Ford sues Hecker, says dealership owes $3.1 million

January 14, 2009 at 3:04PM
Denny Hecker
Denny Hecker (Special To The Star Tribune/The Minnesota Star Tribune)

Ford Motor Co. filed a federal lawsuit this week against Denny Hecker's Stillwater Ford Lincoln Mercury dealership, claiming that it failed to pay $3.1 million for auto parts and 84 new vehicles that were sold before Hecker closed the dealership last year.

Barbara Jerich, president of Hecker Automotive Group, said Tuesday that the company had not yet seen the lawsuit.

The Ford suit is just the latest legal and financial battle for the ubiquitous Denny Hecker.

In November, General Motors sued his Southview Chevrolet dealership in Inver Grove Heights, seeking to stop it from selling other makes of vehicles. And Hecker sued his longtime financing partner, Chrysler Financial Services, for allegedly cutting off credit for 13 of his dealerships. Hecker quickly sold three dealerships and shut six others, including the one in Stillwater.

Last month, Hecker's Advantage Rent-A-Car Co. filed for Chapter 11 bankruptcy protection, closed 22 of its 48 airport locations and laid off 440 workers.

Hecker's tribulations are indicative of the hardships faced by much of the auto industry, which has lost scores of dealerships around the state and country and pushed all three U.S. automakers to the brink of bankruptcy as many consumers halted big-ticket purchases or turned to foreign-made cars.

In the suit filed Monday, Ford Motor Co. alleged that Stillwater Ford has failed to pay for some parts, plus 80 vehicles it sold to rental car fleet companies and four that it sold to individuals. Ford claims it's owed $3.1 million and is seeking legal fees and a directive that would allow a sheriff to seize the cars and trucks in question.

Dee DePass • 612-673-7725

about the writer

about the writer

Dee DePass

Reporter

Dee DePass is an award-winning business reporter covering Minnesota small businesses for the Minnesota Star Tribune. She previously covered commercial real estate, manufacturing, the economy, workplace issues and banking.

See More

More from Business

card image

Police arrested a suspect Monday in the brazen Manhattan killing of UnitedHealthcare's CEO after a quick-thinking McDonald's employee in Pennsylvania alerted authorities to a customer who was found with a weapon, mask and writings linking him to the ambush.