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GM Europe Escapes U.S. Motors’ Contract Claim

(CN) - The 6th Circuit dismissed for lack of jurisdiction a lawsuit accusing General Motors Europe of breaching an agreement to make U.S. Motors the exclusive distributor of GM vehicles in the Czech Republic and Slovakia.

U.S. Motors and car dealerships in the Czech Republic, Slovakia and the Netherlands sued GM for breach of contract in federal court in Michigan.

Although U.S. Motors has ties to the United States, "the presence of foreign parties on both sides of the dispute destroys the complete diversity required" for U.S. jurisdiction, Judge Restani ruled.

A three-judge panel affirmed dismissal of the case.

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