With respect to direct sales to employees, vendors, etc., I bet if you check, many were required to pick up at a dealer. If not, it was in a state that does not have this kind of law.

At any rate, without repealing this law, direct vending of cars is dead for now. Most manufacturers will want to include the dealer in future e-business plans, but in a modified form. It's that 'form' that's debatable.

Auto manufacturers, domestic and foreign, sell vehicles directly to employees, suppliers, former employees, auto union officials and other manufacturers. These vehicles are sold by a DOT Manufacturer's Statement of Origin (MSO). MSOs are accepted by all state DMVs or MVDs or whatever a particular state calls their vehicle registration division, as a means to obtaining a private title to the vehicle. I don't know about any specific Texas law, but I do know of Texas residents who have bought vehicles directly from the manufacturer via a MSO.