• May 21, 2009
Joseph Heller's novel Catch-22 is an assault on bureaucratic circular logic, and when talk turns to Chrysler's bankruptcy, you can almost picture the book's character, Yossarian, shaking his head about the latest developments surrounding warranty claims. Current Chrysler owners might find themselves owning vehicular orphans whether or not the company manages to stick around in some form. Chrysler's bankruptcy deal, where there's an upside and a downside to the Schwartz, could see the new, "Good" Chrysler floating above any responsibility for any Chrysler vehicle sold before the bankruptcy.

Consumers groups, realizing that buyers will have no recourse, have filed an objection that's spurred a quickly organized hearing of the House Judiciary Committee. According to a report by ABC<, the new Chrysler has agreed to cover normal warranty claims, but when some new issue that would normally prompt a recall campaign pops up – or some other kind of defect rears its ugly head – the company would want nothing to do with it. Bad thingamajigy covered, horrible manufacturing or design defect that causes you injury, not covered. No right to sue, either.

It's not like Chrysler vehicles have stellar resale values now, but if this is how things shake out, the machinations to avoid standing behind its product are likely to further devalue anything wearing a Pentastar.

[Source: ABC]


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  • 27 Comments
      • 5 Years Ago
      While I have no objection to discontinuing the warranty on all future models, they have no right to strand owners and loyal customers without a warranty they were guaranteed. Customers have rights and are protected against these types of things. Chrysler could even see legal action if they let that happen.
        • 5 Years Ago
        Seriously?

        Get in line as a debtor with the bankruptcy courts.

        No one wants to give Chrysler money and no one wants them to file bankruptcy.

        Anyone got any better ideas? I wasn't going to buy one of their awful vehicles prior to this, so that's off the table.
      • 5 Years Ago
      I was under the impression the government would back these warrantys.
      • 5 Years Ago
      As a recent,(as of last week)2009 Jeep Wrangler Rubicon with Navigation owner I am not scared, frightened, or trembling in my boots. President Obama basically gave his word that the warranty's will be backed by the full faith and credit of the United States of America. That means the car's are about as safe to buy as a treasury bill! Granted the value of the car's will float and float they will on a down cycle, but the warranty will be backed by the United States. If you people had half a brain you would realize that if they ever want an American automobile industry to survive it would be paramount to back the warranties!

      Fear not Sheepish Bloggers Our Lord and Shepard Profit Obama has spoken.
      Baaa baaa
      OBaaaaMaaaa
        • 5 Years Ago
        LOL. Obama's word is as good as Cheney's. Oops...worse, Cheney keeps his word..he's gonna waterboard you!

        Obama won't be able to keep his primary campaign promise...i.e., close down the detention camps at Guantanamo. News at six...
      • 5 Years Ago
      Must be blow after blow for Chrysler owners...my condolences

      You'd think that a company THAT large would hire people to avoid this kind of mess...but to see the idiots who are sitting at the top, trying to fill their own pockets without a care for the company they're supposed to be in charge of; it's sickening.

      Those greedy bastards should have to pay (some of) the loan that probably made its way into their pockets anyway
      • 5 Years Ago
      So customers could be, not will be stranded without warranty.
      • 5 Years Ago
      No wonder Chrysler is going bankrupt, poeple like Farbod Nourian are suing them because his cousin backed into him in his Jeep.
      • 5 Years Ago
      Wait? Bankruptcy is not a Panacea?

      And bankruptcy screws a bunch of people who don't happen to be Union Workers?

      That must be some alternate world because I was told bankruptcy was the way.
      tpfilm
      • 5 Years Ago
      Government Backed Warranty:

      Thank you for calling GBW Chrysler, how can I help you?

      Yeah, my 2009 Jeep Wrangler won't go into 4Lo.

      What's 4Lo?

      (explanation deleted) for off road use.

      I'm sorry, did you say you take your vehicle off paved roads and destroy the fragile environment, scare little animals, and waste gas and pollute the air for recreational purposes?

      I go off road, yes.

      The new warranty on your vehicle doesn't cover abuse while destroying the Earth. You should trade that fun, multi-purpose vehicle in for the new, USA Green car and leave the Earth a better place, further attempts to drive your vehicle your way will result in fines and sanctions from the Green Police. Thank you for calling and please support ACORN.
        • 5 Years Ago
        @tpfilm
        Haha..."please support ACORN."
        • 5 Years Ago
        @tpfilm
        You're SO funny
      • 5 Years Ago
      I think that if this information (or misinformation, depending how you see it) becomes widespread, Chrysler is headed straight for Chapter 7.
        • 5 Years Ago
        Is that the better part of the book then Chapter 11? Where Harry Potter comes out and waves his magic stick and all the bad things go away? 'Cause I skipped right past that part. Now I guess I have to go back and re-read it...dang it...
      • 5 Years Ago
      ............so....when will this bad news keeps a comin' finally materialize into ME getting an SRT8 on the cheap...like REAL cheap. $10g...take it...we don't want it anymore kinda cheap. ???

      I promise not to drive it so much it pollutes the air...promise.
      • 5 Years Ago
      Wasn't Mopar the very manufacturer that got busted a few years (decades?) ago for their planned obsolescence scheme?
      • 5 Years Ago
      ""look at any car rankings, I mean ANY, and you'll find Chrysler is always at the bottom of the pack if not DEAD LAST for reliability""

      Absolute B.S.

      Chrysler does about average on most models, with some notable standouts like the PT Crusier which Consumer Reports listed for two model years as the most problem-free vehicle ever rated by the membership.

      No rust out problems on the Dodge trucks either, unlike Toyota:

      http://www.tundrasolutions.com/forums/1gen-tundra/127462-tundra-frame-rust-recall-3/
        • 5 Years Ago
        You might want to check your facts. CR lists reliability as a "weakness" for the PT and gives it a below average rating for pretty much all years and models. CR has considered Chrysler a bottom feeder for years. They spoke about it in an article about the Detroit three this year.

        "Many Chrysler vehicles rank at the bottom of our Ratings in their categories, and none currently meet our requirements for being recommended. Even most newer models have been mediocre in our tests and below average in our reliability surveys."
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