When Scott Preusse learned last year his General Motors and Chrysler dealership was going to be terminated by the manufacturers, he vowed to do whatever he could to keep the local auto dealership open.

An opportunity presented itself on Dec. 19, when President Obama signed a bill granting certain GM and Chrysler dealerships the right to demand binding arbitration to decide if the car companies must restore the dealership to the sales network.

In Minnesota, 35 dealers separately filed the paperwork to begin the arbitration process.

“We don’t have a specific date for arbitration yet, but we hope to get this settled soon,” said Preusse last week.

A dealer may elect to arbitrate the termination. If an arbitrator finds in favor of the dealership, GM or Chrysler must offer the dealer a letter of intent to enter a sales and service agreement.

On Jan. 27, the Minnesota Auto Dealers Association asked Chrysler and General Motors to consider immediately reinstating the dealers who applied.

“Arbitration is a stressful and expensive process. Dealers and the manufacturers will spend millions if each arbitration is played out,” said MADA Executive Vice President Scott Lambert.

“It would be a better use of these resources to reinvest in our businesses and work together to sell cars and service our customers.”

The bill states the arbitration must be concluded by June 14.