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Deal Could Bring Some General Motors Dealerships Back

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GM Vice Chairman Bob Lutz gives the keynote address at the LA Auto show in Los Angeles December 2, 2009. REUTERS/Phil McCarten
GM Vice Chairman Bob Lutz gives the keynote address at the LA Auto show in Los Angeles December 2, 2009. REUTERS/Phil McCarten

WASHINGTON D.C. -- General Motors has agreed to reconsider plans to close some dealerships, as part of a compromise to stop legislation that would force GM to keep some of them open. 

In July, the U.S. House passed a bill to force GM to reopen the dealerships, but the Senate hasn't yet voted on the measure.

GM Spokesman Greg Martin says they have agreed to binding arbitration.

But "Automotive News" Editor Keith Crane doubts many will be reinstated. He says most of them no longer exist, and it would create chaos for the automaker to try and bring them back from the dead.

GM had planned to reduce its six-thousand dealership network to 36-hundred by the Fall of 2010.

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