Text Version
RSS Feeds
Home Forum Photos Features Newsletter Archive Employment
About US Help Site Map
SEARCH   About US FAQ Site Map Site News
  -Text Version
  -RSS Feeds
  -News Archive
  -Give us feedback
  -Voices of Readers
  -Online community
  -China Biz info
  What's new
Texas files objection to GM dealership contracts
+ -
14:37, June 13, 2009

 Comment  Tell A Friend
 Print Format  Save Article
The attorney general of U.S. state of Texas Friday filed an objection in federal bankruptcy court claiming that General Motor (GM) is trying to force car dealer into contracts that violate Texas law.

"In an unprecedented move, GM -- which will be majority owned by the federal government -- claims that states' rights and states' laws that protect dealerships can be ignored at GM's choosing,” Attorney General Greg Abbott was quoted by newspaper Dallas Morning News as saying.

Abbott alleged in a statement that the GM contracts free itself from Texas law limiting GM'sability to dictate that a franchise be modified or terminated, deny Texas dealers' legal rights to sell other brands and force them to order new GM cars even if they do not believe the vehicles will sell.

Other allegations are that GM is trying to limit Texas dealers' warranty claims and is seeking to dodge Texas law that allows dealers to protest the opening of another dealer if it is located within the same county or within a 15-mile radius and carries the same line-make.

The Detroit-based company is rushing through its Chapter 11 bankruptcy filling. According to the Texas Automobile Dealers Association, there are 415 franchised GM dealers that employ 27,000 people in Texas.


  Your Message:   Most Commented:
Controversy over China's first sex-theme park
Former French diplomat says no to "China threat"
China slams U.S. foreign affairs bill proposal, urges deletion
Congress wins election in India
China slams Clinton's June 4 comments

|About Peopledaily.com.cn | Advertise on site | Contact us | Site map | Job offer|
Copyright by People's Daily Online, All Rights Reserved