News

Welcome to your VADA newsletter archives! Below you will find links to many of the articles from previous editions of your newsletter. If you don’t see a specific article that you are searching for, contact us at 804.545.3024

Dealer Processing Fee on Exercise of a Lease Purchase Option?

December 23, 2013

A customer who leases a vehicle generally has the option to purchase it. May a dealership charge a dealer processing fee to a customer who exercises that option? While dealers may have justification for doing so, the practice could lead to liability. Is it Authorized? The Consumer Leasing Act and its implementing rules in Regulation

Read More »

Airbag Deployment is Treatment

December 23, 2013

The Federal EPA recently cited a dealership for deploying airbags prior to disposal in the trash. Deploying airbags prior to placing them in the trash was, at one time, manufacturer recommended and common practice. It is no longer legal to deploy and then dispose of airbags in the trash. Based on this enforcement action, the

Read More »

Do You Have a Cash Reporting and Money Laundering Policy?

December 23, 2013

Do your employees understand your cash reporting and money laundering prevention policy? If not, consider the fates of the following dealers in just the last few months. In Albuquerque, NM, the federal government seized $841,883.00 from a used car dealer alleged to have structured otherwise reportable transactions. The government has not indicted the dealer, but

Read More »

Sweepstakes Promotions

December 23, 2013

Dealers often sponsor or become involved in sweepstakes promotions. Campaigns saying things like “Win a new car from Smith’s Hupmobile at the Q109 Prize Extravaganza” are common. For a dealer, there is more to participation than just providing the prize. Dealers must be careful about the sweepstakes rules. Federal and state laws categorize certain types

Read More »

KPA Alert: Isocyanates, Supplied Air & OSHA

December 23, 2013

OSHA recently issued a new NEP, National Emphasis Program, which may have your business in its sights. There are not any new regulations, instead there will be a focused enforcement scheduled over the next 3 years. Now is the time to consider the chemicals known as isocyanates in your workplace and how best to control

Read More »

FTC: The Beast is Stirring (Especially Over Internet Advertising)

December 23, 2013

The FTC has new power under the Dodd Frank financial reform law to regulate car dealers. It is about to host its third, and final, workshop this month in an attempt to determine whether it wishes to propose greater regulation of the industry. However, it has also announced that it is not going to wait to ramp

Read More »

Are You Inspecting Your Used Cars? (You Should Be!)

December 23, 2013

Used car managers like the cars they buy. Too often, they like them so much that they can’t wait to get them onto the front line, and that means no dealership employee takes the time to thoroughly inspect them. If that’s happening in your dealership, it’s a problem. Most used car managers will argue that they review

Read More »

The Importance of Keeping Your Insurance Policies

December 23, 2013

You should keep all former garage policies with your liability, property, comprehensive and other coverages. Plaintiffs’ attorneys are increasingly utilizing the legal doctrine of equitable tolling to circumvent statutes of limitations that might otherwise bar legal actions against dealers. This doctrine can be used by a court to allow the presentation of a stale claim

Read More »

Federally Mandated Form Updates

December 23, 2013

Now that August is here, there are some revisions to forms that you use in your dealership of which you should be aware.   Adverse Action and Risk Based Pricing Notices   As of July 21, 2011, your dealership will be required to be using updated adverse action and risk-based pricing notices. Here is what the

Read More »