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Posts Tagged ‘Federal Trade Commission’

FTC Sanctions GM, Dealer Groups Over Recalls

Commission cites groups for failing to fix recalls.

by on Jan.29, 2016

GM and two dealer groups were cited by the Federal Trade Commission for issues involving failing to make recall repairs.

General Motors and two major dealer groups, Jim Koons Management and Lithia Motors Inc., have agreed to settle separate Federal Trade Commission administrative complaints involving the inspections of used cars they had put on sale.

The FTC claimed that all three that each had advertised how rigorously they inspect vehicles, but failed to disclose some of the used cars they were selling were subject to unrepaired safety recalls.

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Jim Koons Management, which has 15 dealerships in the Mid-Atlantic region, and Oregon-based Lithia Motors Inc., which has more than 100 stores in the West and Midwest, are two of the nation’s largest used-car dealers. (more…)

Feds Crack Down on Crooked Auto Dealers

Investigation reveals false ads, fake odometer readings.

by on Mar.26, 2015

The FTC is cracking down on dealers that use deceptive practices to put buyers into bad deals.

A Federal Trade Commission investigation into auto dealers across the U.S. resulted $2.6 million in consumer refunds and other fees and fines for criminal and civil violations.

Civil and criminal charges coming about as a result of “Operation Ruse Control,” included deceptive advertising, automotive loan application fraud, odometer fraud, deceptive add-on fees, and deceptive marketing of car title loans.

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The commission, also known as the FTC, instituted 252 enforcement actions – 187 in the U.S. and another 65 in Canada – and it appears that more could be on the horizon. It’s the second time in the agency has discovered problem with auto dealers. It turned up 10 infractions last year related to loans and advertising. (more…)

Automakers Create “Privacy Principles” for New Vehicles

Rules claim makers won’t sell info or provide data without court order.

by on Nov.13, 2014

Ford's Jim Farley said earlier this year the maker was tracking driving information. Now automakers are proposing rules to protect that data.

When Ford’s global marketing chief Jim Farley suggested the maker “knows” what its customers do behind the wheel earlier this year, it triggered a firestorm. And though Ford quickly backed down, saying it doesn’t track motorists, privacy advocates increased pressure on manufacturers to reveal what they’re doing with the personal data they do collect – and put limits on how it can be used.

In response, a group of 19 automakers have gotten together lay down some ground rules, which they hope will assuage fears about the accessibility and use of the material. The makers say the information won’t be given to government officials or law enforcement agencies without a court order, sold to insurance companies or other companies without their permission.

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The automakers agreeing to the “rules,” which they submitted to the Federal Trade Commission, include: Aston Martin, BMW, Chrysler, Ferrari, Ford, General Motors, Honda, Hyundai, Kia, Maserati, Mazda, Mercedes-Benz, Mitsubishi, Nissan, Porsche, Subaru, Toyota, Volkswagen and Volvo. (more…)

FTC Suggests States Repeal Pro-Dealer Laws

Missouri, New Jersey told that direct auto sales are good.

by on May.19, 2014

The Federal Trade Commission told two state legislative bodies that they should repeal laws preventing automakers, such as Tesla, from selling vehicles directly to consumers.

Once again, officials at the Federal Trade Commission have put a broad smile on the face of Elon Musk, Tesla Motors’ founder and chairman.

For the second time in less than a month, three administrators suggested that laws requiring new vehicles be sold by independent dealers be repealed or scaled back.

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The administrators, Andrew Gavil, director of the FTC’s Office of Policy Planning; Deborah Feinstein, director of the Bureau of Competition; and Martin Gaynor, director of the Bureau of Economics, responded to requests for information from members of the Missouri House of Representatives and the New Jersey State Assembly. (more…)