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post #1 of 12 (permalink) Old 09-18-2010, 01:18 PM Thread Starter
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GM Suppliers

I've noticed a trend, not just with the SKY, but with other GM makes in general, concerning the back order of parts without an availability date.

This has me thinking about the pseudo bankruptcy GM has emerged from and the status of their suppliers. Were the suppliers just another entity with a claim? What about the existing supplier contracts? Were the contracts maintained or is/was re-negotiation needed?

Bottom line is I think there is still a lot of repercussions from the bankruptcy making way through the supply chain...from failed suppliers to suppliers that need new contracts, to new suppliers and new contracts. It can take a year or more to negotiate a big parts contract and another year before a supplier is making parts.

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post #2 of 12 (permalink) Old 09-18-2010, 02:44 PM
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I would expect that the suppliers would have to stand in the 'Unsecured Creditors Line'. However, their 'place' in the line may be determined by GM or the bankruptcy judge. GM may have made some partial payments to some suppliers to keep them from going under and halting production.

A full year to write a new contract with an existing supplier sounds a bit lengthy to me. Seems like the previous contract could be used as a 'pattern' to forge a new contract, but this is all speculation.

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post #3 of 12 (permalink) Old 09-18-2010, 02:47 PM
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Another reason to stay away from these companies... (GM & Chrysler)
Do you trust GM? I certainly don't...
Not after me & my family being screwed by them...




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post #4 of 12 (permalink) Old 09-18-2010, 03:02 PM
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An "on going" automotive manufacturer has a legal obligation to maintain a parts supply for a specific length of time after the vehical has been manufactured. Going through bankruptcy could release them of that obligation. However, I would think they would want to make good with their customers if they want to keep them around.

I just had an issue with a tulip panel cracked by the dealer . The part was on national backorder with GM (whatever that means). This forum hooked me up with ICS. The dealer refused to deal with ICS. I sent an email to the GM regional service manager and within 15 minutes of pressing the enter key, I received a phone call from the service manager at the dealership that they will deal with ICS and have my part in a week. I think GM wants to help us out, but they are buried in issues that will take some time to work out. We need to keep letting them know that we are still out here. Maybe we should hold a Kappa gathering at the GM headquarters in Detroit.

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post #5 of 12 (permalink) Old 09-18-2010, 03:26 PM
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An "on going" automotive manufacturer has a legal obligation to maintain a parts supply for a specific length of time after the vehical has been manufactured.
This has been talked about many times on this forum, but I don't believe that anyone has ever found any law that actualy states this. It has always been an "Everyone knows" statement.

I do believe that it has been GM's policy (and that of other car makers as well), to maintain parts for at least some number of years (some have said 7, others 10). But I have yet to see anyone show a LAW that says they HAVE to do this.

I would be very interested in seeing any actual requirement, and what "escape clause", if any, GM could invoke due to its restructuring/bankrupcy.

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post #6 of 12 (permalink) Old 09-18-2010, 04:57 PM
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This has been talked about many times on this forum, but I don't believe that anyone has ever found any law that actualy states this. It has always been an "Everyone knows" statement.

I do believe that it has been GM's policy (and that of other car makers as well), to maintain parts for at least some number of years (some have said 7, others 10). But I have yet to see anyone show a LAW that says they HAVE to do this.

I would be very interested in seeing any actual requirement, and what "escape clause", if any, GM could invoke due to its restructuring/bankrupcy.
Perhaps one of our lawyer friends could help us out. I have looked and looked for such a statute to no avail. I also filed an inquiry with the Federal Trade Commission concerning this and have not gotten a reply to date.

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post #7 of 12 (permalink) Old 09-18-2010, 05:06 PM
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Probably depends on the supplier and how crucial they were deemed to ongoing and future production. The company I work for was paid in full, and once the federales started paying the bills, GM payments came in faster than before.

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post #8 of 12 (permalink) Old 09-18-2010, 06:10 PM
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I know that the compamy that made the Sky front fenders went out of business , that is how ICS ended up with 2008 carbon flash fenders. They also made Hummer H2 parts. No business, you go brankrupt

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post #9 of 12 (permalink) Old 09-18-2010, 06:16 PM
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Allot of "GM Suppliers" see not in business solely to serve GM but the whole industry. Wait until you need parts for that Challenger. A friend's husband is charge of parts at the local dealership and I got to hear allot of stories like many here about parts on back order last year.

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post #10 of 12 (permalink) Old 10-31-2010, 07:24 PM
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Perhaps one of our lawyer friends could help us out. I have looked and looked for such a statute to no avail. I also filed an inquiry with the Federal Trade Commission concerning this and have not gotten a reply to date.
Unwritten obligation of the Automotive Industry to supply spare parts at least 10 years after the end of vehicle production. However, many parts are stored much longer (>25 years)

And that does NOT refer to after-market business of parts supplies

Here is a powerpoint presentation about the parts business by hyundai...

http://echa.europa.eu/doc/press/even...er_hyundai.pdf

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post #11 of 12 (permalink) Old 10-31-2010, 09:46 PM
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Perhaps one of our lawyer friends could help us out. I have looked and looked for such a statute to no avail. I also filed an inquiry with the Federal Trade Commission concerning this and have not gotten a reply to date.
Did someone ring? I am no longer licensed to practice law, but have been trained as a lawyer and practiced law for about 10 years.

With that disclaimer out of the way, I have never found any federal law on the subject, though there appear to be laws on the books of some of the states.

Missed you this weekend.

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post #12 of 12 (permalink) Old 10-31-2010, 10:05 PM
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I had a crash in my Sky on May 13th, it's still in the body shop due to delays in parts and special tools. They tell me it might be ready at the end of next week.
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