Canadian GM Dealers Sue GM

by Cammy Corrigan

Published: November 30th, 2009

North of your border (not mine), GM dealers are slightly annoyed. In fact, they’re fuming. Topnews.us reports that Bob Slessor, owner of a dealership for GM has sued the firm after he was informed that his dealership would be closed before the end of 2009. And don’t think he’s the only one, 12 dealers are submitting multi million dollar lawsuits against the automotive arm of the U.S government. The lawsuits hinge on the way GM approached these dealer closures. Bob Slessor claim that GM used “high handed and oppressive” tactics. The plaintiffs are looking for a permanent injunction against their terminations and $1.5 million in punitive damages. The report didn’t state whether that figure was in U.S or Canadian dollars.

The statement to the court read “GM deliberately created an atmosphere of fear and oppression and denied the plaintiffs the opportunity to receive fair and meaningful legal advice and financial consultation to permit them to evaluate the purported termination”, but this still has yet to be proved by the plaintiffs. The claim continues “to the knowledge of GM, in every case, after payment of employee severance and other necessary close-down costs, the sum offered by GM provided no compensation at all to the plaintiffs”. Naturally, GM hasn’t commented on the case. GM spokesperson Tony LaRocca was quoted as saying, “We don’t comment on matters before the court.”.

#Bailout #Canada #Dealer #DealerCull #GM

Cammy Corrigan

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3 comments

86er on Nov 30, 2009
The report didn’t state whether that figure was in U.S or Canadian dollars. It's pretty much the same. :)

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Geo. Levecque on Nov 30, 2009

The amount is in Canadian funds and as the USA dollar is on a world wide decline, the Canadian dollar is at this writing almost equal and according to Bank people it soon will be higher than the US dollar even though the current Federal government in Ottawa would prefer it to be lower to help exports, our dollar is a "Petro dollar" due to are large reserves of Oil and Natural Gas and Hydro Electric and so it goes.

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Steven02 on Nov 30, 2009

I thought only Americans were litigations happy. Well, I don't know how bankruptcy will effect this since it is Canadians who are suing. Anyone have an idea? From what I have read though, they can reapply for a new franchise.

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