UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report: June 8, 2006

(Date of earliest event reported)

Hometown Auto Retailers, Inc.

(Exact name of Registrant as specified in its charter)

Delaware	000-24669	06-1501703
(State or other jurisdiction	(Commission File Number)	(IRS Employer
of incorporation)		Identification No.)

1309 South Main Street, Waterbury, CT		06706
(Address of principal executive offices)		(Zip Code)

	(203) 756-1300
	(Registrant's telephone number, including area code)


	(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2)

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01 Other Events.

On June 8, 2006, Hometown issued a press release announcing the filing of a Stipulation and Agreement of Compromise, Settlement and Release with the Court of Chancery of the State of Delaware. The settlement is further described in the Form 8-K filed by the Registrant on June 7, 2006. The press release is attached hereto as Exhibit 99.1 and is incorporated in its entirety herein by reference.

Item 9.01 Financial Statements and Exhibits.

(d)		Exhibits.

Number		Description

99.1		Press Release dated June 8, 2006.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.


	HOMETOWN AUTO RETAILERS, INC.

Date: June 8, 2006	By:	/s/ Corey Shaker
		Corey Shaker, President and Chief
		Executive Officer

HOMETOWN AUTO RETAILERS INC 8-K