Like most of the auto industry, Nissan is struggling to deliver enough new vehicles to its dealership lots. Why then, asks a metro New York dealer in a lawsuit, is a new Nissan store opening near his?
Dealer F. James Rourke, co-owner and general manager of Central Avenue Nissan in Yonkers, claims that by greenlighting an additional dealership, the brand is potentially exacerbating the its inventory squeeze.
The suit, filed in U.S. District Court for the Southern District of New York in late January, challenges the Japanese automaker for approving a competing dealership nearby even as it is unable to adequately supply inventory to existing stores.
The lawsuit alleges breach of contract and violation of state law aimed at protecting dealerships.
In an interview with Automotive News, Rourke expressed his frustration with Nissan.
"When you can't even supply the dealerships that you currently have with an ample amount of inventory, you're going to bring in a new franchise and give him additional inventory?"
A Nissan spokesman declined to comment on the litigation.