As of April 27, 2025, the Federal Trade Commission (FTC) had not filed a petition for a writ of certiorari to appeal the Fifth Circuit’s decision vacating the Combating Auto Retail Scams Trade Regulation Rule (CARS Rule). The...more
5/6/2025
/ Administrative Procedure Act ,
Appeals ,
Automotive Industry ,
Car Dealerships ,
CARS Rule ,
Enforcement Actions ,
Federal Trade Commission (FTC) ,
Motor Vehicles ,
Regulatory Agenda ,
Regulatory Reform ,
Rulemaking Process ,
Scams ,
Statute of Limitations ,
Unfair or Deceptive Trade Practices ,
Vacated
In a move that could significantly impact the auto retail industry, California has introduced Senate Bill 766, known as the California Combating Auto Retail Scams (CARS) Act. Introduced by Senator Benjamin Allen (D) on...more
2/28/2025
/ Automotive Industry ,
California ,
Car Dealerships ,
CARS Rule ,
Consumer Financial Protection Bureau (CFPB) ,
Disclosure Requirements ,
Federal Trade Commission (FTC) ,
Motor Vehicles ,
Proposed Legislation ,
Recordkeeping Requirements ,
Regulation ,
Regulatory Requirements ,
Unfair or Deceptive Trade Practices
Yesterday, the U.S. Court of Appeals for the Fifth Circuit issued a significant opinion vacating the Federal Trade Commission’s (FTC) Combating Auto Retail Scams Trade Regulation Rule (CARS Rule). The decision came in...more
1/28/2025
/ Administrative Procedure Act ,
Advanced Notice of Proposed Rulemaking (ANPRM) ,
Appeals ,
Arbitrary and Capricious ,
Automotive Industry ,
Car Dealerships ,
CARS Rule ,
Federal Trade Commission (FTC) ,
Final Rules ,
FTC Act ,
Motor Vehicles ,
Regulatory Requirements ,
Rulemaking Process ,
Statutory Interpretation ,
Unfair or Deceptive Trade Practices ,
Vacated
In this episode, Brooke Conkle and Chris Capurso from Troutman Pepper Locke’s Consumer Financial Services Practice Group are joined by Chris Carlson, a partner in the Regulatory Investigations Strategy and Enforcement...more
In a significant enforcement action, the Federal Trade Commission (FTC) and the Illinois Attorney General have reached a $20 million settlement with Leader Automotive Group and its Canadian parent company, AutoCanada, over...more
12/23/2024
/ Car Dealerships ,
CARS Rule ,
Consumer Fraud ,
Enforcement Actions ,
False Advertising ,
Federal Trade Commission (FTC) ,
FTC Act ,
Online Reviews ,
Section 5 ,
Settlement ,
Statutory Violations ,
Unfair or Deceptive Trade Practices ,
Used Car Rule
Today, the Federal Trade Commission (FTC) announced the release of its final Rule on Unfair or Deceptive Fees, also known as the “Junk Fee Rule”, which aims to address so-called bait-and-switch pricing tactics and other...more
In this episode, Chris Carlson, an associate in the Regulatory, Investigations, Strategy and Enforcement (RISE) practice, joins Brooke and Chris to discuss how federal and state regulators are collaborating on consumer...more
Last week, the Federal Trade Commission (FTC) and the State of Arizona announced a joint action against Coulter Motor Company, an Arizona-based motor vehicle dealership, and its former general manager, for allegedly engaging...more
8/19/2024
/ Automotive Industry ,
Automotive Loans ,
Car Dealerships ,
CARS Rule ,
Consumer Fraud ,
ECOA ,
Fair Lending ,
Federal Trade Commission (FTC) ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
Race Discrimination ,
State Attorneys General ,
Unfair or Deceptive Trade Practices
In this inaugural episode of Moving the Metal, Troutman Pepper attorneys Brooke Conkle and Chris Capurso examine the major requirements of the FTC's proposed CARS Rule. After a refresher on the rule's requirements, Brooke and...more
The Federal Trade Commission (FTC) and Connecticut Attorney General William Tong filed suit against auto dealer Manchester City Nissan (Manchester City), its owner, and several employees for allegedly deceiving consumers...more
1/11/2024
/ Car Dealerships ,
Cars ,
CARS Rule ,
False Advertising ,
Federal Trade Commission (FTC) ,
Fees ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
State Attorneys General ,
Unfair or Deceptive Trade Practices
On December 12, the Federal Trade Commission (FTC) published the long-awaited regulation specific to motor vehicle dealers to address concerns of consumer deception in the sales process (Final Rule). In a 3-0 vote, the FTC...more
On October 24, the Federal Trade Commission (FTC) and the Wisconsin Department of Justice announced a settlement with Wisconsin auto dealer group Rhinelander Auto Center, Inc. (Rhinelander), its current and former owners, and...more
10/27/2023
/ Add-ons ,
Auto Lease ,
Car Dealerships ,
Discriminatory Lending Practices ,
ECOA ,
Enforcement Actions ,
Federal Trade Commission (FTC) ,
Financial Contracts ,
Financial Institutions ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
Native American Issues ,
Race Discrimination ,
Settlement ,
Unfair or Deceptive Trade Practices
As part of its ongoing initiative to scrutinize so-called “junk fees,” the Consumer Financial Protection Bureau (CFPB) published guidance on two practices that it opines potentially violate the Consumer Financial Protection...more
On October 20, the Federal Trade Commission (FTC) issued an Advanced Notice of Proposed Rulemaking, seeking public comment on the harms stemming from what it characterizes as “junk fees,” i.e., fees that are allegedly...more
A recent settlement between the Federal Trade Commission (FTC) and a lead generator provides new insight into the FTC’s enforcement of sensitive personal data collection and sales under the Fair Credit Reporting Act (FCRA)...more