GM Parties on Government Money

Literally weeks before a government deadline to avoid bankruptcy, GM threw a Resort Getaway party for 500 of its biggest customers. Well, it's good to see that last billion dollar bailout is being put to good use (sarcasm intended).

CBS' KPHO television station reported that GM paid for airfare and treated 500 guests to a two night stay at the Phoenix lux resort Sheraton Wild Horse Pass Resort & Spa.

The GM guests work for rental car companies, government agencies and businesses that buy GM vehicles. To help them get around during their stay, GM reportedly shipped in 150 vehicles for them to use.

But not all the sun, fun, games, golf, and spa time is on GM. Apparently golf and spa costs aren't being covered by GM. Well, that's certainly reasonable, folks (more sarcasm intended).

Local tv station CBS 5 News wanted to get on the property to ask more questions about the event but the resort would not allow media inside. Here's a link to the station's news piece about it:

GM bleeds and borrows and then parties on taxpayer loans. And then DFO Ray Young said GM will need almost $3 billion more of government loan money now and probably $9 billion more during the rest of the year. It makes you wonder what these bozo's are thinking.

"We cannot cut costs fast enough to offset that revenue loss," Young is reported to have said. "People are concerned about bankruptcy, and that's the reason why we want to avoid it if at all possible." He might as well have added, "cutting those greens fees and spa treatments really helped, too."

Well, there's certainly nothing like a good party to chase away those bankruptcy blues, that's for sure.

Detroit auto workers need help and that means the company needs help, but luxury weekend resort time on the government tab is not a good PR move. It doesn't take a genuis to realize it either. Stunts like this are a good example of why GM is sliding toward bankruptcy and more and more likely to land smack dab in the middle of a bankruptcy courtroom.

Meanwhile, if you've got a GM product and it needs warranty repair work, you better get it in the shop quick. Some dealers are already reported to be refusing to do warranty work out of fear that they won't get reimbursed for it by the factory. Gee, I guess those resort weekends can get expensive.

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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.