We’re continuing our Detroit-themed posts today, with this one about auto bailouts and takings.
We generally don’t post trial court decisions, preferring to wait until we have a published opinion from a court of appeals. But from time to time, we have made exceptions, like here, where the counsel involved are well-known and the issue looks like one that might eventually go up the chain, and indeed has once already.
So it is in Colonial Chevrolet Co., Inc. v. United States, No. 10-647C (Sep. 9, 2015), in which the Court of Federal Claims denied the government’s motion to dismiss a takings claim. The plaintiffs are (former) General Motors and Chrysler dealers whose dealership contracts were sloughed off as part of the $38 billion bailout of the auto manufacturers. As part of the deal, the companies were required to cancel many of their franchise agreements, “forcing the dealerships to close.” According to the plaintiffs, “Chrysler
Continue Reading CFC: Auto Bailout Could Have Resulted In A Taking Of Dealerships’ Contracts
