GNYADA May 2017 Newsletter

Consumer Groups Sue FTC Over Dealer Settlements

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still exercise caution in using the term “certified” when selling or advertising such vehicles. While federal law permits the sale of used vehicles with open recalls, the New York Attorney General’s Advertising Guidelines state that only vehicles “certified” under a manufac- turer’s program can be advertised as such. As nearly all OEM programs make vehicles ineligible for certifica- tion if subject to an open recall, an ad that refers to a recalled vehicle as “certified” could be deemed decep- tive or misleading by the AG. Additionally, in light of subpoenas

and recent settlements with the New York Attorney General’s Office, deal- ers’ policies regarding the sales and advertising of used cars with open recalls should include disclosure throughout the process. GNYADA encourages dealers to always disclose any recalls to cus- tomers by checking safercar.gov and have them sign an acknowledgement that they have been provided that information before delivery. For further questions regarding the sale/advertisement of used cars subject to open recalls, please call the Association at 718.746.5900.

A number of consumer protection agencies are seeking to overturn agreements reached between the Federal Trade Commission (FTC) and several dealer groups, relating to the advertisement and sale of pre- owned vehicles with open recalls as “certified preowned”. The plaintiffs’ complaint is that the FTC is permit- ting sales of vehicles with open recalls to continue. The case is ongoing, and the FTC has, so far, not backed down from its position that proper disclosures may suffice in allowing the sale of pre- owned vehicles with open recalls; however, dealers in New York should

17 Local Dealer Raising Autism Awareness

“Autism is a very underrepresented issue in the com- munity,” said Leader in Cars President, Jordan Daiagi Harary. “There are a million different groups that need our help, but the amount of support isn’t matching the need.” Leader in Cars kicked off the local initiative by posting a video on their social media channels asking followers to recommend organizations in the area to make donations to. In the video, Mrs. Daiagi Harary pledged to contribute a preset dollar amount to the selected organization(s) for every car sold at Garden City Mazda, Huntington Mazda, and New Rochelle Hyundai. Followers sent more than 400 responses covering thirty organizations, which was whittled to the following three: ACDS Nassau/Suffolk Autism Society of America D3 Sports and Recreation “There is a lack of organizations that help adults with autism, so it was important that we support those as well,” continued Mrs. Daiagi Harary. “Our goal is to bring awareness to the cause, not just throw money at it.” For more information, visit www.licauto.com

As a regular feature of the Newsletter, GNYADA has started highlighting the charitable efforts of area dealers who seek to positively impact their communities. This month, we focus on one local dealer group's mission to promote autism research and benefit organizations that help families affected by autism. Since March, Garden City Mazda, Huntington Mazda, and New Rochelle Hyundai have equipped vehicles with light-blue license plate frames in support of the national advocacy organization Autism Speaks. In addition, the stores’ dealer group, known as Leader in Cars, launched a regional campaign to assist local autism schools and organizations in need of funding.

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • May 2017 11