>La Grande Observer | Union and Wallowa Counties' News Leader

ENTERPRISE — D&R Auto Group’s Ford and Chrysler dealerships and their 28 employees in Enterprise may be in for rough times.

Twenty-four of the employees were laid off Wednesday, manager Roger Spangenberg said.

Owner David Spangenberg has filed for bankruptcy following a $9 million lawsuit filed by KeyBank.

The bankruptcy however, does not include the Enterprise dealerships, Roger Spangenberg said.

In addition, the bank has been granted a restraining order to prevent Spangenberg and his brother Roger from moving any of the automobiles that have been “floored” or financed by the bank.

Roger Spangenberg explained that the restraining order only applied to their newer inventory, the bulk of which is at their Hermiston operation.

There are still older used cars for sale on the Enterprise lots, Spangenberg said.

Also, certain “authorized sales” have been allowed of the newer cars, he said.

D&R Auto Group had an auto sales lot in Elgin that closed July 1. Three employees worked there, Spangenberg said.

The Hermiston operation, which closed after the Aug. 19 restraining order, employed some 37 full-time people, Spangenberg said. It was locked up Aug. 26 by David Spangenberg, Roger said.

The Enterprise Ford and Chrysler garages employ 22 full-time and six part-time workers, he said.

The bankruptcy case has been placed on hold for six months, said a spokesperson of the U.S. Bankruptcy Court in Portland.

David Spangenberg chose to leave the business because of physical and emotional reasons following the lawsuit, Roger Spangenberg said.

KeyBank is suing David and Roger Spangenberg, and the several businesses they operate including D&R Auto Sales in Hermiston and D&R Ford/Mercury of Enterprise, for “being in default on various agreements with the plaintiff (KeyBank), including lines-of credit and loans,” the court document said.

KeyBank named six claims for relief in the lawsuit, totaling $9,111,750 plus interest from Aug. 8.

Spangenberg said that most of that money is not actually owed because it is covered by collateral.

“We’re open. Until we can get this figured out, we laid off all the employees except four to answer the phones and conduct service. We are trying to get service opened back up,” Roger Spangenberg said Wednesday.

“We’d like to hear from the public to see if they’d like to keep these dealerships here. If so, I would welcome anyone with economic help to step up to help keep the doors open. If there is a need for us in Wallowa County, we’ll fight to stay here,” Spangenberg said.