tag:blogger.com,1999:blog-30213905.post1492094767779090015..comments2023-12-23T03:16:36.014-05:00Comments on Robert Hansen's Blog: How Does Closing Dealers Help the Auto Companies?Robert G. Hansenhttp://www.blogger.com/profile/08922339441309144396noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-30213905.post-26571506227071241272009-06-09T14:49:47.255-05:002009-06-09T14:49:47.255-05:00I wondered the same. I recall that state laws pro...I wondered the same. I recall that state laws provide considerable protection to franchisees (such as auto dealers). These may include heavy exit penalties for the franchisor (eg, GM). GM may make payments to dealers -- I can think of cooperative advertising and perhaps subsidies to provide maintenance and repair service (which a dealer might independently prefer not to provide). Going through the bankruptcy process might allow GM to circumvent the state franchise laws.Ivan Pngnoreply@blogger.com