The "General" paying retail for warranty?

[possum]

TimK's right, this is a legal arbitration. As I remember our DMA was pretty "hands-off" about the whole thing. It's been around 3 years for us and I wasn't involved in the whole process I but sure was glad to set up a new price level for the increase. AND Service doesn't split gross on warranty!

[Zep33]

Yeah, your DP needs to initiate it. Your DMA will wash his hands of it very early in the process. It's best to let the lawyers handle it once it's initiated. They should be aware of what's required if they represent other dealerships

[PONCOPARTSMASTER]

Here in Maryland we get average customer pay mark up which worked out to cost+96 % We did hire a consultant to get us that rate

[Zep33]

WOW - nice markup. I wasn't going to say what ours is cause I thought it might be offensive LOL - 86% here

[TimK]

My markup is now offensive also.

Cha-Ching

[erikw]

WE are in Massachusetts and are at cost plus 79.35% for warranty parts through Chrysler.

[Denise T]

I heard some dealers are being surcharged on new vehicles to compensate the warranty price percentage increases they are being forced to implement. Some states are still in litigation over their rulings.

[partsguy99]

I heard some dealers are being surcharged on new vehicles to compensate the warranty price percentage increases they are being forced to implement. Some states are still in litigation over their rulings.

That is correct. I know about 15 years ago Illinois GM dealers were getting retail markup on warranty repair parts.
The General had their hotshot lobbyist's bribe, no, "NEGOTIATE" a change to the state's franchise laws to allow
GM to surcharge the new vehicles to dealers who were getting the retail markup. For dealers to avoid the new vehicle surcharge, you returned to the cost plus 45% markup. Most dealers went back to cost plus 45%.

[jdpetey]

Just got our approval this week. Cost + 85.

Does anyone know it there are price ceilings or maximum allowable markups on specific items such as engines and transmissions?

Kinda like the max allowable outside purchase or overnight freight for warranty repairs at $100.

Thanks.

[Zep33]

They've been paying our markup on all parts except the free maintenance parts for Buick and GMC (the flat rate LOF part) They pay full on Cadillac though.

Transmissions, engines and wheels get the full markup, usually exceeding list price. All have been paid