Eight General Motors dealers are being sued by the automaker, which is seeking to revoke their franchises and purchase the dealerships assets in the wake of poor 2011 sales. According to Automotive News, the dealers are among the 700 who filed for arbitration when GM targeted them for closure during its 2009 bankruptcy.
Coming out of bankruptcy with four fewer brands, General Motors wants to help its dealers present a fresh face to the public. So it's offering dealers a deal of its own: remodel your dealerships and GM will help pay for it. Ah, but just like a clever salesman, GM has a few conditions on its offer. For one, any dealer in the business of selling new cars other than GM models must separate them from The General's products. Also, while the r
Holdiman Motor terminated dealer plea - click above image to watch the video
Rock, meet hard place. With General Motors handed a directive from the White House to be ultra-aggressive in its restructuring in order to secure more government loans, the automaker is making cuts everywhere and dealers are far from immune. As reported previously, GM's plan to shrink its retailers from nearly 6,300 to 3,700 by the end of 2010 is going to be as painful as a Civil War