Report: California dealer group says Chrysler-owned store is illegal

Chrysler put a lot of work into its five-story, factory-owner dealership located in Los Angeles, California. Home to all brands under the Chrysler umbrella, Motor Village is also the first U.S. home for Fiat's return to the states. But not everyone is thrilled about its arrival, and some have made the claim that it's actually illegal.

According to the California New Car Dealers Association, manufacturers are not allowed to operate dealerships within 10 miles of independently owned same-make stores, according to California law. The CNCDA believes that Motor Village principal Howard Drake has no serious monetary investment in the facility, and that Chrysler is simply utilizing his name as a legal loophole. Chrysler, of course, disagrees with the claims and the issue will head to California's New Motor Vehicle Board.

[Source: Automotive News – sub. req. | Image: Charley Gallay/Getty Images for Chrysler]