GM and Chrysler to meet with dealer groups this Wednesday

Article by Christian Andrei, on August 26, 2010

After months of delay, the first auto dealer talks have been confirmed to begin on Sept. 30. A legislation proposal had been brought that would have reversed termination of 789 Chrysler dealerships and stopped GM's plans to close 1,350 stores by October 2010. The legislation passed the House but had stalled in the Senate.

Hence, there arose a need for these talks to determine an alternative. There were numerous reasons for delays ranging from difficulty from scheduling so many parties, wrangling between dealer groups, as well as the reluctance of car companies to meet with all dealer groups involved. Indeed, it is a huge group to try to get together.

Participating parties include General Motors Co., Chrysler Group, dealer groups including the National Automobile Dealers Association, key lawmakers and Obama administration officials. 

The talks will address a proposal by dealer groups to reinstate some dealers, allow others to submit appeals to arbitration and offer cash compensation to rejected dealerships.

Katie Grant, a spokeswoman for House Majority Leader Steny Hoyer, D-Md., and Max Gleischman, a spokesman for Senate Majority Whip Richard Durbin, D-Ill, confirmed the meeting.

Topics: gm, chrysler, dealer

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