Prime in August said it had resolved its disputes with both Toyota and Subaru of New England. The retailer wouldn’t disclose whether the settlements will require Prime and GPB to sell any of its five Toyota or three Subaru of New England dealerships or whether the agreements include appointing Skelton, a former AutoNation Inc. executive, as dealer principal of the stores.
Toyota, Subaru of New England and other automakers pushed for Prime to sell certain stores after GPB fired former Prime CEO David Rosenberg in September 2019.
GPB, an alternative asset management firm, faces numerous investor lawsuits and is the target of federal and state investigations on potential violations of securities law.
Some automakers were upset about Rosenberg’s dismissal and said alleged contract breaches by GPB were grounds for franchise termination.
Toyota, which had extended Prime’s dealer agreements until Aug. 3., and Subaru of New England, the distributor for Subaru