General Motors has filed a new lawsuit alleging a breach of an exclusive-use agreement with Grossinger Auto Group. AutoCanada purchased the dealer group based in the Chicago area, and Grossinger is since out-of-business.
The contract, signed in 2008 between GM and Grossinger, stated for a 25-year exclusivity period Grossinger would “actively and continuously conduct dealership operations for the existing model lines at the dealership premises.” With AutoCanada’s purchase of Grossinger, the now-defunct group failed to transfer the exclusivity agreement.
Now, GM demands $4.5 billion in brand-related losses in the lawsuit. Automotive News reached out for comment but did not hear back from any party involved in the suit. AutoCanada agreed to purchase nine of Grossinger’s 10 stores last October and closed the deal this past March.