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GMS (Employee Pricing) Authorized sales are audited and if the dealer violates the terms there are sanctions, which include GM being reimbursed, the dealer losing allocation, and if the employee is in violation, the employee loses the right to do a GMS purchase for at least one year.
The dealer can sell at GMS pricing and not use an Authorization but will not be getting the subsidy. That generally means taking a loss on the sale. There may be a good reason from the dealer point of view to do such a sale, but if done too often, at what point does that dealer go out of business?
Laborsmith
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