Could your local GM or Chrysler dealer keep their doors open despite canceled franchise agreements?
More than half of the auto dealers Chrysler and General Motors decided to shutter in May have filed notice they will appeal and try to regain their business.
The American Arbitration Association says around 1,550 Chrysler and GM dealers have filed for arbitration, as of Tuesday. Around 1,100 of 2,000 eligible General Motors dealers filed to appeal. That's around 55 percent of the now-defunct franchises. Ohio and Illinois have filed the most appeals, at 116 and 106 respectively.
General Motors put 1,300 dealers on notice in May that they would be closed in October 2010. Another 700 dealers are scheduled for partial closure, meaning that one of the dealer's multiple GM brand franchises is slated for a shut down.
Chrysler dealers are also fighting to regain their businesses. Of the manufacturer's 789 terminated dealers, 418 have filed for arbitration, or around 53 percent.
Chrysler gave its dealers just 30 days to shut down, which means that all 789 dealers lost their franchises eight months ago. If the dealers are reinstated, they'll need to gear up from a standstill.
Congress has mandated that the arbitration be completed by June 14.
Local GM, Chrysler dealers fight to stay open