The economic crisis is bringing drastic changes to the motor vehicle industry. Brand elimination, dealer consolidation, manufacturer bankruptcies and dealer bankruptcies are already in process or are imminent.
The merger or acquisition of a franchisor or supplier is usually a matter of great concern for existing franchisees or dealers. It may mean that two competing systems are now going to exist as one and raises questions.
At Dady & Gardner, we are regularly confronted by franchisor or supplier conduct that does not necessarily fit the mold of historical wrongdoing. We are, nonetheless, often reminded that if a practice appears to be unfair, it is likely to be found to be unlawful.