General Motors has entered into an agreement with Penske Automotive Group, the nation’s second-biggest automobile dealer, to sell Saturn to Penske for an undisclosed amount. In February GM had announced its intention to shut Saturn by 2012 if no buyer could be found. It subsequently announced that it would discontinue Saturn by the end of 2009. Under the terms of the agreement Penske will buy GM’s inventory of Saturn cars together with acquiring its parts inventory and the right to sell other vehicles through the network of Saturn dealerships. The deal would save approximately 13,000 jobs at Saturn and its 350 dealerships. Penske, the second-biggest dealership group in sales owns 310 franchises around the world. It is also the sole distributor for Daimler’s Smart small cars.
Think that your Saturn car, in California, may be a lemon. Call the Law Offices of Delsack & Associates at 888-395-3666 (888-Ex-Lemon) for a free consulation and review. www.calemonlaw.com
The government has stated that workers’ pensions and health care benefits would be transferred to the new GM company and remain in force. Retiree health care benefits for nonunion employees could, however, be terminated. Terminated employees older than 65 would subsequently be covered by Medicare.
Driving a GM lemon and concerned how the bankruptcy might impact on your case. Call the Law Offices of Delsack and Associates at 888-395-3666 (888 Ex-Lemon) and find out your rights.
GM employees who are not union members may be laid off. A judge may also approve pay cuts for GM salaried employees which it can do as if it were outside the bankruptcy.
If you think you are driving a GM lemon in California, please call the Law Offices of Delsack and Associates for a free consultation and review. You can reach them at 888-Ex-Lemon (888-395-3666).
Whereas Chrysler had entered into an agreement with Fiat before its case began in the bankruptcy court, General Motors is attempting to reorganize without such prior arrangements, with the help of financing from the treasury, which is providing $30 billion to allow the company to continue to operate while it is in bankruptcy. This is in addition to the $20 billion previously given to GM.
Think your vehicle may be a lemon and you want to know the impact a Chrysler or GM bankruptcy may have on your potential lemon law case? Call the Law Offices of Delsack & Associates for a free consultation and find out. 888-Ex-Lemon (888-395-3666).
The company is demanding that these dealerships close by the end of 2010. Many of the dealers scheduled to close are attempting to block the closure action which will then leave it to the bankruptcy judge to decide. GM, in the interim, will continue to provide inventory to its dealers.
GM has announced that in addition to the governments’ standing behind GM’s warranties, it would also honor all warranties and recall notices.
Living in California and concerned that your GM vehicle may be a lemon? Call our offices for a free consultation at 888-Ex-Lemon (888-395-3666).
Yes, it is expected that GM will honor its contract with the U.A.W., whose members approved changes last week.
If you have any questions about how the GM Bankruptcy may affect your California Lemon Law case, please call the Law Offices of Delsack & Associates, LLC at 888-Ex-Lemon (888-395-3666).
The government has announced that supplier contracts, which normally could be canceled in bankruptcy, would remain in force and has established a new program to provide help to suppliers. Eventually General Motors will ask the approval of the court to allow it to end contracts with some suppliers who, while they may challenge the cancellations, will most likely have to reach some kind of a settlement with GM.