BSM Overcomes Attempt by Hyundai to Throw Out Transfer Turn-down Challenge

The Firm is representing a Hyundai dealer who has challenged Hyundai Motor America’s (HMA) denial of the sale of its dealership as unreasonable and unfair under the provisions of Washington law.  HMA filed a motion for summary judgment asking the Administrative Law Judge to throw the case out because the buy-sell documentation had expired and no extension or new agreement had been entered into between the buyer and seller.  

The Court agreed with BSM that the claim against HMA for violation of Washington law was still viable whether or not the deal is still alive. A ruling otherwise would have allowed HMA to avoid answering for its unreasonable turn-down of the buy-sell as submitted and would have set bad precedent for future cases.  An OEM cannot chase a buyer away by unreasonably turning down a transfer request and then argue that the selling dealer cannot challenge the turn-down because there is no longer an active buyer.   BSM attorneys are now preparing for trial in the case.