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GM prevails in performance agreement litigation

June 2013

Client(s) General Motors Company

Jones Day successfully represented General Motors LLC ("GM") in federal preliminary and permanent injunctive proceedings arising out of an automobile dealer’s refusal to comply with the terms of a performance-related settlement agreement. GM sought preliminary and permanent injunctive relief and filed a motion for summary judgment, arguing that it and the dealer had a valid agreement whereby GM was entitled to wind down the dealer’s operations and purchase certain of the dealer’s assets. The dealer argued that West Virginia law prevented GM from doing so. After briefing by both parties, the court granted summary judgment to GM and required the dealer’s specific performance of the settlement agreement. On appeal to the Fourth Circuit Court of Appeals, the District Court's judgment was affirmed. GM was also awarded attorney's fees.

General Motors LLC v. Bill Kelley, Inc. d/b/a/ Kelley Motors, Inc. 2:12-CV-00051 (N.D. W. Va.); 2013 WL 2631688 (4th Cir. June 13, 2013).

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