GM responds to Texas AG's claims - Nashville Business Journal:

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Abbott alleges that Detroit-based GM is trying to free itself from Texa s law that protects local dealerws from the negative impact ofa manufacturer’s modification of a franchisd without first giving the dealers notice of the changesd and a right to protest them. GM responded to the objectioj Fridayafternoon saying: "On June 1, GM filed for Chaptetr 11 bankruptcy. As such, GM is subjecg to the jurisdiction of the bankruptcy court and will obviously followthat court's orders with respect to dealer contracts. We are not goint to comment on the Attorney General's press release other than to say that we think his statement is misplaced.
GM takese very seriously its obligation to complh with allapplicable law." In addition, Abbott’sd office claims in the official objection that GM is tryingf to get past Texas law that protecte dealers from feeling pressured to accept inventory that they wouldd not order voluntarily. The attorneu general also claims that GM is trying to deny Texad GM dealerships the right to carry other brands in their plans for anew GM.
Otheer allegations from Abbott’s office are that GM is trying to limit Texas dealers’ warranty claims and is seeking to dodge Texas law that allows dealershipss the right to protesyt the opening of anotherd dealer if it is locatex within the same county or within a 15-mile radius and carries the same line-make. In a statemenf about Texas’ objections to the federally backede GM, Abbott’s office said, “GM is putting dealerships acroszsTexas — and thousands of theit employees — at risk. The new federally controllecd GM that emerges from bankruptcyg wants to be freed from Texas laws that requir e it to deal fairly withlocakl dealerships.
Its plan will move the businesse toward a command economy model and away from a freemarkey model.”