U.S. Court of Appeals for the Fifth Circuit

Lucid Group USA v. Johnston

September 4, 2026

Summary

The Fifth Circuit affirmed the district court's grant of summary judgment, holding that Texas's prohibition on automobile manufacturers selling directly to consumers withstands rational basis review under the Fourteenth Amendment's Equal Protection and Substantive Due Process Clauses. The court relied on its prior precedent, including Ford, International Truck, and Tesla, to conclude that the law is rationally related to a legitimate state interest in preventing vertical integration and protecting dealers.