Cases & Deals

GM defends dealership arbitrations

Client(s) General Motors Company

Jones Day assisted General Motors and other GM firms in coordinating national defense efforts in hundreds of arbitrations seeking the claimed reinstatement or addition to the dealer network of the new company, General Motors LLC ("GM"). In bankruptcy proceedings filed in the United States Bankruptcy Court for the Southern District of New York, the Bankruptcy Court approved restructuring the dealer network as part of the sale of assets to a new company now known as GM. After the dealer networking changes were approved by the Bankruptcy Court, Congress passed a new law allowing certain non-retained dealers to file requests for binding arbitration seeking to be reinstated or added to the dealer network of the new company. Over 1,000 arbitration demands were filed against GM and hundreds of cases were scheduled for arbitration under the expedited statutory timetables imposed by Congress, many of which proceeded to trial before arbitrators appointed by the American Arbitration Association.

Jones Day was retained by GM in conjunction with other firms to help coordinate the central components of GM's national defense efforts. Working with GM and other GM counsel, Jones Day assisted in preparing GM witnesses for trial, drafted numerous expedited briefs and pre-hearing disclosures, prepared and defended GM executives in telephonic cross-examinations, assisted in preparing expert witness affidavits, and helped coordinate the preparation of exhibits nationwide. In addition to assisting with defense coordination, Jones Day was also designated lead counsel in more than 60 arbitrations filed in six different states.