William H. Schorling, a shareholder and Executive Committee member of the Bankruptcy and Creditors' Rights Section at Buchanan Ingersoll & Rooney's Philadelphia office, was quoted in a May 25, 2009, CNNMoney.com article. The article, titled "Chrysler, dealers await judgment day," reported on the possible closing of hundreds of Chrysler auto dealerships across the country.
According to the article, the fate of the dealerships could be decided in bankruptcy court any day now, but some experts think it's already a done deal.
The article reported, "The federal judge in Chrysler LLC's Chapter 11 case could decide on May 27 whether the automaker can pull its choice assets — its best-performing factories and dealerships — out of bankruptcy and sell them to a newly formed incarnation of itself, called Chrysler Group. … Chrysler, as part of its April 30 bankruptcy filing, wants to leave behind its multibillion-dollar debt and the underperforming dealers and plants it no longer afford. The strongest opposition comes from the auto dealers who resent being left behind."
Despite the potential loss of thousands of jobs and hundreds of businesses, Schorling said the judge has "no alternative" but to approve the asset sale, which he expects to occur "very quickly following the conclusion of the hearing."
"I think there are a number of legal issues with regard to whether the sale can be confirmed," Schorling said. "[But] I don't see any real alternative, is the problem."