Fiat has said that there's no better than a 50-50 chance they will work out a deal with Chrysler, which only has until the end of the month to get the deal done. Apparently Fiat has put some hard terms on the table that Chrysler may not be able to meet, including forcing some union concessions and participation that may be impossible.
Fiat has said that if their terms aren't met then they will walk out. Can you spell "bankruptcy" Chrysler?
And GM is having its troubles too, as the clock ticks toward its deadline. GM execs are openly talking about how to structure the bankruptcy now and even the "suits in the tower" are openly saying they are pessimistic about being able to avoid bankruptcy.
Crain, which knows Detroit's car makers better than anyone, reportedly has said that Chrysler is going to file bankruptcy in the coming weeks and that GM will follow before the end of May. Maybe. GM's stock price sure isn't anything to get excited about.
And Saturn? It looks to be going down the Chrysler road to outside ownership. Turns out that an investor group called Telesto Ventures is making a bid to buy Saturn from GM, and we all know how well that went for Chrysler when Daimler came to town. As part of the deal, they are reported to want GM to work with them to distribute vehicles for the next few years before they shift production elsewhere, reportedly overseas. Reportedly they intend to use the Saturn network to ultimately distribute cars and trucks made entirely by builders overseas. At the same time, GM is talking with its Saturn dealers about spinning Saturn off into an independent company if they have to, and if it'll work. Who knows where that's going . . . but Saturn's 384 US dealers are undoubtedly sweating.
Folks, if you've got a Chrysler or General Motors product with problems, now is the time to get it back to the dealer for warranty-covered repair work. If you've got a dispute with Chrysler or GM, or a lawsuit, you probably ought to think real hard about trying to get it settled and get money in your pocket while there is still money to be had.
Got a lemon car or lemon truck? Don't wait to get rid of it. If the dealer or manufacturer won't buy it back, call us. We've been getting rid of lemons since 1978. It's what we do.
ABOUT THE AUTHOR
Known nationwide as a leading Lemon Law attorney, Ronald L. Burdge has represented literally thousands of consumers in "lemon" lawsuits and actively co-counsels and coaches other Consumer Law attorneys. From 2005 through 2018, attorney Ronald L. Burdge has been named as the only Lemon Law Ohio Super Lawyer by Law and Politics magazine and Thomson Reuters Corp., Professional Division. Burdge restricts his practice to Lemon Law and Consumer Law cases. The Ohio Super Lawyer results are published annually in the January issue of Cincinnati Magazine. Ronald L. Burdge was named Consumer Law Trial Lawyer of the Year 2004 by the National Association of Consumer Advocates, the nation's largest organization of consumer law private and government attorneys. "Your impact on the auto industry has been magnified many times over because of the trail you blazed for others," stated NACA's Executive Director, Will Ogburn. Burdge has represented thousands of consumers in Ohio, Kentucky and elsewhere since 1978 and is a frequent lecturer to national, state and local Bar Associations and Judicial organizations. Burdge is admitted to Ohio's state and federal courts, Kentucky's state courts, and Indiana's federal courts. Other court admissions are on a "pro hac" temporary, case by cases basis.