Car dealer sues political heavies
Bossier Country, a Chrysler, Dodge, Jeep and Chevrolet automobile dealership in Fairfield, takes on some heavy hitters in a lawsuit filed in Freestone county 87th District Court over a terminated business deal.
The Fairfield dealer claims inside governmental and business information botched a sale of its Waxahachie Dodge dealership to RLJ-McLarty-Landers Automotive Group of Little Rock, Ark., last year.
Bossier Country and Bossier Dodge of Waxahachie are owned by Scott Bossier and Randy Pretzer of Fairfield.
RLJ-McLarty-Landers is owned by Robert Johnson, Thomas “Mack” McLarty and Steve Landers. The group owns 16 automobile dealerships and 36 franchises in seven states, including Texas.
Johnson is founder of Black Entertainment Television, McLarty is former White House chief of staff under President Bill Clinton and Landers is a veteran of the automotive business.
At issue is the sale of BP Automotive, dba Bossier Dodge in Waxahachie, to RLJ-McLarty-Landers which was, the suit contends, delayed for months until it fell through.
During the delay, Chrysler Corporation received a $4 billion federal government loan, filed bankruptcy and terminated franchise agreements with 789 dealers across the United States.
The suit seeks damages from the defendants’ alleged breaches of an asset purchase agreement, as well as an alleged unlawful interference with Bossier’s franchise agreements with Chrysler.
Bossier contends that the Arkansas partnership delayed the transaction because it improperly obtained inside information from Chrysler and/or the federal government that the Waxahachie Dodge franchise would be terminated.
In addition, the action claims that termination of the Bossier Dodge franchise was orchestrated through “secret back-channel” negotiations among the defendants, Chrysler and/or federal officials and the federal Automotive Task Force.
Also claimed is that the alleged interference is part of a larger pattern of the defendants’ use of “powerful political connections” to eliminate competition.
Negotiations to sell Bossier Dodge to RLJMcLarty Landers started in late 2008, with letters of intent stipulating that the defendants would pay $230,000 for assets and a non compete agreement.
On Dec. 31, 2008, Chrysler received $4 billion from the U.S. Treasury under the Troubled Asset Relief Program to stay in business.
Bossier notes in the suit that on Feb. 5, 2009, it was told, along with other dealers, to order as many cars as possible to help the company stay afloat. Bossier attempted to comply with the demand, but Chrysler’s financing arm declined to give its approval.
Last summer, Chrysler Financial sought to close Bossier Country in Fairfield over non payment of financing extended to the dealership, forcing the Fairfield business to seek Chapter 11 bankruptcy protection.
By the end of February 2009, the lawsuit says that Bossier had reached an agreement in principal for sale of the Waxahachie dealership, but several delays pushed back that date.
Chrysler Corporation filed for bankruptcy on April 30, 2009, and Bossier closed the doors of the Waxahachie store on May 1, but the dealership could be reopened by the Arkansas partnership when the purchase from Bossier was completed.
On May 4, Bossier principal Randy Pretzer was told that RLJ-McLarty- Landers wanted to lease the Waxahachie facility, the suit says.
Just over two weeks later, on May 14, Chrysler Corporation announced the Waxahachie store was among 789 dealers whose franchises were being terminated.
Bossier contends that the Arkansas firm had prior knowledge of which dealerships would be terminated.
The Arkansas partnership wound up getting the Chrysler franchise in Waxahachie, as well as a Jeep franchise there after the Jeep store was terminated, and obtained franchises in Denton and Burleson.
Bossier leased its facility in Waxahachie to RLJMcLarty Landers on July 20, 2009, but has yet to receive rent, the lawsuit alleges.
The lawsuit lists breach of contract, interference with franchise agreements, interference with prospective business relations, civil conspiracy and unfair competition by misappropriation.
Damages sought in the action are not specified.


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