agent Entrepreneur logo
MenuMENU
SearchSEARCH

Chrysler Offers to Reinstate 86 Closed Dealerships

March 27, 2010
2 min to read


Chrysler Group LLC is offering to reinstate 86 of the 789 dealers it shut down last year, the automaker confirmed Friday. But how many actually resume business will depend on the terms, some dealers say. Chrysler said "letters of intent" are being sent to 50 dealers who are appealing their terminations under a federal arbitration law, and who are in locations that need dealerships, The Detroit News reported. The company previously notified 36 dealers whose franchises were eliminated last summer, offering to let them reopen if they meet certain requirements. All of those discussions have led to contracts. The latest batch of 50 letters went to dealers among the roughly 400 that applied for arbitration to reverse their closings. Many of the 36 dealers who already received letters, however, did not seek arbitration: Some agreements were reached before a law was enacted in December that gave dealers a route to appeal. Recruitment in that group began shortly after Chrysler closed a quarter of its dealers in June as part of its restructuring while under bankruptcy protection. The big question is what demands Chrysler has placed on the revival candidates, beyond the normal requirements: location, facilities and financing for inventory and working capital. Those conditions weren't immediately known Friday. One stickler could be what is known as site control, where Chrysler can veto a dealer's sale of property for 30 years. That tactic would prevent a dealer from selling to a competitor, for example, said Tammy Darvish, a Chrysler dealer in Silver Spring, Md., and leader of the lobby group Committee to Restore Dealer Rights.

More Industry

Photo of a retriever dog looking out of an open SUV window with a yellow Peugeot headrest on the top of the window below it
Industryby Hannah MitchellJuly 16, 2026

Gone to the Dogs

A Stellantis brand decided to have some fun with one of its SUVs’ design to address growing emphasis on family pets.

Read More →
Foreign Cars Italia dealership store in front of sunset
Industryby Hannah MitchellJuly 2, 2026

Luxe N.C. Dealerships Change Hands

A collection of Italian and English brand franchises were handed off to the owner’s friend in the business and include the Carolinas’ only Ferrari retail stores.

Read More →
inside of car, person with hands on black steering wheel
Industryby Lauren LawrenceJuly 2, 2026

Exposure Drives Interest in Chinese Cars

At a recent demonstration, consumers had the chance to ride in a Chinese-branded vehicle, a firsthand experience that improved their perceptions and purchase intent.

Read More →
Ad Loading...
Woman's hands holding an wallet empty of cash
Industryby Hannah MitchellJuly 1, 2026

Automotive Consumers Sink Further in Debt

Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.

Read More →
Rob Mancuso sitting in a chair on stage
Industryby Hannah MitchellJuly 1, 2026

Agent Advocate

Rob Mancuso, who comes from a long line of auto dealers, values general agents’ place in the industry and makes a case for them taking an even bigger seat at the table.

Read More →
Photo of a touchscreen on a car's dashboard
Industryby Hannah MitchellJune 25, 2026

Driving Under Distraction

Though consumers gave higher marks to new vehicles in JD Power’s most recent initial-quality poll, high-tech interference worsened, pointing to craving for simplicity.

Read More →
Ad Loading...
split background green and blue. 2019 to 2025 with car going from starting location to end point. $37,310 and $48,402. Agent Entrepreneur logo
Industryby Lauren LawrenceJune 25, 2026

Affordable New Cars a Thing of the Past

More than one out of five new vehicles sell for more than $60,000, according to Edmunds. That's up 7% compared to prepandemic 2019.

Read More →
Photo of multiple new SUVs on a car dealership lot
Industryby Hannah MitchellJune 22, 2026

State Follows Federal Warning on Auto Ads

The Massachusetts attorney general cautioned the state’s automotive dealers to be upfront with the consuming public about their vehicle prices or risk punishment.

Read More →
Gas pumps.
Industryby Lauren LawrenceJune 15, 2026

Consumer Outlook on the Rise

Younger generations are feeling more positive about their financial futures and current affordability pressures than older generations, according to recent TransUnion data.

Read More →
Ad Loading...
Group photo of men outside storefront.
Industryby Hannah MitchellMay 28, 2026

Pennsylvania Dealership Under New Retailers

The sale of the Chrysler Dodge Jeep Ram store puts a family auto group on a leaner path as first-time dealers take the helm.

Read More →
Ad Loading...