2018 GNYADA Membership Directory

IRS Form 8300: Reporting of cash payments in excess of $10,000 • Generally, for failure to timely file a complete and accurate Form 8300 or to furnish notice to persons on whom Form 8300s were filed, the penalty is $260 per report with an aggregate annual limit of $3,193,000. • For failure to file due to intentional disregard, the penalty is the greater of $26,600 or the amount of cash received, not to exceed $106,000. For failure to furnish notice to persons on whom Form 8300s were filed due to intentional disregard, the penalty is $530 per failure or, if greater, 10% of the aggregate amounts of the items required to be reported. • Note that the IRS adjusts the penalty amounts for inflation annually.

Used Car Rule • Up to $40,654 per violation. • Possible state AG claims under UDAP and Motor Vehicle Sales laws. • Possible UDAP claims or fraud claims under state laws.

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Federal Odometer Act • The Department of Transportation can impose penalties of up to $10,000 per violation, subject to a $1,000,000 cap for a related series of violations. • In a private party civil action where the violation involves the intent to defraud, liability is the greater of three times the actual damages or $10,000. FTC Telemarketing Rule • Up to $40,654 for each violation; redress to injured consumers; disgorgement of ill-gotten gains earned from the unlawful conduct. • For dealers, subject to CFPB regulation, regulation per day penalties of up to $5,000, for violations that are not reckless or knowing. The cap for reckless violations is $25,000 per day; the cap for knowing violations is $1,000,000 per day. • States may also obtain relief.

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Military Lending Act 10 U.S.C. § 987, 32 C.F.R. Part 232 • Actual damages of not less than $500 per violation.

• Violating contracts are void from inception. • Arbitration agreements are unenforceable. • Punitive damages, equitable or declaratory relief, reasonable attorney’s fees, court costs, and any other relief provided by law. • Knowing violations are misdemeanors, punishable by fines, up to one year imprisonment, or both.

Information provided Courtesy of Dealertrack Technologies 888.705.7926; www.dealertrack.com