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Thursday, May 5, 2016

No word from GM for Total Sales and Services

Wednesday, March 10, 2010

A Le Mars auto dealership hasn't heard anything from GM regarding whether or not the business' Chevrolet franchise will be reinstated.

Total Sales and Service is one of hundreds of dealers across the nation that lost GM franchise agreements in the automakers' bankruptcy dealings in May 2009.

In January, along with about 1,100 other dealerships, Total Sales and Service filed for arbitration to reinstate the franchise -- an option made possible by a 2010 law signed by President Barack Obama.

Last week, GM officials said they would offer letters of intent to 661 of those dealerships, informing them GM would reinstate franchises, provided those dealerships meet certain business criteria.

GM officials stated the company reviewed the reinstatement claims filed by dealerships with the American Arbitration Association.

GM chose to offer letters of intent to the 661 because it would not have enough time to negotiate with all 1,100 dealerships within four months, the time frame set by the federal government, according to the Associated Press.

The arbitration was slated to be final by June 14.

Dealerships who didn't receive a letter of intent can continue with the arbitration process.

"We would like to not arbitrate with anyone. We'd like to be able to reach settlements with everyone," a GM spokeswoman said via phone Tuesday. "If we can't, going to arbitration is an option."

The names of the 661 dealerships to which GM sent letters of intent has not been released.

"We didn't identify the dealerships that received wind-down agreements last year, so we're not identifying the dealerships that are getting letters of intent now," the GM spokeswoman said.

Those dealerships have 10 days to review, sign and return it to the automaker.

Then the dealerships have 60 days to meet the terms in the letters of intent.

"If that happens, and we're confident that for the large majority it will, they'll be rejoining our dealer network," the GM spokeswoman said.

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