He had hoped for an eleventh-hour reprieve from a U.S. Bankruptcy Court judge, but Charles W. “Chuck” Tator Jr. was unplugged from Chrysler L.L.C.”™S dealership network this month. Tator”™s Dodge, the South Salem franchise started by his grandfather 95 years ago, was dropped by the reorganizing automaker, though Tator plans to stay in business.
Tator said his attorney in the bankruptcy case asked in court a few days before the scheduled closings that dealers be allowed to stay open for 90 days if the delay would not be a financial burden to the automaker. Though a Chrysler representative said the 90-day extension would not be a burden, Judge Arthur J. Gonzalez on June 9 ordered the dealers”™ shutdown to proceed as scheduled that day.
“I”™m dead in the water,” Tator said last week at his renamed Tator”™s Garage. “They dissolved my original contract. They”™ve literally unplugged me completely,” blocking access to Chrysler”™s computer system, cancelling his parts orders already in the system and notifying vendors to no longer supply him as a Dodge dealer.
“I”™m out thousands of dollars for what they did,” Tator said. The Chrysler wi-Tech vehicle service diagnostics system for which he recently spent $4,000 “is collecting dust.”
Tator still held some hope that Congress might reverse Gonzalez”™s approval of Chrysler”™s plan to close about 800 dealerships prior to its recent merger with Fiat Group as the newly formed Chrysler Group L.L.C. One day before the judge”™s decision in Manhattan, U.S. Rep. John Hall, D-19th, co-sponsored a House bill that prevents automakers in which the federal government has an ownership or lender interest from closing dealers. The bill also protects dealers”™ rights to recourse under state franchise laws that have not applied in the Chrysler bankruptcy.
Though the legislation, titled the Automobile Dealer Economic Rights Restoration Act, would not nullify Chrysler”™s deal with Fiat, it would force both Chrysler and General Motors Corp. to restore franchise agreements in effect before their bankruptcy cases if requested by dealers.
A spokesman for the House Committee on Financial Services, where the auto dealers bill was sent, last week said there is no specific timeline to move the bill.
“It”™s kind of wait and see at this point,” Tator said. “My fingers are crossed. But they”™ve been stringing me along for months. I”™m pretty worn out.”
The third-generation Dodge dealer has contacted Chrysler about becoming a parts and service center authorized to do auto warranty work for customers. “We”™re staying in business,” he said. “We”™re not going anywhere.”