
2019...

If Elio Motors plans to manufacture vehicles in Louisiana... they should understand all the state regulations with regards to vehicle manufacturing...

At this point in time... Louisiana will not go out of its way to help Elio Motors... too many broken promises...

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I've always claimed to be an astronaut... doesn't mean that I am. Elio has NEVER manufactured a single vehicle (nope, not even the prototypes) They have NEVER sold a single vehicle. Paul knew that before they manufactured vehicles, they'd need the manufacturing permits. It didn't make sense to pay for something you aren't going to use yet. That'd be like getting a hunting license for this year because you are planning a hunting trip in 5 years... and shoot, we all know that Elio has been waiting many, many years to hunt down that bear.

 

[Johnny Acree]

No,,, It's all about the MONEY!

If, EM had the money, they would have completed the engineering units, tooled up the factory, placed orders for parts to build Elios, bought insurance, hired people, applied for a license, then started manufacturing Elios.

There are probably about a hundred other steps I don't know about, but you get the idea.

Without BIG MONEY, you aint gona do any of that!

 

[RSchneider]

I've always claimed to be an astronaut... doesn't mean that I am. Elio has NEVER manufactured a single vehicle (nope, not even the prototypes) They have NEVER sold a single vehicle. Paul knew that before they manufactured vehicles, they'd need the manufacturing permits. It didn't make sense to pay for something you aren't going to use yet. That'd be like getting a hunting license for this year because you are planning a hunting trip in 5 years... and shoot, we all know that Elio has been waiting many, many years to hunt down that bear.

I'll ask you this. If I open a restaurant and my place of business is a dirty old warehouse, should I be allowed to stay open even though I'm not doing a thing? Am I allowed to circumvent the health laws because I'm not making food?

 

[Johnny Acree]

I wonder,,, Does LA have a requirement to be a manufacturer, you have to have financing, in place, to actually mfg.
If so. EM never had financing. So, if EM had applied for a license, would not they have been denied?
So they are being fined for not even applying for said license?

And another thing!

Remember,,, lawyers, and bureaucrats don't operate in the common sense world. They are on a hole nother planet!

 

[TexasTesla]

No,,, It's all about the MONEY!

If, EM had the money, they would have completed the engineering units, tooled up the factory, placed orders for parts to build Elios, bought insurance, hired people, applied for a license, then started manufacturing Elios.

There are probably about a hundred other steps I don't know about, but you get the idea.

Without BIG MONEY, you aint gona do any of that!

Again...let’s be honest...

Elio raised more than enough money to complete a group of specification ready test mules ...

The problem has been years of poor project management... which has resulted in $100 million of current debt...

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