Chrysler Wins Another Arbitration
AUBURN HILLS, Mich. — Chrysler Group saw the ruling turn in its favor in yet another dealer arbitration case, this time notching a victory against a store in Texas.
Manuel Dodge in Richardson, Texas, was one of the hordes of dealers filing for arbitration after it was rejected by the automaker.
After arbitration was held May 5 through May 7 in Dallas, apparently the arbitrator decided in favor of Chrysler, which released a statement this week regarding the victory.
"Chrysler Group is pleased the arbitrator agreed with the difficult dealer decisions made during the bankruptcy proceedings," officials noted. "This was an important decision in that the arbitrator essentially decided that no dealer in the market is better than diluting Chrysler Group's dealer network with a poor performing dealer."
They continued: "There is no denying that Chrysler Group's and the public's economic interests are inextricably linked. Chrysler Group not only employed sound business judgment but is acting in the greater public interest by protecting the dealer network that was created as a result of the bankruptcy proceedings."
Looking forward, Chrysler argues that its current network is well-positioned for dealers' success.
"We are confident we now have the dealer network in place that allows dealers to be successful, which will result in greater investment in their communities, employees and customers and, ultimately will enable the company to repay the U.S. Taxpayers in a timely manner," officials stated.
Numerous reports indicate that only one dealership — the Deland Dodge Kia store in Deland, Fla. — has won its arbitration hearing against the automaker so far.