Black car dealer wins $26 million in suit against General Motors Corp

Jet, June 26, 1995

A jury recently awarded $26 million to a Black car dealer in Tuskegee, AL, who accused General Motors Corp. of treating him unfairly and causing his business to collapse.

The Macon County jury awarded $6 million to Charles Bell to compensate him for his losses and $20 million in punitive damages against the Detroit automaker and its GMAC subsidiary.

The verdict returned was in the second trial of Bell's suit against GM. The first case ended in a mistrial in September.

A spokesman for General Motors said the company would do whatever possible to have the verdict and damages set aside. The company contended that Bell was to blame for his dealership's problems.

The jury agreed with Bell's claim that he and his wife, Shirley, were prospering with a variety of businesses in North Carolina when GM enticed them into opening the car dealership in 1979 in rural Tuskegee.

Because he was Black, Bell said he was treated differently from the way White dealers were treated in neighboring Montgomery, which is 40 miles west of Tuskegee.

Bell's suit stated that GM misrepresented facts and withheld business information from him, leading to debts and the eventual collapse of his dealership two years ago.