SAN FRANCISCO – A San Jose auto dealer
alleges that an auto manufacturer denied its relocation and facility proposal in order to force it to give up the franchise.
Mathew Enterprise Inc., doing business as Stevens Creek Chrysler Jeep and Dodge, filed a complaint on June 24 in the U.S. District Court for the Northern District of California against FCA US LLC alleging breach of implied duty of good faith and fair dealing and other counts.
According to the complaint, the plaintiff alleges that it suffered damages to its business as a result of its proposal to construct a new facility being denied by the defendant in February. The plaintiff holds FCA US LLC responsible because it claims the defendant denied plaintiff's proposal in order to force it to give up the franchise and go out of business.
The plaintiffs request a trial by jury and seek all damages, injunction compelling the defendant to approve plaintiff's proposal, interest in the maximum legal rate, all legal fees and any other relief as the court deems just. It is represented by Michael J. Flanagan and Torin Heenan of Law Offices of Michael J. Flanagan in Sacramento and Paul R. Norman and Eric A. Baker of Boardman & Clark LLP in Madison, Wisconsin.
U.S. District Court for the Northern District of California Case number 5:16-cv-03551-HRL