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Buick Dealers Get Buyout Offer Over Electric Switch

» Posted November 9, 2022Resources | Share This Post

The push to make gas-powered cars a thing of the past has consequences, not only for car buyers and automakers but also for the dealerships that have long been the most popular place to buy a new or used set of wheels.

Take the news out of General Motors. The global auto manufacturer recently announced that it will offer buyouts to Buick dealers in the U.S. who decide not to opt-in to the brand's plans to be all-electric by 2030.

“The future dealer requirements are a logical and necessary next step on our path towards electrification to ensure our dealers are prepared to properly sell and service these unique vehicles in order to provide customers an exceptional experience,” a GM spokesperson told The Detroit News. “We see Buick's dealers network as a business advantage, and they will remain a critical part of the retail and relationship chain with customers.”

General Motors announced early last year that it will only sell zero emissions vehicles by 2035. Buick is among the GM brands looking to get ahead of schedule, pulling the plug on new electric cars by 2030.

Dealers who opt out of that plan can still sell other GM brands, the spokesperson told the news outlet. About 2,000 dealerships across the country currently sell Buick vehicles.

GM’s Cadillac brand has already offered a similar buyout program to dealers, according to The Detroit News. The company said it would require Cadillac dealers to invest $200,000 in order to be prepared to sell and service new electric cars. Roughly 20% of the less than 900 Cadillac dealers across the country reportedly decided to opt-out.

Car Defects, Safety Risks and Owners’ Rights

Meanwhile, GM continues to struggle to ensure that the Buick and other cars it makes are actually safe to drive.

For example, the company announced in July that it was recalling some 24,000 Buick Regal sedans because of faulty power brakes. It told federal regulators at the time that malfunctioning brakes increased the risk of accidents involving the defective cars.

GM is not alone. Major car manufacturers routinely issue sweeping recalls over serious defects that put people’s safety at risk. The recalls are often announced long after the vehicles have been sold to unsuspecting buyers.

That is where the California lemon law comes in.

The law requires carmakers to perform various repairs on vehicles while they are under warranty. It also forces them to buy back vehicles that the companies are unable or simply unwilling to fix. That includes covering the purchase price and monthly payments, as well as picking up the tab for rental cars and other related expenses.

Speak With a Lemon Law Attorney at Our Firm

If you have been stuck with a defective or malfunctioning vehicle or are haggling with a car manufacturer over repairs, the California lemon lawyers at Bickel Sannipoli APC can help you fight back.  

Call us at (888) 800-1983 or contact us online to speak with an attorney at our firm.

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