Category Archives: Auto Dealer

Guest Article Jim Ragodna: Compliance vs. Ethics: The Lines are Getting Blurry in the Car Business

Posted on March 15, 2016 by Gregory Johnson

By Jim Ragodna. Ethics and compliance are different from each other, but both are vitally important to the long-term success of dealerships and automotive professionals. Often the terms “unethical” and “illegal” are used interchangeably. Ethics is personal – it means … Continue reading →

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The Liability Insurer’s “Hidden” Duty to Defend– the Obligation to Pay for its Insured’s Affirmative Claims.

Posted on March 9, 2016 by Gregory Johnson

By Greg Johnson. The typical liability insurance policy requires the insurer to “defend” the insured (i.e., dealership) if it is sued by a third-party on a claim covered by the policy. Often, the “defense” feature of a liability policy is … Continue reading →

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Minnesota Supreme Court Rules in Nissan Dealer Relocation Case under MVSDA

Posted on March 2, 2016 by Gregory Johnson

By Greg Johnson. The Minnesota Supreme Court recently issued a decision interpreting the Minnesota Motor Vehicle Sale and Distribution Act (“MVSDA”), Minn. Stat. §§ 80E.01 .17 (2014). In Wayzata Nissan LLC v. Nissan North America, Inc., Case No. A14-1652 2016 … Continue reading →

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Guest Contributor Jim Radogna: F&I Fact vs. Fiction

Posted on February 24, 2016 by Gregory Johnson

By Jim Radogna. It’s not uncommon for me to be asked to weigh in on the occasional compliance conundrum posed on some social media forum. Many such inquiries involve disagreements about long-held beliefs in F&I and whether or not they’re … Continue reading →

Posted in Auto Dealer, Indirect Financing, Regulatory Compliance | Tagged , , , | 1 Comment

Auto Dealers Entitled to Money Distribution in Auto Parts Antitrust MDL Case

Posted on February 18, 2016 by Gregory Johnson

By Greg Johnson. On November 19, 2015, U.S. District Judge Marianne O. Battani of the Eastern District of Michigan issued an Order Granting Final Approval of an initial, partial settlement of $59 million to auto dealers in the multi-district (MDL) … Continue reading →

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Times Change and so do Car Prices: Bring back the Gremlin!!

Posted on January 8, 2016 by Gregory Johnson

By Greg Johnson. I remember when my dad sold AMC Gremlins for $1,999 in the early 1970’s.  Yes, I grew up with Hornets, Javelins, Matadors, Pacers and Gremlins — probably the most bizarre car line ever produced in America, or … Continue reading →

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Why do Auto Dealers Purchase Limited Truth in Lending Coverage?

Posted on December 9, 2015 by Gregory Johnson

By Greg Johnson. Why do dealerships keep purchasing statutory errors and omissions coverage that is not likely to protect the dealership if it is sued by a customer for truth in lending violations? I’ve been handling dealership insurance coverage disputes … Continue reading →

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Protecting the Dealership’s “Front-End” and “Back-End”: What Does that Mean?

Posted on November 5, 2015 by Gregory Johnson

By Greg Johnson. Everyone in the retail automobile industry is familiar with the terms “front-end” and “back-end.” They represent two sources of potential revenue (and, hopefully, profit) for auto dealerships: The “front-end” refers to revenue realized on the sale of … Continue reading →

Posted in ADCF Policy, Auto Dealer, Coverage, Duty to Defend, Duty to Indemnify, Truth in Lending Coverage | Tagged , , , , , , , | Leave a comment

Minnesota Dealership and Lenders Prevail in Fair Credit Reporting Act Litigation

Posted on October 16, 2015 by Gregory Johnson

By Greg Johnson. Can an auto dealership be liable for damages when it transmits a customer’s credit application to several financial institutions through an automated on-line credit application system and the financial institutions pulls the customer’s credit report without express … Continue reading →

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The CFPB Strikes Again – Class Action Waivers to be Eliminated? Maybe Not.

Posted on October 9, 2015 by Gregory Johnson

The Bad News.By Greg Johnson. At a recent Consumer Financial Protection Bureau field hearing in Denver, the CFPB revealed a proposal to eliminate the use of class action waivers in consumer finance contracts. Many retail installment sales contracts require arbitration … Continue reading →

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