Page 1

SINCE 1940

July 2013

A Publication of the Florida Independent Automobile Dealers Association

Information and Insight for Florida Used Car Dealers

Hurricane season is just getting started. Is your dealership prepared for storms churning up trouble? Review disaster preparation checklist on Page 6.


Florida dealers meet-up with colleagues from around the country at the NIADA Annual Convention.



If you are tired of things being just good enough, it may be time for a new game plan.



July 2013 — Independent Dealer — 1


2 — Independent Dealer — February 2013

Dealer Independent

MAILING ADDRESS 1840 Fiddler Court Tallahassee, FL 32308 TELEPHONE (850) 385-2712 (800) 237-0448 FAX (850) 385-3251 WEBSITE EXECUTIVE COMMITTEE Christopher Leedom President Dino Mercurio Senior Vice President Brandi Noegel Chairman of the Board David Cox, CMD Secretary Paul Matton Treasurer Frank Fuzy Regional Vice President George Hickey Regional Vice President Steve Marbais, CMD Regional Vice President Jim Winterick, Sr. Regional Vice President Jim Winterick, Jr. Regional Vice President FIADA STAFF Lisette Mariner Executive Director Terry Myers Educational Instructor Sarah Langley Administrative Director Nicole Lee Development Administrator Amelia Tillman Administrative Assistant Christy Taylor Editorial/Advertising


Send address changes to

FIADA • 1840 Fiddler Court Tallahassee, FL 32308 (850) 385-2712 • Toll Free: (800) 237-0448 Fax (850) 385-3251 • The Independent Dealer is a publication of: Florida Independent Automobile Dealers Association, 1840 Fiddler Court, Tallahassee, FL 32308 The magazine is published every month in Tallahassee and distributed to Florida new, used, wholesale and lease/retail car dealers. Advertising rates are available upon request. The statements and opinions expressed herein are those of the individual authors and do not necessarily represent the views of Independent Dealer or the Association. Likewise, the appearance of advertisers, or their identification as members of FIADA, does not constitute an endorsement of the products or services featured.

Contents July 2013

For members of the Florida Independent Automobile Dealers Association

C O L U M N S & F E AT U R E S 4

President’s Message Christopher Leedom


Executive Director’s Message Lisette Mariner


NIADA News Succession Plan Brings Changes in Leadership; Convention Recap


Membership News New, Renewing and Rejoining Members


What Does PCI Compliance Mean For You? Learn about the requirements for maintaining compliance within the payment card industry.


Executive Committee Spotlight One-on-one with FIADA Regional Vice President Frank Fuzy.


Join Us In Margaritaville! Make plans now to attend the premier event for Florida’s independent dealers. Get a head start by sending in your registration now.


When “Good Enough”...Isn’t Good Enough Convention Keynote Speaker Fred Moore helps you get a G.A.M.E. plan together that will catapult your business to success.


Positioning Your Business Taking the time to reflect on the right information about your customers can help put your business in a special niche.


A Look At Current Legal Issues Attorney Tom Hudson runs through the list of recent court decisions that could affect you.


Industry News

July 2013 — Independent Dealer — 3


Calling all Florida Dealers . . . BY CHRISTOPHER LEEDOM, FIADA PRESIDENT


s we start the second half of 2013 I wanted to remind you there are two big events on the FIADA schedule. You should mark your calendars and plan to attend both. We are calling on all Florida dealers to attend one or both of these programs. These events will provide timely information about a host of topics that are near and dear to every dealer’s heart.

You can also use the registration form on page 21 of this issue. One of the benefits of FIADA membership is the ability to attend and participate in these types forums so that as dealers we stay better informed. Business moves at the speed of light it seems with changes, technology advancements and improved strategies. None of us can afford to get left behind. The best way to stay up to date is to get involved and participate in these events.

First, in July we have our next Town Hall meeting in Jacksonville. We will cover topics like how to prepare for sales tax audits, legal and regulatory update and a host of Finally, my tip for this month is to review your first half of other topics. This event will be held on Friday, July 26th 2013 results. Look at your financial statements. How are at the Sawgrass Marriott Resort and Spa in Ponte Vedra you doing so far? Where do you need to improve? What Beach (see page 29 for details). We also have our board needs to change in your business? We constantly need to meeting the next day, Saturday, July 27th so stay and assess where we are at so we can plot where we are going. get involved! We are always looking for dealers that are willing to serve on committees and help shape the direction of FIADA. We hope to see you in Business moves at the speed of light Jacksonville!

it seems with changes, technology advancements and improved strategies. None of us can afford to get left behind.

Then in October we get ready for the “big event” of the year - our Annual FIADA Convention. This state wide convention is one of the best in the nation. There are over 20 workshops – many of which qualify for continuing education credits. There are speakers and sessions covering just about any challenge we as dealers face. And there is the networking opportunity with fellow dealers where all kinds of ideas are exchanged. Not to mention the exhibit hall which features products and services from the best vendors and providers in the industry. Our theme this year is Margaritaville, so come out and have some fun. The event will be held on October 17-19 at Disney’s Coronado Springs Resort in Orlando, FL. Register today at www. or call our FIADA office at (800) 237-0448. 4 — Independent Dealer — July 2013

Sometimes a small change in your business can really impact profitability. So examine your operating results for January through June and plan for an improved July through December! For all of our members that are reading this issue thanks for your support of FIADA. Without you we don’t have an association and we do not have a voice for our industry. We appreciate your support Have a great month and see you at an FIADA event soon!

We offer more than products. We offer solutions.

When you work with Protective you offer customers more than products; you offer solutions – solutions that allow people to embrace all today has to offer by protecting their tomorrow.

Protective provides F&I solutions that simplify the selling process with easy to understand products, advanced training and reliable customer care and claims service. We are committed to your profitability by serving the increasing number of car buyers that are unprotected from the costs of future mechanical expenses.

Like you, we believe in doing the right thing for the customer. Help your customers protect tomorrow and embrace today with F&I solutions from Protective Asset Protection.

Learn more at


Protect Tomorrow. Embrace Today.™ Vehicle Service Contracts I GAP Coverage I Credit Insurance I Lifetime Engine Warranty Limited Warranty I Dealer Participation Programs I F&I Training I Advanced F&I Technology

Contact Protective’s Florida representative, Chris Behrens at 866 452 7335 A “National Corporate Partner” has met stringent NIADA criteria demonstrating that it can provide valuable products and services to NIADA members. No legal partnership has been created by the granting of this status, but NIADA does receive compensation from Protective. Lifetime Engine Warranty, Limited Warranty, Vehicle Service Contracts (VSCs) and GAP are backed by Lyndon Property Insurance Company in all states except NY. In NY, VSCs are backed by Old Republic Insurance Company. GAP, Lifetime Engine Warranty and Limited Warranty are not available in NY. Credit Insurance is backed by Protective Life Insurance Company in all states except NY, where it is backed by Protective Life and Annuity Insurance Company.

July 2013 — Independent Dealer — 5




ummer officially began at 1:04 a.m. on June 21 and like with the flip of a switch, the weather will once again behave like summer with afternoon thunderstorms, rising temperatures and tropical storms that will hopefully fizzle off and keep the hurricane activity low. This year’s summer solstice also stood out because it was followed by the largest supermoon of the year. John F. Kennedy once said, “the time to repair the roof is when the sun is shining.” Most hurricanes occur from mid-August to late October but there are a few things you can do today to help prepare for tomorrow’s storm.

According to the Federal Emergency Management Agency (FEMA), almost 40 percent of small businesses do not reopen their doors after a disaster. FEMA also reports that another 25 percent fail within one year. The US Small Business Administration reports that over 90 percent of businesses fail within two years after being struck by a disaster. Just a few inches of water can cause tens of thousands of dollars in damage. Over the past 5 years (2006-2010), the average commercial flood claim has amounted to just over $85,000. FEMA’s website at has a flood risk assessment. The IRS reports that for every dollar spent in preparedness your business saves $7 in recovery from disaster related economic losses. The National Oceanic and Atmospheric Association (NOAA) predicts that 2013 will be a very active season. NOAA’s Atlantic Hurricane Season Outlook 6 — Independent Dealer — July 2013

says there is a 70 percent likelihood of 13 to 20 named storms (winds of 39 mph or higher), of which 7 to 11 could become hurricanes (winds of 74 mph or higher), including 3 to 6 major hurricanes (Category 3, 4 or 5; winds of 111 mph or higher). These ranges are well above the seasonal average of 12 named storms, 6 hurricanes and 3 major hurricanes. It only takes one to devastate a community. Look at the destructive impact Sandy had on the Northeast. Prepare your business like you would prepare your family. Develop a plan, but don’t forget to practice your plan to ensure everyone knows what to do. Build a kit that includes water, food, flashlights, cash and important documents. Remember to include insurance documents, employee contact information, and backup files. Protect your important records. Store copies of your business license, vital records, contract agreements and operational records to prove ownership. Store them at least 50 miles from your main location. There are many sites available that provide easy tips and templates for business disaster plans. Here are two and hurricane/quick-tips-for-business-hurricane-season/. The Insurance Institute for Business and Home Safety gives these three preparation tips for commercial properties: Verify Employee and Vendor Contact Information. Accurate contact information is one of the most important components of any business operation and it is even more critical in an emergency. Knowing Continued on Page 8.



check out our websites:



EXECUTIVE DIRECTOR continued from Page 6.

how to reach your employees and vendors is a vital part of helping your business to quickly recover from a disaster. Send a memo asking employees to update their contact information. An up-to-date list will help you to check on their well-being after the storm has passed and share next steps for resuming normal business operations. At the same time, make sure to update your supplier and vendor contact information, as well as other important contacts such as your bank or insurance carriers. Update Critical Business Functions. Download a copy of the Open for Business® toolkit at for forms that can help you to prioritize which business functions are most critical for continuing operations in an emergency situation. Critical business functions can change from year to year. Review your existing disaster plan to account for any changes such as the addition of new business systems, products and employees. Here are some questions to get you started: • How much downtime can my business tolerate without a significant financial impact?

• •

Which functions are necessary in order to fulfill legal or regulatory obligations? What business functions are essential for maintaining market share and reputation?

Be sure to prioritize each function (high, medium or low) and determine who among your staff is responsible. Record detailed notes outlining the steps that should be taken in common disaster scenarios, such as power outages, damage to equipment, natural disasters. Work with your employees so that they fully understand the procedures for recovering the critical business functions. Name an alternate employee to take charge should the primary employee be unavailable to perform the function. Advance planning will help everyone to recognize their responsibilities. Prepare Your Recovery Location. If your plans include the use of a recovery location, which is an alternative site for business operations, take time to review your needs to be certain the location is still adequate. Be sure the location is equipped with any special supplies or equipment that will be needed to continue business operations. It is also a good idea to contact the recovery location provider before the season starts so that you can review plans and ensure that your requirements are still being met.

Download a copy of the Institute for Business and Home Safety’s Open for Business® toolkit for disaster preparation and recovery planing at

Did You Know? There is a new feature that has been activated at You can now use the Files and Links tool to upload and store documents that can be shared publicly or privately. Use the feature to upload a resume, a promotional flyer, nearly any file you would like to share. Vendors are using the link to upload their applications and materials for your convenience. Log in to, and go to your member profile to get started.

Connect to for the latest news, information and resources! 8 — Independent Dealer — July 2013

“GoldStar GPS – the only device we need for inventory management.” “GoldStar GPS has been hands down the best way for our dealership to know where our inventory is. Without GoldStar GPS I would lose the peace of mind I have from reliable asset protection and I wouldn’t be able to close as many deals. Having used other GPS vehicle tracking devices in the past I found that no


company comes near the reliability and service GoldStar GPS has given me.”

Matt Celender, Owner Casey’s autO whOlesale l sarasota, Fl


CALL TODAY: 1-866-655-8825

©2012 Spireon, Inc.

July 2013 — Independent Dealer — 9


NIADA Succession Plan Brings Changes in Leadership After Two Years of Planning, Michael Linn Becomes CEO Emeritus, Steve Jordan Named Executive Vice President


ongtime NIADA chief executive officer Michael Linn became CEO emeritus on July 1 following the NIADA Convention and Expo. NIADA has been preparing for the change for the past two years as a transition team, headed by NIADA past president Charles Teel, crafted a plan to ensure a seamless transition in the association’s senior leadership. As part of the succession plan, Steve Jordan, the former FIADA Executive Director who was hired in 2011 as chief operating officer, will be promoted to executive vice president. Linn, who served 14 years as NIADA’s CEO, will move into the role of CEO emeritus. Jordan will be responsible for the Steve Jordan day-to-day operations of NIADA and will serve as president of the NIADA Services board and the NIADA Foundation’s board of trustees. He will report directly to the executive committee. Linn will be relocating back to North Carolina – he served for 12 years as executive director of the Carolinas IADA before coming to NIADA – and will leverage his extensive background in broadcasting and media to head the growth opportunities associated with NIADA.TV, NIADA’s Conference Broadcasting TV and other “new” media. “There is a lot of room for future growth in that area for the association that we are excited about.” Linn said. “To meet that demand, my primary focus will be to take the NIADA Internet TV networks to the next level.” Linn will continue to work with the NIADA executive committee and attend industry events in his new role.

As NIADA’s executive vice president, Jordan will use his experience as a former Buy Here-Pay Here dealer and his expertise in lobbying, governmental affairs and public relations. He will continue to be responsible for growing and maintaining NIADA’s regulatory and legislative affairs programs, member services and association publications, as well as coordinating activities with the association’s state affiliate organizations around the country. “It’s such a great honor to be given this opportunity to serve the NIADA, our dealers and the automotive industry in this capacity,” Jordan said. “I am humbled by the faith and trust Mike Linn and the NIADA executive committee have placed in me to carry the torch into the future. “I’m excited. This position suits my background, personality and professional experiences perfectly.” Chris Martin, former NIADA president and current chairman of the executive committee, said, “The NIADA executive committee is eager to lean on Mike’s broadcasting background to ramp up the NIADA TV networks and is thrilled to have someone of Steve’s enthusiasm, integrity and automotive industry experience steering the NIADA ship. Mike Linn is leaving some very big shoes to fill, but we are all confident Steve is the right man at the right time to build on the solid foundation Mike has established during his storied career at NIADA.” Jordan has direct automotive dealership experience, specializing in Buy Here-Pay Here operations as the managing partner of J.D. Byrider’s Florida operation in Tallahassee. Previously he held positions as a political campaign manager and consultant, founder of an Internet company, account executive in Enterprise Rent-A-Car’s Fleet Services division and the deputy national field director of a nationwide political advocacy organization.

Catch up with all the events from the NIADA Annual Convention in Las Vegas online at Watch exclusive videos on the NIADA TV channel at 10 — Independent Dealer — July 2013

Mike Linn (center), NIADA’s CEO emeritus, receives an award at the NIADA Banquet.

FIADA Quality Dealer Brandi Noegel.

The 2013-2014 NIADA Executive Committee is installed by Past President Chris Martin.

NIADA President Keith Hagler with Senior Vice President Frank Fuzy Brandi Noegel enjoying the Quality Dealer banquet with her daughter, Ashley, and guests.

A National Quality Dealer George Hickey with Brandi Noegel at the Quality Dealer Banquet.

Saturday Night’s Alright for Sir Elton’s performance.

Tina Turner was simply The Best.

Keynote speaker Barry Switzer with Steve Jordan. July 2013 — Independent Dealer — 11


New Members

JUNE 2013

Andervis Auto Sales Ocala, Florida Norma Anderson Sponsor: Terry Myers

30+ Year Members Langston Motors Turnpike Motors

Central Environmental Services, Inc. Apopka, Florida Richard Lorenz Sponsor: ADD/Mark Bridgman Elraha A N Exports, Imports, and Repairs Orlando, Florida Amir Ahmed Sponsor: Kevin Scott

Premier Motor Cars Bonita Springs, Florida Monti Long Sponsor: Sarah Langley American Traveler Motor Club Sarasota, Florida Debbie McGee Sponsor: Triumph Consulting Services

Under 10 Year Members Alliance Coach America Choice RV American Recovery Association Anderson’s Affordable Auto Auto Dealers Wholesale Chase Custom Finance Dennis LeVine & Associates, PA Fine Art Motors Inc Firehouse Auto Sales Hot Rod Hanks Detail & Customs, Inc. Millennium Luxury Coaches PCT Enterprises Of FL, LLC Reliable Rides, Inc. Rick’s Auto Marketing Center South Ride-Away Handicap Equipment, Inc. Scotti’s Auto Repair & Sales Sterling Credit Corporation

Eddie Anderson Motors LLC Lakeland, Florida Eddie Anderson Sponsor: Amelia Tillman Ashton Agency, Inc. Winter Park, Florida Cheri White Sponsor: Lisette Mariner Easy Imports Fort Lauderdale, Florida Will Biab Sponsor: Sarah Langley

Automotive capital resources South Miami, FL Carlos Ortega Sponsor: Sarah Langley 12 — Independent Dealer —July 2013

JUNE 2013

JUNE 2013 Eustis, FL Pompano Beach, FL

20+ Year Members Benz Financial Services, Inc. North Miami Beach, FL Century Motors of S. Fla., Inc. Pompano Beach, FL Harold D. Corey Auto Broker Indian Rocks Beach, FL Manheim Tampa Tampa, FL Maxx Motors Princeton, FL Mike Hill Used Cars, Inc. Panama City, FL Park Motors, Inc. Jacksonville, FL, a division of Howland International Kissimmee, FL Southeast Car Agency, Inc. Gainesville, FL 10+ Year Members Auto Select Car Credit Creel Motors Golden Oldies Auto Sales, Inc. J-Linn Motors Passport Leasing Corp. Stepanek’s A/S & Service, Inc. Warren’s Auto Sales William H. Fenton Co., Inc.

Jennifer Firm Tampa, Florida Sponsor: Terry Myers

Rejoining Members

Renewing Members

Saint Augustine, FL Tampa, FL Saint Petersburg, FL Hudson, FL Clearwater, FL Ft Lauderdale, FL Vero Beach, FL Avon Park, FL Westfield, MA Wildwood, FL Windermere, FL Irving, TX Dunnellon, FL Tallahassee, FL Miramar, FL Tampa, FL Wesley Chapel, FL Sebastian, FL Umatilla, FL Sanford, FL Englewood, FL Wilton Manors, FL Carthage, NC Addison, TX Sarasota, FL Maitland, FL

Give the Gift of Membership! Sponsor the membership for a fellow dealer by paying for their first year of dues. Call the office at (800) 237-0448 and find out how you can give the gift of membership.

The rules are easy: when a new member signs up with your name as sponsor on their application, you will receive $50.00. In addition, you are eligible for membership recruitment awards and recognition from both the FIADA and NIADA. This is a valuable opportunity to reach dealers who may not have heard of FIADA before. By meeting dealers who are nearby, at the auction or you cross paths with in your daily routine, you have an opportunity to share FIADA benefits with these prospective FIADA members as well as relay your personal experience with the Association. FIADA is ready to coach you to victory. To get your playbook and sign up to 13 — Independent Dealer — June 2013 participate so you can receive your $50 bonus, please go online and sign up so we

know you are an official member of our team. Become an MVP today!

July 2013 — Independent Dealer — 13


What Does PCI Compliance Mean For You? Understanding compliance requirements of the payment card industry can help ease you and your customer’s minds. By Jessica Sweeney


hen you hear PCI (Payment Card Industry) Compliance it can mean a number of different things. It could be referring to your merchant service provider, processor or yourself being compliant; or the monthly fee you pay to your processor, or it could even be about a questionnaire some merchants are required to fill out. At the end of the day what really matters is an understanding of what PCI Compliance means for you and your business.

requirements you have to complete them. Most merchants will fall under levels two through four and will need to complete a Self Assessment Questionnaire. The questions presented are about how you are accepting your payments and the vendors you are using to do so. This questionnaire on average takes about 30 minutes to complete. Ask your merchant service provider if they have resources available to help you complete this questionnaire.

To figure this out you must first find out which of the four Visa Merchant levels you fall into. Level one merchants process over six million VISA transactions annually. They are required to complete annually onsite reviews by a Qualified Security Assessor (QSA), and a network scan by an approved scanning vendor (ASV). Level two merchants, processes between one million and six million VISA transactions annually, level three process between twenty thousand and one million VISA transactions annually, and level four merchants, process under twenty thousand VISA transactions annually. Levels two thru four all have to complete a Self Assessment Questionnaire (SAQ) and a quarterly system scan performed by an ASV.

Part of the questionnaire and the second requirement for compliance is to have your system scanned by an Approved Scan Vendor (ASV). You can contact your merchant service provider to find one of these as well as inquire if they have a program in which the scan is done for you free of charge. When it comes to completing these requirements ask as many questions as possible, the more you know the easier this process will be.

Once you have figured out which level you fall into and know your 14 — Independent Dealer — July 2013

After completing these requirements you will still see a monthly or annual charge for PCI Compliance on your merchant statement. This fee helps your processor maintain your compliance with the Visa / MasterCard industry. This is a non-negotiable fee and most processors charge between $5.00 and $30.00 monthly. If you choose not to complete your requirements,

merchant service providers will charge a Non-Compliance fee that can range from $19.00 to $75.00 monthly. Once you have determined your merchant level and completed the requirements accordingly you are PCI Compliant to the Payment Card Industry standards. You can learn more about PCI compliance at Paymaxx Pro offers an annual summit, COMPLY, that walks you through PCI and NACHA rules and regulations keeping you up to date. By processing credit/debit cards you are handling your customer’s sensitive and confidential information. Just as you would ensure your customer that their social security number is secure in your hands you should also be able to tell them their payment data is secure. Following the correct procedures will help keep both you and your customers’ minds at ease. Jessica Sweeney is the Relationship Manager at PaymaxxPro. For questions about PCI Compliance or the COMPLY 2013 conference, email


Experience the MarkOne Financial difference.

At MarkOne Financial there is more to approving a deal than just a number. In fact, credit scores aren’t even used in our programs. Our team of experts evaluate each deal on its own merit because ever y person has a unique life stor y. We work with our dealers and don’t lose sight of the value of an individual customer. Just one of many examples of how MarkOne does non- and sub-prime a little differently. Instead of rigid computer systems and credit scores, experience the full impact of our People Buying People ® philosophy. At MarkOne Financial, our only goal is to say, “If the deal makes sense, You’re Good to Go! ®”


MarkOne Financial is the Eastern United States subsidiar y of MarkOne Holdings.

© 2013 All Rights Reser ved.


June 2013 — Independent Dealer — 15



he FIADA Executive Committee is always a unique mix of dealers with different backgrounds, business models, leadership styles and experience. Even though their demographics may differ, they all have at least one thing in common: bringing value to FIADA members. Get to know this group better with a few questions and answers into their philosophies, outlooks and vision for the future.

Meet Regional Vice President: Frank Fuzy, Century Motors When did you become an FIADA member, and why did you join? I joined FIADA 25 years ago and am sold on the knowledge I get from my membership, especially when it comes to legislative issues. We have fought for almost 15 years against the threat of a used car lemon law and have managed to keep dealers protected each time; that is a major reason for anyone to join. I also enjoy attending the conventions and seeing other dealers at events and meetings. What are some benefits to being an FIADA member? The knowledge, of course, and also peer mentoring. Membership allows you the chance to pick each other’s brains, share trade secrets and network with dealers from the entire state. Do you feel that being a member of FIADA has contributed to your success? If so, how? Without a doubt, yes. Every year we better our business by attending the state and national conventions and meetings by always bringing something back that helps us make more profit and save money. The amount of money you save with FIADA and NIADA is priceless. 16 — Independent Dealer — July 2013

What leadership positions have you held with FIADA and how have they prepared you? Secretary was the first office I held, then Regional Vice President for a few years and Senior VP, President and Chairman. I had been a board member for 10 years, before returning to the Executive Committee three years ago as a regional VP. In addition to the benefits my business receives, I have personally gained by becoming more comfortable with public speaking. It’s really important, both professionally and personally, to get involved at the state level by participating as a committee chair, board member or even in an executive office. You are currently the NIADA Treasurer. What other NIADA offices have you held, and why have you taken such an active role at the national level? I have been NIADA Region II VP and last year was the Treasurer. At the 2013 Annual Convention I was installed as Senior VP, which is two seats away from the president. We strive as a car dealer to give back to the industry that provides for our living. National has brought the collaboration of all states to

Frank Fuzy is a past FIADA President and was installed as the NIADA Senior Vice President at the national convention in June. further the industry on a national level. Through NIADA I have made friends for life with other car dealers. We share our experiences and frustrations; we can all relate to the absolute high from a perfect car sale. As FIADA members, dealers automatically become NIADA members. What are some of the benefits of that partnership? Two for one membership! With that comes great lobbying representatives on the national level with Sante Esposito and at the state with Sandra Mortham. How is NIADA working for independent dealers, and what types of member benefits, programs, etc. are available at the national level, or will soon be available? NIADA is revisiting the Certified Continued on Page 18.

C OL IS CHOICES the plaCe For Cpo-elIgIble INveNtorY Fresh oFF-lease vehICles • Honda

Remarketing • Acura Remarketing • Toyota Financial Services • Lexus Financial Services • Volkswagen Credit • Audi Financial Services • GM Financial • Ford Motor Credit • Hyundai Motor Finance • Kia Motors Finance • Porsche Financial Services • Southeast Toyota Finance/CenterOne

IN laNe or oNlINe—You deCIde

Now Cool INjeCted. © 2013 ADESA, INC.

New engine. Better handling. Test drive today.


July 2013 — Independent Dealer — 17

FRANK FUZY continued from Page 16.

Pre-Owned program with some more tweaking. There are so many benefits like credit cards, parts and service discounts, and wireless services. NIADA-TV is going to have a new focus as Mike Linn starts focusing more on producing high-quality and streaming videos. What are your goals for both the FIADA and the NIADA for the coming year? My goal is membership. We need to try to make dealers aware of what the state and national associations do for the dealer as a profit center, and tips like where to go to get the news and gadgets you need or the apps for what cars to buy and sell. As members, we follow a strict code of ethics and there are a lot of good car dealers out there who meet and exceed those standards and should align themselves with our Association. Can you share your best advice for making it in this business? Set your

Frank and Gina Fuzy at the NIADA Convention. The Fuzy’s purchased a 2010 Chevy Malibu at the Car Auction sponsored by ADESA and AFC to benefit the NIADA Foundation that provides college scholarships to college bound members and education to dealers. goals at a level you want to get to and you will make it there. The sky is the limit! We have been doing business for over 29 years, and continue to grow.

It takes hard work, dedication, mastery of time management are all important but, I’ve got to be honest; you have got to love what you do to make it successful.

What is acceptable proof of ownership in Florida, other states and/or countries? Processing title paperwork correctly translates into faster processing by the tax collector’s office, helping dealers complete deals quickly and efficiently. In FIADA’s new Title & Registration Training seminar students will use a manual, examples and case studies to help clarify ownership transfer starting with the MCO, ‘new’ title through the ‘used’ title. Training is hands on and students will get the opportunity to complete their own sample title paperwork. Special $79 rate for FIADA members if you register now.

When is notarization acceptable/required? When and how does a lien get added/removed? Where do I find proof of present and past ownership, odometer readings and brands?

Upcoming Seminars: Orlando, July 26, 2013│ Jacksonville, August 5, 2013│ Tallahassee, September 27, 2013 │ Sarasota, October 7, 2013 │Tampa, November 4, 2013 │Orlando, December 13, 2013

To register, call (800) 237-0448 or go to 18 — Independent Dealer — July 2013

REGISTRATION is now open for the 2013 event! GOLD

Use the registration form on page 21 or go online to WWW.FIADA.COM and click on Events.

Florida Dealers!

Our First-Class Trade Show features vendors like:


Adesa Auto Auctions ARA GPS Auto Data Direct, Inc. AutoStar Solutions Automotive Capital Resources AutoRaptor CRM Carmax

Dealer Funding eBay Motors GWC Warranty Manheim Auto Auctions Mark-One Financial Tax Refund Services Title Technologies United Acceptance


Thursday, October 17, 2013 6:30-9:30pm Welcome Reception

Fred Moore Friday’s Opening Keynote

Friday, October 18, 2013 9-10am Opening Keynote 10-10:30am Member Meeting/Elections 10:45-11:45am Legislative Keynote 12-1:15pm Networking Lunch Mauricio Espinosa 1:15-2:15pm General Workshop Reaching 2:30-3:30pm General Workshop the Hispanic Market 3:45-5pm Legal Workshop workshop 6-9pm Exhibit Hall Opening/Family Fun Night Kathi Kruse Social Media 9pm-midnight Hospitality Suite, Strategies sponsored by Williams & Stazzone workshop

Paul Webb Sales Training workshop

Saturday, October 19, 2013 8-9:30am Breakfast with Exhibitors 9:30-10:30am General Workshop 10:45-11:45am General Workshop Register before 12-2:30pm Lunch with Exhibitors August 31 and get a special Early 2:30-3:30pm General Workshop Bird Discount! 3:45-5pm DMV Keynote 6:30-9pm Awards Banquet


Disney’s Coronado Springs Resort

Room Rate is $139 per night/plus tax. Reservations must be made by 9/17/13 to receive group rate. Space is limited. Call (407) 939-4686 to book your room.

2020 —— Independent Dealer —— May 2013 20 — Independent Dealer — July 2013 Independent Dealer July 2013

2013 FIADA ANNUAL CONVENTION REGISTRATION FORM COMPANY INFORMATION Company:_____________________________________________________________________________________________________ Address:__________________________________________________ City, State, Zip:_______________________________________ Phone:____________________________________________________ Fax:_______________________________________________ E-mail:___________________________________________________ Website:____________________________________________


EARLY BIRD REGULAR ON-SITE (2/1 - 8/31) (9/1 - 10/11) (10/12 - 10/20)

FULL ACCESS PASS Badge Name:__________________________________________________________


] $249 [

] $299 [

] $349

ADDITIONAL FULL ACCESS PASS Badge Name:__________________________________________________________


] $195 [

] $195 [

] $195

Badge Name:__________________________________________________________


] $195 [

] $195 [

] $195

SPOUSE FULL ACCESS PASS Badge Name:__________________________________________________________


] $100 [

] $100 [

] $100

EDUCATION PASS Badge Name:__________________________________________________________


] $99


] $124 [

] $149

FULL ACCESS PASS Badge Name:__________________________________________________________


] $299 [

] $349 [

] $399

Badge Name:__________________________________________________________


] $195 [

] $195 [

] $195

Badge Name:__________________________________________________________


] $195 [

] $195 [

] $195

SPOUSE FULL ACCESS PASS Badge Name:__________________________________________________________


] $100 [

] $100 [

] $100

EDUCATION PASS Badge Name:__________________________________________________________


] $124 [

] $149 [

] $175




F_ ULL ACCESS AND SPOUSE FULL ACCESS PASSES includes all meal functions, seminars and exhibit hall access and is eligible for continuing education credit. Additional Full Access passes and Spouse pass are only available with a Full Access registration. Valid FIADA membership required for FIADA member registration rates.




] I have enclosed a check made payable to FIADA


] I will be using a credit card

Name (as it appears on card):_______________________________________ Company:_______________________________________ Credit Card Billing Address:________________________________________________________________________________________ Credit Card Number:_____________________________________________ Exp Date:_______________________________________ Authorized Signature:_________________________________________________________________ CC Security Code:_____________ CANCELLATION POLICY: If cancellations are received in writing before 5pm on Tuesday, September 17, 2013, we will refund your registration fee. If cancellation is received between 9/18/13 and 9/30/13, we will refund your registration fee less a $25 processing fee. Fees cannot be refunded for registrations cancelled after 10/1/13 or for no-shows. Photo/Video Release: By registering for the 2013 FIADA Annual Convention, I hereby grant permission to use any and all photographic imagery and video footage taken of me at this event and activities pertaining to this event, without payment or any other consideration. I understand that such materials may be published electronically or in print, or used in presentations or exhibitions.

HOTEL INFORMATION: Disney’s Coronado Springs Resort. Hotel stay is separate from convention registration. Reservations must be made BEFORE SEPTEMBER 17, 2013 to qualify for group discount of $139 per night (plus tax) For reservations call (407) 939-4686.

Mail/Fax/ONLINE registration: FIADA, 1840 Fiddler Court, Tallahassee, FL 32308 FAX 850.385.3251


When “Good Enough”… Isn’t Good Enough Get a G.A.M.E. Plan together to move past mediocrity and into the level of success you have always wanted. by fRED MOORE


re you happy with your business? Do you make enough money? Would you like more out of life? If you’re like most people then the answer to those questions are; NO, NO & YES! Here’s a cold hard fact of life; you are where you are because of one single thing…you! It’s not the economy, it’s not the politicians, it’s not because the stars aren’t aligned and it’s not your sales staff. Sure all of those things do affect your business and your life (except maybe the “stars” thing) but it’s not the basis for your success or failure.

22 — Independent Dealer —July 2013

It’s your actions or inactions that decide on how well you do with your company, your significant other and your life. Deep down we all really know this, but it’s easier to blame someone or something else for our troubles. Most of us just go through life without achieving our dreams, without reaching our goals. We’re not down and out, desperate people with no hope, but we’re not the highly successful superstars that we’d hoped to be. We’re stuck here in the middle, wallowing in mediocrity. We’re at the “good enough” level. That’s the level where most people are; comfortable enough not to change anything, but not enough pain to push us to do more, to be more and have more. That’s what the series of articles I will be writing are all about; going beyond “good enough” and taking your

business to the next level and beyond. This is leading up to the FIADA Convention & Expo in October where I’ll have the honor or being your Keynote speaker and get into more detail on everything I’ll be talking about in the next few articles and give you specifics of how you can apply it to your business and your challenges. For now let’s cover the first part of the G.A.M.E. plan for success. This is an acronym for Goal, Action, Motivation and Evaluation; an easy way to remember the steps to take that will help you complete your goals. The first part is your goal. You have to know exactly what it is you’re going after if you want to achieve it. I don’t just mean an arbitrary goal like “I want to make more money” but a specific, clearly defined goal. Most people make blanket statements as their goals “I want to lose weight” or “I want to be rich” which is why they don’t do them. There’s no definite outcome, no exact prize to go for. It’s why New Years resolutions usually don’t work. Think about the resolutions you’ve made in the past. How many of them have come to fruition? Most people don’t do much about their resolutions or if they do it’s only for a short amount of time. So the first thing to be done when setting a new goal is to determine exactly what it is you want. I mean right down to the penny, down to the number and types of automobiles you want to move or the exact percentage of increase in sales. Let’s use a personal goal as an example, weight loss. It’s one of the most common goals that people have in their lives, right up there with getting out of debt. Most people would state their goal as: I want to lose weight. But we know that’s not good enough, we need to be more

precise with it. How much weight do you want to lose? Let’s say your goal is to drop 20 pounds and get your waist size to 32 inches. Now it’s clearly defined, an exact amount of weight you want to lose and even a specific pants size you’re going to fit into. The next step would be to set a deadline for this achievement. Make sure the deadline you set is a realistic one; don’t set yourself up for failure right off the bat. In other words your goal shouldn’t be “Lose 20 pounds by next week.” It might be possible, but it’s not a good idea. Some people set their goals with the idea of really going for the “gold” and pushing themselves to their limit, which is a great idea. Then again some people do this: set an unrealistic deadline, so they can justify to themselves “well I tried, but it didn’t work” and then they feel they don’t have to try again! A great way to determine your deadline is to do a little simple math.

For instance; your deadline is 6 weeks to lose those 20 pounds. That comes to 3.3 pounds a week, which is pushing it a bit. It could be done in that time frame but it’ll take a lot of work and discipline. Instead why not adjust that goal to; lose 20 pounds in 10 weeks. That comes out to only 2 pounds a week, very doable with just some slight adjustments to your current diet and exercise program. How you state this goal is also very important. Saying that you “want” or “wish” is just dreaming and hoping for something. Saying “I will” is a much better way to look at it though, it shows determination and commitment to this goal. But what happens when you state it like this: “As of this date (10 weeks from now) I have lost 20 pounds of ugly fat and I look good”. That is a powerful goal statement! You’re speaking to yourself in the past tense, as if it’s already happened. It’s now a foregone conclusion that you have reached your goal and gotten the results you’ve wanted. You can apply

this same formula to your business very easily. “As of September 1, 2013 I have increased sales by 10 percent” or “As of August 30, 2013 I have upgraded our website and made it easier for our customers to buy from us” Next month we’ll be talking about the next step in the G.A.M.E. plan; Action. But for now set yourself a clearly defined, obtainable goal with a realistic deadline and state it as if it’s already happened. Do that for this month and see if you can do what 90% of people who set goals don’t do. Complete your goals! Fred Moore is a speaker, entertainer & author who has traveled the world sharing his message in over 30 countries. He’ll be presenting his Keynote presentation “Beyond Good Enough: Taking your business to the next level” at the upcoming FIADA convention & expo in October. To find out more about Fred go to: www.

An innovative solution provider since 2003

Does your current GPS provider guarantee 100% reliability? Find out why the nation’s leading lenders and dealers are switching to InilexGPS.

Scan to visit

1-877- 723-9161 • 23 — Independent Dealer — March 2013

July 2013 — Independent Dealer — 23


Positioning Your Business Surveying who your customers are and how you are meeting their needs could position your business in a powerful way. By Ed Rigsbee, CSP, CAE


f you would like to develop a business strategy based on quality relationships, take a look at how your customers currently perceive your business. Ask your customers what they think of you through surveys or simply by word-of-mouth. The conversation they have with themselves about you is their reality. You can greatly influence your chances of success in an uncertain economy if you position yourself as a partner to your customers. Learn to get on their side of the table. Learn what they perceive as valuable to them and what is not. When you are clear about how you want the market to perceive you, you can then drive this positioning strategy throughout the many silos of your business. As all the areas of your business drive the same consistent message in both word and deed, you will own that position in your marketplace. Before I consult with an organization, I generally ask the management team to answer the following positioning questions. Answer them for yourself. Do this and your chances for success will dramatically increase. Who are my customers? This question sounds quite simple but this is a critical first step. To better understand the question, explore these sub-questions: a. Who do I want them to be? b. What must I do to get them? c. Who has chosen me?

24 — Independent Dealer — July 2013

d. What are their demographics?

Where are my customers? a. Geographically? b. Industry segments? c. Social/economically? d. What publications do my target customers read? e. What media format are they likely to frequent? How do my customers find me? a. Word-of-mouth, drive by or walk by traffic, snail mailings, e-mailings, phone solicitations, yellow pages advertising, local cable station/national networks, radio, newspapers, specialty magazines and cross promotions are possibilities. b. Maybe they’ve heard of you through a media interview or article? c. How about the Internet? By now, your organization should be somewhat web-centric. How do my customers perceive value (benefits) when selecting a dealer? Technological capability, knowledge, overall service/unbundling of services, integrity, selection, price, geography and a cadre of other factors will affect their selection process. How do my customers prefer to do business? a. Do they walk the partnering talk or just talk it? b. Can I live with their reputation? c. Can my company survive the

potential pitfalls? d. Ethics is a big consideration. Additionally, ethnic and cultural concerns are critical factors in today’s diverse society. Are you willing to “walk the extra mile” to understand and fulfill your diverse customers’ desires and needs?

Who is my competition? Generally, any business that can pluck dollars from the pockets of your potential customers is absolutely your competition! Specific to your situation, who has similar products and/or service capabilities? Who is willing to make a stronger commitment to offering the greatest total value package? a. Explore your direct competition. b. Explore your indirect competition. What are the benefits that my competitors’ customers believe they are receiving from my competition? Spending time thinking about solutions to customers’ problems and challenges from your competitors’ point of view will serve you well. Know how your competition thinks and acts. You can learn from them! To win customers, you must know your competition better than they know themselves. That is how Pepsi gained shelf space from Coke in grocery stores in the 1960s. Pepsi changed the rules by offering 8-packs and one-liter bottles. Be careful not to select copycat positioning—rarely is it successful. Adapt rather than adopt. What is it about my company that really gets me excited? Find your company’s uniqueness and passionately sell through that window with all your energy. Can’t find it? Either you’re not looking hard enough or you’re in the wrong place! Those with purchasing power will seek out specialists who can solve

A.R.A. GPS Systems

their customers’ problems by truly fulfill their customers’ needs, wants and desires—physically and mentally. Decide to position your company in this select group and then make the necessary commitment to get there.

The answers to the above nine questions will assist you in defining a positioning strategy upon which you can successfully increase sales and build your business. This may well be a new strategic direction or simply an adjustment to your current sales and marketing strategy. Entire industries are giving way to new technologies resulting in a new or dramatically changed paradigm for their industry. Where fragmented industries once existed in comfort, consolidators and roll-ups are devastating the playing field. As an example, you will not find the number of local independent stationary stores, bookstores and drug stores that once spotted your city streets—just big boxes that look, smell and feel all the same. Regardless of your specific industry, it’s changing whether you like it or not. It is happening before your own eyes. Can you see it? Ed Rigsbee, CSP, CAE, is the author of PartnerShift, Developing Strategic Alliances and The Art of Partnering. Additionally, he has over 2,000 published articles to his credit. Ed can be reached at or visit

770-871-0051 Member

Takes the Guesswork Out of Collections & Collateral Recovery BHPH • Sub-Prime • Fleets • Credit Unions

Best Coverage In The Industry


What is my personal uniqueness? a. What is it that you bring to the table? b. Is it your personality traits, the area in which you excel or the one thing about the way you do business for which customers are always complimenting you? Find this and you’ve struck gold! c. People prefer an original whenever possible—can it be you?

Accurate • Reliable • Affordable No Hidden Fees! • No Renewal Charges!

your computer

FREE Finance & Inventory Notes Receivable

General Ledger Inventory Web-Site


SOFTWARE!* Hourly Back-Ups State Compliant Forms


Support the FIADA PAC Fund! The FIADA Political Action Committee is looking out for you in Tallahassee. You can now make a contribution online at July 2013 — Independent Dealer — 25


A Look At Current Legal Issues BY Thomas B. Hudson and Nicole Frush Munro, Hudson Cook, LLC COMPLIANCE TIP Sending your documents to a lawyer for a compliance review is a good idea, but before you take that step, consider taking an even more basic step. Have one of your employees who is smart and detail-oriented sit down with a complete set of your documents and give them a good, thorough read. We predict that you will be amazed at the errors you find in the documents and the inconsistent provisions that you’ll find from one document to another. You’ll also probably discover provisions in your documents that you never rely on or that no longer accurately describe your practices. Armed with that kind of knowledge, you can give your lawyer a lot of very useful guidance when you do ship the documents off for a legal review. LITIGATION Dealership Not Required to Give Notice of Adverse Action under Equal Credit Opportunity Act: After a dealership and a customer finally came to an agreement on the down payment and monthly payment for a car, the dealership requested bank statements and tax return information. When the customer provided the requested information, she signed a vehicle sale contract and a retail installment sale contract. Later, the dealership told the customer that it was unable to secure financing and that she needed to return the car. The customer sued the dealership and several employees for, among other things, violating the Equal Credit Opportunity Act. The defendants moved to dismiss, and the U.S. District Court for the District of Maryland granted the motion with respect to the ECOA claim. The customer claimed that the defendants violated the ECOA by failing to give her notice of their adverse action. The court dismissed this claim, noting that the defendants were not obligated to provide notice because they did not participate in the credit decision but merely acted as third-party arrangers or referrers. See Sterling v. Ourisman Chevrolet of Bowie, Inc., 2013 U.S. Dist. LEXIS 62763 (D. Md. May 2, 2013). Note that other courts have come to the opposite conclusion on this one. Insurance Company Not Obligated to Defend Title Lender in Suit for Conversion Arising from Repossession: A title loan company, through its agents, twice repossessed the car of a debtor. The debtor sued for conversion and negligence. The title lender’s insurance company refused to provide a defense to the suit, stating that the suit was not covered under the title lender’s insurance policy. The title lender sued its insurer for failing to provide a defense. The trial court granted the title lender summary judgment. The Court of Appeals of Missouri 26 — Independent Dealer — July 2013

reversed and remanded to the trial court with instructions to enter summary judgment in favor of the insurance company. The insurance policy stated that the insurer would provide a defense for suits over property damage caused by an “occurrence.” The policy defined “occurrence” to mean a type of accident. The appellate court found that the alleged conversion of the car, pursuant to the repossession, was an intentional act. The title company’s intent was to deprive the debtor of the use of the car and, therefore, the repossession was not an “occurrence” or “accident.” As such, the appellate court determined that the insurance company had no duty to defend a charge of conversion. In addition, the appellate court noted that the specific allegations involving the repossession precluded a finding of negligence. See Allen v. Continental Western Insurance Company, 2013 Mo. App. LEXIS 506 (Mo. App. April 30, 2013). Court Refuses to Dismiss Fraud Claim Against Vehicle Seller that Listed Vehicle under Auction’s “Green Light” Designation Despite Previous Damage: When a lessee returned his leased car to the lessor, the lessor’s inspector noticed that the car had sustained accident and frame damage that had been repaired. The lessor advertised the car online through an auction company. The car was listed for sale as a “green light” vehicle, meaning that the vehicle is in the “highest condition.” The auction rules specify that the seller must ensure that the vehicle sells under the correct light. A licensed used car dealership bought the car online and then sold it to a buyer. The buyer and the used car dealership sued the lessor, alleging fraud and violations of the Illinois Consumer Fraud and Deceptive Business Practices Act. The lessor moved to dismiss the complaint, and the U.S. District Court for the Northern District of Illinois denied the motion. The court found that the plaintiffs sufficiently alleged that the “green light” designation misrepresented the condition of the car, that the misrepresentation was intentional, and that they justifiably relied on the “green light” designation as a representation about the condition of the car. See Buonavolanto v. Fifth Third Bank, 2013 U.S. Dist. LEXIS 54374 (N.D. Ill. April 17, 2013). Repair History Insufficient to Establish Warranty Claim Where Car Was Operable and Problem Could Not be Replicated: A lessee leased a new car, and the lease included an express warranty under which the manufacturer promised to repair or replace any defects for a certain term. Eight months after purchase, the power steering pressure hose on the car was replaced due to a factory recall. After that replacement, the lessee alleged that he experienced intermittent vibration

in the steering system at low speeds. The manufacturer repaired or replaced parts on the car eight times for this problem over six months even though it could not replicate the problem. The lessee sued the manufacturer for breach of express and implied warranties. The manufacturer moved for summary judgment, arguing that there was no defect that substantially impaired the vehicle and that it had repaired the car each time the lessee brought it in. The lessee argued that the repair history established an issue of disputed material fact concerning the defect. The trial court granted the manufacturer summary judgment. On appeal, the lessee argued that summary judgment was improperly granted because discovery was not complete and because there were issues of material disputed fact concerning the defect. The Superior Court of New Jersey, Appellate Division, affirmed. The appellate court determined that there was no issue of material disputed fact because the lessee did not demonstrate substantial impairment. In fact, there was no evidence of a defect because the car was driven over 23,000 miles in the first year and the problem could not be replicated. See Selman v. Jaguar Land Rover North America, LLC, 2013 N.J. Super. Unpub. LEXIS 881 (N.J. Super. App. Div. April 22, 2013).


The Answer Book for Finance and Insurance Professionals

360 things to know about auto dealer finance

“This new book may be called a ‘guide’ but it’s more likely a ‘bible’ for every dealer, F & I manager, and trainer in the country. A timely and invaluable reference that covers all legal and regulatory touch-points in a dealership’s purchase transaction by a consumer. AFIP’s endorsement confirms that the stable of authors know the ‘rights’ to follow and the ‘wrongs’ to avoid. It is on the recommended list by F&I Magazine.”

Car dealers, boat dealers, RV dealers–all businesses that sell personal property on credit–are subject to a bewildering thicket of federal and state laws and regulations. Responsibility for compliance usually falls on the general manager of the dealership or the manager of the “finance and insurance”, or “F&I” department. Sometimes the person responsible for sales and credit compliance has received some training dealing with these legal issues. But sometimes, the person shoved into the deep end of the pool as the compliance officer doesn’t have a clue what he or she is responsible for, and doesn’t know where to start.

Ed Bobit, Publisher Bobit Business Media

“Ignorance of the law is no excuse. And given the penalties for violating even one of the many legal obligations facing today’s auto dealer, including stiff fines and even imprisonment, a dealer must be well informed to make sound business decisions. There has never been a reference book for auto dealers and their professional advisors ... until now. This book is extremely well written and easy to read. It should be on the desk of every car dealer. It’s on mine.” Adam Goldfein, Host of the Nationally Syndicated Talk Show AutoScoop—The Inside to Car Buying

“If a dealer had to decide between renting an inflatable gorilla for his dealership’s rooftop or purchasing this book for every single sales manager and office manager in the dealership, I hope the dealer would make the business decision that could save him or her thousands of dollars in unnecessary legal fees.... Put the gorilla on hold and insist that every manager read this book and keep it on their desks. I’m making it required reading for every Northwood University Automotive Marketing major.”

Joseph J. Lescota, Chairman Automotive Marketing Department Northwood University

“The F&I Legal Desk Book is the official course text for the AFIP Certification Program. Hudson Cook, LLP, is now the course authority for the applicable state and federal regulations. I can count on one hand the law firms in the United States who could have met our curriculum requirements. The F&I Legal Desk Book will dramatically reduce the time required for candidates to prepare for the 200-question final exam. Hudson Cook, LLP, has made a major contribution to AFIP’s efforts to raise the bar for regulatory compliance and ethical conduct within the F&I trade.”

David N. Robertson Executive Director Association of Finance and Insurance Professionals

“A unique exploration of the Do’s and Don’ts for dealers without the legal maze.”

Charles F. Arrambide Assistant Vice-President Universal Underwriters Group

F&I Legal Desk Book

Michael A. Benoit is a partner with Hudson Cook, LLP and the author of “A Dealer’s Guide to Red Flags Compliance,” a comprehensive resource tool to help auto dealers create and maintain their internal Identity Theft Prevention Programs. His practice focuses on the practical application of a wide range of consumer financial services and dealer laws and regulations to the operational realities of auto dealers, finance companies, technology providers and financial services vendors. Mr. Benoit is a member of the DealerTrack Compliance Council, the National Association of Dealer Counsel, and is a regular speaker at industry events, including the NADA Annual Conference, National Vehicle Leasing Association Annual Conference, and numerous other national programs and private client-funded engagements. He is frequent contributor to a number of trade publications and journals, including Auto Finance News and F&I Management and Technology magazine, and was the principal author of the NADA’s Management Guide to Information Safeguarding. Mr. Benoit can be reached at

Third Edition

F&I Legal Desk Book

The Answer Book for Finance and Insurance Professionals

Thomas B. Hudson has practiced consumer vehicle sales, finance and leasing law since 1973. Mr. Hudson chairs the law firm of Hudson Cook, LLP. He is President of, LLC, and is the Founder and Editor-in-Chief of CARLAW®, an Internet service that reports auto finance and lease legal developments. He has served as President of the American College of Consumer Financial Services Lawyers, and Chair of the American Bar Association Consumer Financial Services Committee’s Personal Property Finance Subcommittee. He represents the National Automotive Finance Association, Reynolds & Reynolds, auto finance companies, major banks and independent finance companies and many companies who supply services to the auto finance and lease industry. He is a frequent writer and speaker on topics relating to vehicle finance and leasing. He is also author of the book: CARLAW® ~ A Southern Attorney Delivers Humorous Practical Legal Advice on Car Sales and Financing! Mr. Hudson can be reached at

F&I Legal Desk Book 3rd Edition

The Answer Book for Finance and Insurance Professionals

Thomas B. Hudson

and the Attorneys of Hudson Cook, LLP

Edited by Michael A. Benoit

CARLAW® F&I Legal Desk Book: 360 Things to Know About Auto Dealer Finance provides a compliance roadmap for “green pea” and seasoned compliance officers alike. Each chapter addresses a topic of crucial interest to dealerships. The topics cover the compliance waterfront, and include: ● The Truth in Lending Act and Regulation Z ● The Consumer Leasing Act and Regulation M ● The Equal Credit Opportunity Act and Regulation B ● The Fair Credit Reporting Act ● The Federal Trade Commission’s Used Car Rule ● Federal Advertising Rules ● The Magnuson-Moss Warranty Act ● Arbitration ● and more . . . Each chapter is authored by lawyers who deal with that chapter’s subject every day and in detail. The authors present their information in an easy-to-follow, Q&A format, with as little “legalese” and as much useful and practical information as possible. The goal each time is to give the reader a solid, basic working knowledge of the topic covered. For years, dealers have needed a source for comprehensive, no-nonsense information on the legal requirements they face. Now they have one that quickly will become their principal resource for credit compliance information: CARLAW ® F&I Legal Desk Book: 360 Things to Know About Auto Dealer Finance.

Thomas B. Hudson

This column does not offer legal advice. You should consult your dealership lawyer with any legal questions. Tom (thudson@ and Nikki ( are partners in the law firm of Hudson Cook, LLC.

Providing your dealership the most unique…

Empowering you to…


 Buy & Sell with no Out-of-Pocket Expense  Finance Every Customer  Purchase Inventory Anywhere at Anytime

Over 40 years of Auto Financing…

(800) 873-2907

July 2013 — Independent Dealer — 27

GARAGE LIABILITY & CAR RENTAL SPECIALISTS garage liaBilitY SPeCialiStS FIADA Agent of Record Exclusive Markets Package Policies Competitive Rates Fast, Easy Quotes One Stop Insurance Shop Lease Here / Pay Here Program

Car rental Program SPeCialiStS

Discover what our 200 plus independent dealer locations already know

· Training at our facility, or Online Daily Rental · Comprehensive Operations Manual Insurance for your Rental Cars, · Competitive SUV’s, Mini Vans, and Trucks State Compliant · UpRentalto dateAgreements Management · Risk (Every Incident Reviewed) from people who · Support have been in the trenches · Qualified Renters Make Qualified Buyers


Contact us for a FREE QUOTE: 1-800-868-1235

Make plans now to join FIADA in Ponte Vedra Beach, FL and attend the Dealer Training & Town Hall Meeting. Here’s a look at what’s on the agenda: 10:00am – 11:30am Legal Q&A/Latest Legal Issues Affecting Independent Dealers Speaker: Rob Sickles, FIADA General Counsel Learn about recent court decisions affecting spot deliveries and the lhph industry. Ask your burning legal questions to an expert. 11:30am - 12:00pm Legislative Wrap-Up Speaker: Sandra Mortham, FIADA Lobbyist Find out what legislation passed in the 2013 session and help FIADA chart its legislative course for 2014 and beyond. 12:00pm - 1:00pm Lunch & Vendor Expo Sponsored by Auto Data Direct Sponsors & Exhibitors: Auto Data Direct, Wayne Reaves Software 1:00pm - 2:00pm Dealership Accounting and Tax Update Speaker: Jessie Levine, CPA Discover techniques to unlock data in your dealer financial statements. Identify the steps to be prepared for an audit.

Reserve a room at the Sawgrass Marriott before July 12 and get the FIADA rate of $149 per night. For reservations call (800) 457-4653 or go to

June 2013 — Independent Dealer — 29

INDUSTRY NEWS House Bill 7125 Provides For Biennial License Renewal

Vehicle Thefts Increase in the Summer Months

House Bill 7125 was passed giving the dealers, manufacturers, importers and distributors the option of biennial renewal of their license. Beginning July 1, the option will be provided for an original biennial license for primary locations for all dealers, manufacturers, importers and distributors. The option for a 2 year original license will be provided for the following license types: Franchise dealer (VF); Service Facility (SF); Independent Dealer (VI); Wholesale Dealer (VW); Auction Dealer (VA); Salvage Dealer (SD); Mobile Home Dealer (DH); Mobile Home Broker (BH); New Recreational Vehicle Dealer (RV); Used Recreational Vehicle Dealer (RU); Motor Vehicle Manufacturer (MV); Motor Vehicle Distributor (MD); Motor Vehicle Importer (MI); Recreational Vehicle Manufacturer (MR); Recreational Vehicle Distributor (RD); Recreational Vehicle Importer (RI); and Mobile Home Manufacturers (MH).

Every 44 seconds a motor vehicle is stolen in the United States according to the National Highway Traffic Safety Administration. July and August are the worst months for vehicle thefts with Florida ranking second in the nation for most stolen vehicles. Help educate your customers with resources from NHTSA. Download the infographic below, brochure materials and a video at

Beginning July 1, the option for an original biennial license for supplemental locations will be provided only for motor vehicle dealers with license types VF, SF, VI, VW, VA, SD, and MH. At this time, supplemental locations for the following license types will not be issued an original biennial license as it was not included in the legislature: Mobile Home Dealer (DH); Mobile Home Broker (BH); New Recreational Vehicle Dealer (RV); Used Recreational Vehicle Dealer (RU) If you have any questions, please contact the Regional Office responsible for your dealership or the Dealer License Section at 850-617-3003 (press 1).

More Title Problems for Flood Damaged Hurricane Sandy Cars It has been recently brought to the attention of the Department that numerous vehicles that were flood damaged as a result of hurricane Sandy from out of state had clear titles. The Compliance Examiners from the Department who inspected the rebuilt vehicles for “Flood Damaged Rebuildable,” verified the brand status with the National Insurance Crime Bureau (NICB) and found that the flood status was not in the NICB system and the titles being presented were “clear” with no brands. The Department contacted NICB who advised that the insurance companies provided them with pertinent information so that the flood status is entered into the 30 — Independent Dealer — July 2013

NICB system. However, since the correct brand status was not available to the Compliance Examiners on the flood damaged vehicles sold at the auctions, the Department requests the assistance of the auctions and dealers to get a proper title from the State which has jurisdiction. The Department requests the assistance of the auctions and dealers to get correct titles with the brand status before vehicles are sold and rebuilt for inspection by the Department. If you have any questions, please contact the Regional Office, Bureau of Motorist Support in your area or the Dealer License Section at (850)-617-3003 (press 1).


CHRISTOPHER LEEDOM DINO MERCURIO BRANDI NOEGEL President Senior Vice President Chairman of the Board AutoMaxx Independent Credit, Inc. Noegel’s Auto Sales Sarasota, FL West Palm Beach, FL Starke, FL (941) 309-1111 (561) 686-8673 (904) 964-6461

FRANK FUZY Regional Vice President Century Motors of S. FL Pompano Beach, FL (954) 785-0369

DAVID COX, CMD Secretary Cox Motors, L.L.C. Lakeland, FL (863) 686-9300

PAUL MATTON Treasurer Park Auto Mall Pinellas Park, FL (727) 639-1112

JIM WINTERICK, JR. STEVE MARBAIS GEORGE HICKEY JIM WINTERICK, SR. Regional Vice President Regional Vice President Regional Vice President Regional Vice President Marbais Enterprises, Inc. Gulfstream Motor Credit Gulfstream Motor Credit Bond Auto Sales Ocoee, FL Miami, FL Miami, FL Tampa, FL (407) 877-7422 (305) 253-2335 (305) 253-2335 (813) 238-7478

• Higher Advance than Factoring


July 2013 — Independent Dealer — 31

Manheim Florida Locations Present

CARGARITAVILLE As if you needed Ten more reasons to come To Florida this summer...

Manheim Orlando Chrysler Closed Sale Monday, July 8 | 12:30 PM 41st Anniversary Sale Tuesday, July 9 | 9:00 AM Manheim Fort Lauderdale Tropical Tuesday Sale Tuesday, July 9 | 9:30 AM Regular Sale Friday, July 12 | 9:00 AM Manheim Central Florida Imperial Nights Sale Tuesday, July 9 | 4:00 PM Regular Sale Wednesday, July 10 | 9:00 AM Manheim Lakeland Regular Sale Wednesday, July 10 | 2:00 PM

Manheim Daytona Beach Regular Sale Wednesday, July 10 | 3:00 PM Manheim Fort Myers TRA Sale Wednesday, July 10 | 3:00 PM Regular Sale Wednesday, July 10 | 4:00 PM Manheim Palm Beach Palm Beach Nights & TRA Sale Monday, July 8 | 4:00 PM Regular Sale Thursday, July 11 | 9:00 AM Manheim Tampa Regular Sale Thursday, July 11 | 9:00 AM Manheim St. Pete


Manheim Jacksonville TRA Sale Thursday, July 11 | 11:00 AM Regular Sale Thursday, July 11 | 1:00 PM

32 — Independent Dealer — July 2013

Regular Sale Thursday, July 11 | 3:00 PM

For inventory, visit

July 2013 issue  
July 2013 issue