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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 recalling 630k Jeep models worldwide

Despite its refusal to recall 2.7 million Jeep Grand Cherokee and Liberty models this week over a gas tank fire risk, Chrysler will be recalling 630,000 Jeep Compass (pictured), Patriot and Wrangler vehicles around the globe for a pair of entirely different reasons.
The affected Compass and Patriot models are all from the 2010 to 2012 model years - 254,000 in the United States, 45,400 in Canada and 109,000 elsewhere in the world. In these models, a software error may result in the late deployment of the side airbags and seatbelt tensioners. In the event of a crash, failure of these systems could result in more serious injuries for the vehicle's occupants.
Jeep's go-anywhere Wrangler also faces a separate recall due to power steering fluid lines that can possibly wear a hole in the transmission oil cooler line. According to Chrysler, the vehicles could then leak fluid, possibly damaging the transmissions. Roughly 221,100 Wrangler models are being recalled because of this issue, all of which are fitted with Jeep's 3.6-liter Pentastar V6 engine. In the US, 181,000 vehicles are affected, with an additional 18,400 in Canada and 21,700 additional units worldwide. A Chrysler spokesperson said that no crashes or injuries have been reported with either case, according to the Associated Press.

Consumer Reports says these are the worst new cars of 2014

Consumer Reports has announced its annual list of worst vehicles, a cringe-inducing contrast to its list of top vehicles. Ignominiously leading the way in 2014 is Chrysler, which has a staggering seven models listed.
Jeep nearly sweeps the small SUV segment by itself, with its Compass, Patriot and 2.4-liter version of the new Cherokee, while the only midsize sedans listed by CR were the Chrysler 200 and Dodge Avenger. The new Dodge Dart and the Dodge Journey round out CR's condemnation of Chrysler.
Ford is taking heat as well, with the Taurus, Edge and their counterparts from Lincoln all listed as the worst vehicles in their respective segments. Toyota doesn't fare much better, with its Lexus IS, Scion iQ and tC also making the list.