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Former Chrysler dealers could reopen under appeals court ruling

Years after the bankruptcies and subsequent bailouts of Chrysler (now FCA) and General Motors, the automotive industry is still seeing legal decisions about them come through the courts. The latest ruling from a US appeals court has given 4 of the 789 dealers that Chrysler closed in its Chapter 11 process one less hurdle towards reopening. Following the bankruptcy, 105 of the shuttered dealers went through an arbitration process in hopes of reopening, and 32 won their arguments. However, a victory in that undertaking didn't necessarily mean that the stores could reestablish themselves. For these three showrooms in Michigan and one in Las Vegas, state laws allowed nearby competitors from the same automaker to stand in the way of restarting, according to Automotive News. This problem brought yet another lawsuit, and a US district court found that the arbitration decisions did not overrule state laws. The latest appeals court ruling overturned that decision. However, as with many legal proceedings, the process for reopening for these dealers still isn't exactly easy. The latest decision only covers the nearby dealers' ability to protest; it doesn't mandate FCA actually to open the stores again. According to a statement from Michael Palese of FCA legal communications to Automotive News, the ruling, "did not provide for reinstatement of the dealers who prevailed in arbitration, but only gave them a right to a 'customary and usual' letter of intent." It means for these showrooms to start selling again, now they need to work things out with Chrysler's new owner.

Chrysler Recalls 350K Vehicles To Fix Ignition Switches

Chrysler is recalling nearly 350,000 cars and SUVs to fix ignition switches that could unexpectedly shut off the engines. The recall covers 2008 Jeep Commander and Grand Cherokee SUVs, Chrysler 300 and Dodge Charger sedans, and Dodge Magnum wagons. All were built before May 12, 2008. Chrysler says the ignitions may not fully return to the "on" position after being started. The switches could move to "accessory" or "off." That could shut off the engine and knock out power-assisted steering and other features. Chrysler knows of one crash and no injuries from the problem. It's telling people to use the key alone in the ignition and confirm that switches have returned to "on" after starting their cars. Chrysler is investigating the cause. Customers will be notified when repairs are ready. Related Gallery The Trucks And SUVs Consumers Are Liking Most View 11 Photos

Is it time for American carmakers to give up on dual-clutch transmissions? [w/poll]

Last week, in the midst of Detroit's first days seeking relief in Chapter 9 of the bankruptcy code, Automotive News contributor Larry P. Vellequette penned an editorial suggesting that American car companies raise the white flag on dual clutch transmissions and give up on trying to persuade Americans to buy cars fitted with them. Why? Because, Vellequette says, like CVT transmissions, they "just don't sound right or feel right to American drivers." (Note: In the article, it's not clear if Vellequette is arguing against wet-clutch and dry-clutch DCTs or just dry-clutch DCTs, which is what Ford and Chrysler use.) The article goes on to state that Ford and Chrysler have experimented with DCTs and that both consumers and the automotive press haven't exactly given them glowing reviews, despite their quicker shifts and increased fuel efficiency potential compared to torque-converter automatic transmissions.
Autoblog staffers who weighed in on the relevance of DCTs in American cars generally disagreed with the blanket nature of Vellequette's statement that they don't sound or feel right, but admit that their lack of refinement compared to traditional automatics can be an issue for consumers. That's particularly true in workaday cars like the Ford Focus and Dodge Dart, both of which have come in for criticism in reviews and owner surveys. From where we sit, the higher-performance orientation of such transmissions doesn't always meld as well with the marching orders of everyday commuters (particularly if drivers haven't been educated as to the transmission's benefits and tradeoffs), and in models not fitted with paddle shifters, it's particularly hard for drivers to use a DCT to its best advantage.
Finally, we also note that DCT tuning is very much an evolving science. For instance, Autoblog editors who objected to dual-clutch tuning in the Dart have more recently found the technology agreeable in the Fiat 500L. Practice makes perfect - or at least more acceptable.