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Federal Court Dismisses OEM Challenge to Illinois Warranty Labor Time Guide Amendment

Last week, the Illinois federal court in Volkswagen Group of America v. Illinois Secretary of State, 2024 WL 2020036 (N.D. Ill. May 6, 2024) granted a motion to dismiss a challenge brought by Volkswagen (“VW”) against a 2022...more

Ford Eases EV Requirements After Latest Litigation Setback

In the fall of 2022, Ford introduced an aggressive “Model e Program,” requiring its dealers to invest roughly $500,000-$1 million to install publicly accessible electric vehicle (EV) charging stations, invest in employee...more

New York Court Stays Ford’s Implementation of EV Sales Requirements Pending Resolution of Dealers’ Challenge

On September 20, 2023, a New York state court ordered a stay preventing Ford from implementing its new electric vehicle (“EV”) certification programs for dealers pending the outcome of an action challenging the programs as an...more

Dealer Challenges to Ford EV Sales Requirements Continue to Mount, But Are Slow to Progress

In September 2022, Ford rolled out its “Model e Program” establishing requirements for Ford dealers who choose to sell and service Ford electric vehicles (“EVs”) after December 31, 2023. The Model e Program replaced Ford’s...more

DMS Providers Fare No Better Than Automakers in Constitutional Challenge to Arizona Dealer Statute

An Arizona federal court recently rebuffed efforts by the two leading US providers of dealership management systems (“DMS”), CDK Global and Reynolds & Reynolds, to enjoin the enforcement of amendments to the Arizona dealer...more

Third Circuit Ruling Paves Way for Dealer Associations to Challenge Incentives Programs

State dealer statutes commonly regulate the incentive programs manufacturers use to encourage dealers to improve performance or upgrade their dealership facilities to meet brand standards.  Individual dealers have challenged...more

New York DMV Appeals Board Affirms Decision Rejecting Excessive Warranty Reimbursement Rate Demanded By Dealer

The dealer statutes of many states require automobile manufacturers to reimburse dealers for parts and labor used in warranty repairs at the “average” retail rates charged by dealers for customer pay repairs. ...more

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