General Motors reinstating more than 580 rejected dealerships

GM Dealership Sign

General Motors is preparing to reinstate most of the rejected dealerships that applied for arbitration, sources familiar with the matter said.

General Motors will restore more than 580 of the 1,600 dealerships that filled for arbitration to get their franchises back.

GM plans to contact the affected dealers via letter as soon as next week. GM is close to finishing the process of selecting dealerships to reinstate outside of arbitration, one source said.

The remaining dealerships GM intends to wind down before November, will not be contacted and GM will attemp to settle or arbitrate with them.

Articles that may be related to this one

• February 18, 2010 -- General Motors Co. Calling back 500 Plus workers to build Ecotec Engine
• March 2, 2010 -- Hummer Brand to Fade Away? No Buyer for Hummer Yet.