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Jun 10, 2009 - Pleading Their Case

Two South Dakota car dealers are suing General Motors, claiming state law bars the Detroit automaker from ending its franchise with them, at least without a hearing.

Now I'm sure there's something about the relationship between GM and dealer franchises that I don't understand, but if these dealers want to keep selling cars that aren't selling, why stop them?

Read more at the Chicago Tribune

 

2:59 am | Categories: automotive news
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Comments
steve_ - Jun 10, 2009 1:31 pm
General Motors is in bankruptcy. Federal law trumps state law. Rap the gavel, judge. And why shut dealers down? GM (and Chrysler) say poor performing dealers cost them customers and they spend a lot of money training the staff at those dealers, paying for marketing, distribution charges and all those district reps. Now, compare the number of GM dealers to the number of Toyota dealers, and imagine the cost difference involved on each car. Gotta be millions saved.
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