Chrysler versus the state of Colorado
Chrysler is suing the state of Colorado over new Auto Dealers Law, the company believes to be unconstitutional. Chrysler filed its legal complaint earlier this month in the southern district court of New York, in which it contests that previously terminated dealers should not be given first option to purchase franchises closed as a result of the car giant's bankruptcy proceedings in 2009. Chrysler closed 14 dealerships in Colorado in 2009. The case is the subject of intense media coverage given that a subsequent bill, sponsored by a number of Colorado Senators, advocates giving the Colorado Motor Vehicle Dealer Board the authority to impose penalties of up to $25,000 per day on any manufacturer who fails to adhere to the new state legislation.
