May 18, 2009

Aaron Jacoby quoted in Los Angeles Times article on dealership closings consumer impact

1 min

According to a May 15, 2009 article in the Los Angeles Times, the nationwide closing of as many as 2,000 Chrysler and GM dealerships could mean customers will face problems over warranty coverage, trade-ins or other matters.

"When all of these relationships are disrupted, you can't help but have some elements of chaos, and some practical problems occur," said Aaron Jacoby a partner in Venable's LA office who represents car dealers.

GM and Chrysler have pledged to stand behind manufacturer warranties and extended warranties where backed by the manufacturer, though dealer-promised special incentives will likely not be honored if that dealership closes.