Short Cuts

New I-9 Form Dealers know that their packages for new hires must include an I-9 Form to verify the identity and eligibility of employees hired. The supplies of forms that dealers have in inventory may not be up to date, however. The U.S. Citizenship and Immigration Services has revised Form I-9, and employers must begin

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Final Rule Requires Posting of NLRB Rights

UPDATE (January 2012):  NLRB Posting Requirement Delayed Again! The National Labor Relations Board (NLRB) has agreed to postpone the effective date of its employee rights notice-posting rule at the request of the federal court in Washington, D. C. hearing a legal challenge to the rule. The posting requirement was originally set for mid- November 2011 and was

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Mythbusters: Used Car Warranties

MYTH: When a dealership sells a used car with the dealer’s warranty, the FTC buyer’s guide serves as the warranty document that the customer must receive. THE FACTS: A customer who buys a used car with the dealer’s warranty must also receive a separate warranty document.  The FTC Used Car Rule simply requires that a dealer describe

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The Other Shoe Drops

This summer, all GM dealers received notices concerning their Area of Primary Responsibility (APR) and, where applicable, their Area of Geographic Sales and Service Advantage (AGSSA). Some dealers challenged those market assignments. Many did not. If you are a dealer who wondered what impact the new APRs and AGSSAs would have, we now have some answers.  General Motors

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When the DOL Shows Up Unannounced

It’s an unusually busy Monday morning. You have the normal catch-up on the weekend business, but your manufacturer representative is visiting today and your sales manager wants to quit. Just when you think you have everything under control, the receptionist buzzes you that someone from the federal government is there to see you.  You go to the

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Credit Cards: Read Your Agreements!

The passage of the Dodd-Frank financial regulation bill last year, as well as a recent campaign by Ally Bank to encourage use of credit cards in vehicle sales transactions, has led to some misconceptions about credit card use in dealerships. Here are some frequently asked questions and answers about credit cards in a dealership. Q:        Do

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Primary Market Area Notices

Dealers regularly receive notifications from manufacturers of their area of primary sales responsibility. Whether the area is denominated as the primary market area, the area of geographical sales and service advantage, or some other term, many dealers disregard these notifications. These dealers generally feel there is nothing they can do about the size and shape of the

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RBP & AA Notices: The Confusion

There is confusion over the issue of whether a dealer should provide a risk based pricing notice, followed by an adverse action notice if credit is declined. You have probably read that: (1) the notice that most dealers have chosen to provide under the Risk Based Pricing Rule to consumers who apply for credit must be

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

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

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