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Old 03-24-2011, 04:05 PM   #1
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GM, Chrysler sue Allied shippers over cars "held hostage"

Report: GM, Chrysler sue Allied shippers over cars "held hostage"

by Chris Shunk (RSS feed) on Mar 24th 2011 at 4:00PM


A situation has developed between Allied trucking and automakers General Motors and Chrysler that has deteriorated to the point of hostage-taking. The Detroit News reports that GM has filed a lawsuit against the car-hauling company that alleges it's holding 1,700 of the automaker's valuable Chevy Silverado and Camaro models that should be on their way to dealers. The vehicles in question are worth $47 million, and many of them are reportedly already bought and paid for by customers. The suit also claims that the inventory will depreciate in value if dealers don't receive the vehicles, while at the same time dissatisfying customers.

The problems between Allied, GM and Chrysler started when the car hauler asked for a 15-percent raise. Allied had previously tried to cut the pay of Teamster union members by 20 percent, but was unable to do so due to a provision in the company's labor contract. GM then severed ties with Allied on March 16.

One day after GM filed suit against Allied, Chrysler filed its own lawsuit in Ontario Superior Court. Team Pentastar claims Allied has 700 of its vehicles at Allied locations. The court has already granted Chrysler the right to recover 200 of those vehicles. Chrysler has resourced its vehicle hauling to other car hauling companies as a result of the dispute.

[Source: The Detroit News | Bill Pugliano/Getty]
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Old 03-24-2011, 04:18 PM   #2
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Wow....47 million$!

wonder how this will turn out?

maybe money back for the problem to some customers?
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Old 03-24-2011, 04:23 PM   #3
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This is just stupid. Why would Allied think this is a good idea?
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Old 03-24-2011, 04:30 PM   #4
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Let me see if I have this right. If I ask my employee to take a pay cut, and he says no, then I ask my customer for more money and they say no, I can steal their car? What a country!
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Old 03-24-2011, 05:41 PM   #5
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Another great idea from their union reps.
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Old 03-24-2011, 05:44 PM   #6
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ye piss off Camaro owners, makes about as much sense as a hole in the head!
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Old 03-24-2011, 05:51 PM   #7
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wonder how many of the camaro's belong to C5 members.now we know where your cars are.there being held hostage by a truck firm.
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Old 03-24-2011, 05:53 PM   #8
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That's a union for you
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Old 03-24-2011, 06:03 PM   #9
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You can't say bad things about unions here.
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Old 03-24-2011, 06:07 PM   #10
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wow this is crazy.... and bad business for that company.....
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Old 03-24-2011, 06:15 PM   #11
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It also has everything sitting at the plant, that was coming to the Detroit area, jammed up. I have a new 2011 that's been sitting at the plant since Friday as a result. Too bad that GM and Chrysler have to deal with this kind of behavior from a supplier. All about money. Last I checked we pay about $850 to get one of these bad-boys shipped. That seems like it should be enough.
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Old 03-24-2011, 06:51 PM   #12
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Quote:
Originally Posted by Moni View Post
That's a union for you


isnt that a movie about weed? or a documentary about weed...LMFAO!
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Old 03-24-2011, 06:52 PM   #13
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Quote:
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That's a union for you
The company made the bad decision. The union does not run the company, it represents the workers.

Don't blame the union.
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Old 03-24-2011, 07:40 PM   #14
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The company made the bad decision. The union does not run the company, it represents the workers.

Don't blame the union.
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Old 03-24-2011, 07:45 PM   #15
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Ridiculous. I mean, c'mon guys, you're holding cars hostage that belong to someone else! That's not a good way to make a point. It's a good way to piss people off. And it worked. Wow.
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Old 03-24-2011, 08:02 PM   #16
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It would be nice if GM would release a public statement about this mess...

My 2SS/RS shipped a week ago, I guarantee it's being held hostage...

WTF already...this is crazy
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Old 03-24-2011, 08:10 PM   #17
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Old 03-24-2011, 08:36 PM   #18
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Vehicles held hostage? What?

...wouldn't it be hilarious if one of the Camaros transformed and just raised hell for being taken 'hostage'?

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You can't say bad things about unions here.
I don't believe that's in the rules.....respect, no politics, and no-thread crapping is, though...
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Old 03-24-2011, 09:23 PM   #19
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As far i know no one pays anything till the day they take delivered , so how come [bought and paid for ] really !
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Old 03-24-2011, 09:28 PM   #20
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As far i know no one pays anything till the day they take delivered , so how come [bought and paid for ] really !
Customers would be the dealers, themselves...I don't know if they pay ahead of time to GM to get the cars....
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Old 03-24-2011, 09:28 PM   #21
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Allied?

It's the UNION .. . . . . . .

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This is just stupid. Why would Allied think this is a good idea?
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Old 03-24-2011, 09:51 PM   #22
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Update on the issue from The local paper The Detroit news.
http://www.clickondetroit.com/news/2...103242011&ts=H

Cars 'Held Hostage' In Legal Dispute

Delivery Company Refuses To Haul Hundreds Of GM, Chrysler Vehicles


POSTED: Thursday, March 24, 2011
UPDATED: 7:51 pm EDT March 24, 2011



DEARBORN, Mich. -- Hundreds of new General Motors and Chrysler vehicles are parked in a holding lot in Dearborn because of a dispute between the automakers and a car-hauling company.
Chrysler and GM said their vehicles, which are supposed to be delivered to local dealerships, are being "held hostage."
Watch: Automaker's' Dispute With Haulig Company Leaves Cars In Lot
The dispute is over how much the car-hauling company, Allied Systems, has asked the automakers to pay.
According to a driver for Allied Systems, the dispute started when Allied cut drivers' pay by 20 percent.
The driver, who asked not to be identified, said Allied Systems backed off the pay cut after the drivers' union threatened to strike.
The driver said at that point Allied Systems tried to make up the difference by imposing a fuel surcharge on the automakers.
General Motors and Chrysler have refused to pay the surcharge and have sued Allied Systems, demanding the vehicles be delivered.
The dispute has left auto salespersons, customers and delivery drivers caught in the middle.
"I feel like I'm in limbo," said one car-hauler who asked not to be identified. "It feels like it's a waiting game and we're kind of stuck in the middle. And we're just very hopeful that this gets worked out soon."
Car-haulers said they are also concerned about what the legal dispute will do to their jobs.
"The concern for my job is there because it's a battle between two very large companies," said a driver who works for Allied Systems. "I'm just hoping they can meet in the middle because a lot of people's livelihoods are at stake here."
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Old 03-24-2011, 09:54 PM   #23
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Maybe some guys on the way to Camaro fest should get a party together and break those puppies out of jail!
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Old 03-24-2011, 09:57 PM   #24
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Quote:
Originally Posted by fourhounds View Post
It's the UNION .. . . . . . .
The union didn't do anything wrong. The company decided to change a contract on the fly. It's bad management. This is one of those times the union stood up to the company with justice on their side. The company decided to instead charge clients extra. The clients refused, sued, and found other carriers.
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Old 03-24-2011, 10:06 PM   #25
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The union didn't do anything wrong. The company decided to change a contract on the fly. It's bad management. This is one of those times the union stood up to the company with justice on their side. The company decided to instead charge clients extra. The clients refused, sued, and found other carriers.
The unions do not help. Let's be real. I've taken pay cuts and gone without pay checks during tough times to help my company out. I'm not entitled to anything from my company other than to get pay for helping them make money. The union should have taken the pay cut while the company fixed its problems. How does this action help the company or the union?
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