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Ford Dealer Sues The Blue Oval Over Alleged Breach Of Contract

New York-based dealer Kitty Van Bortel and her brother/minority owner Howard Van Bortel are suing Ford Motor Company, claiming breach of contract after the duo tried to purchase a dealership in Webster, New York, according to Automotive News. The Van Bortels currently own a total of four dealerships but claim that when they tried to purchase a fifth, Ford backed out of its initial agreement to sell it to them, and that gender discrimination played a role in that decision.

According to the lawsuit, Ford agreed to exercise its first right of refusal in regards to the sale of Henderson Ford in Webster and assign Van Bortel the purchase and agreement under the same terms. However, the lawsuit claims that Ford wound up rejecting that original deal after Van Bortel signed a nondisclosure agreement to review the terms. Ford reportedly told Van Bortel that it would not be honoring the original deal and wouldn’t be assigning the purchase agreement to her, which would represent a breach of contract.

The lawsuit then states that Ford decided to sell the dealership to West Herr Automotive Group and that it would not be exercising a right of first refusal. Van Bortel amended her complaint to include a claim of gender discrimination and allege that Ford violated New York’s executive law that classifies her as part of a protected class.

When it comes to proposed dealership transactions, an automaker has the right to decline original buyers and sell the dealership to a buyer of its choosing.

“While we typically don’t comment on active litigation, we categorically reject any assertion that we discriminated against any dealer based on race or gender,” Ford spokesman Ian Thibodeau told Automotive News.

We’ll have more on this and all pending Ford lawsuits soon, so be sure and subscribe to Ford Authority for the latest Ford lawsuit news and 24/7 Ford news coverage.

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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