[Congressional Record Volume 155, Number 87 (Thursday, June 11, 2009)]
[Senate]
[Page S6560]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. CORKER (for himself, Mr. Nelson of Florida, Mrs. Shaheen, 
        Ms. Snowe, Mr. Isakson, and Mr. Wicker):
  S. 1253. A bill to address reimbursement of certain costs to 
automobile dealers; to the Committee on the Judiciary.
  Mr. CORKER. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 1253

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Automobile Dealers 
     Assistance Act of 2009''.

     SEC. 2. REIMBURSEMENT OF AUTOMOBILE DISTRIBUTORS.

       (a) In General.--Notwithstanding any other provision of 
     law, any funds provided by the United States Government, or 
     any agency, department, or subdivision thereof, to an 
     automobile manufacturer or a distributor thereof as credit, 
     loans, financing, advances, or by any other agreement in 
     connection with such automobile manufacturer's or 
     distributor's proceeding as a debtor under title 11, United 
     States Code, shall be conditioned upon use of such funds to 
     fully reimburse all dealers of such automobile manufacturer 
     or manufacturer's distributor for--
       (1) the cost incurred by such dealers during the 9-month 
     period preceding the date on which the proceeding under title 
     11, United States Code, by or against the automobile 
     manufacturer or manufacturer's distributor is commenced, in 
     acquisition of all parts and inventory in the dealer's 
     possession on on the same basis as if the dealers were 
     terminating pursuant to existing franchise agreements or 
     dealer agreements; and
       (2) all other obligations owed by such automobile 
     manufacturer or manufacturer's distributor under any other 
     agreement between the dealers and the automobile manufacturer 
     or manufacturer's distributor arising during that 9-month 
     period, including, without limitation, franchise agreement or 
     dealer agreements.
       (b) Inclusion in Terms.--Any note, security agreement, loan 
     agreement, or other agreement between an automobile 
     manufacturer or manufacturer's distributor and the Government 
     (or any agency, department, or subdivision thereof) shall 
     expressly provide for the use of such funds as required by 
     this section. A bankruptcy court may not authorize the 
     automobile manufacturer or manufacturer's distributor to 
     obtain credit under section 364 of title 11, United States 
     Code, unless the credit agreement or agreements expressly 
     provided for the use of funds as required by this section.
       (c) Effectiveness of Rejection.--Notwithstanding any other 
     provision of law, any rejection by an automobile manufacturer 
     or manufacturer's distributor that is a debtor in a 
     proceeding under title 11, United States Code, of a franchise 
     agreement or dealer agreement pursuant to section 365 of that 
     title, shall not be effective until at least 180 days after 
     the date on which such rejection is otherwise approved by a 
     bankruptcy court.
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