Q2 — IADAC Independent Quarterly

Page 1


DEALER RESOURCES

Keeping theCode, Ditching the Dust

Atthebeginningoftheyear,Icommittedtoafullpurgeofmyoffice everypieceofpaperhadtogounlessittrulymeantsomething.Out wentthebankersboxesanddustyfolders butafewthingsearned theirplaceontheshelf

Amongthesurvivors:oldWestCoastDealermagazines,theoriginal 1958IADACBylaws,andoneheftyrelic thelastprintededitionofthe CaliforniaVehicleCode.It’smassive,outdated,andredundantthanks tothedigitalversionnowintheIADACApp.Andyet…Icouldn’tletitgo.

Why?Becauseitmeanssomething Itremindsmeofhowfarwe’ve come andwhatstillgroundsus

That’sexactlywhatthisissueisabout.Technology.Progress. Efficiency Butalso,purpose

ependentDealerdoesn’tjustneedtokeepup youneedto edtomasteryourCRM,DMS,pricingtools,accounting dapprovalflows Thesearen’tjust“nice-to-haves”They’re survivalandgrowth

hisissuewithmission-criticaltechyoucanstartusing smarterappraisalsanddealstructuretoolstonewwaysof dit-challengedbuyers Andit’snotjustfordealers urtoolshelpmakethisecosystemwork Wevalueyour andyourinnovation.

gofconnection ifyou’veneverbeentoanNIADA thisisyouryear June23–26inLasVegas,withalineup sdealerroundtables,afinancefair,apackedexpohall,and annsharinghisplaybookfornavigatingchange Ifyouhave youalreadyknow it’swortheverysecond (IYKYK.)

rtisers:thankyou Yoursupportmakesthispublication dtoourmembers bothdealerandvendor youarethe xist.

ember?TakealookatPage9 You’llfind$3,200inauction alcoupons,compliancetools,CEaccess,andmore allin App,builttoserveyourdealershipatyourfingertips. trongsecondhalfof2025 Andyes,IstillhavetheVehicle Somethingsarejustworthkeeping

The IADAC DealerToolkit

WelcometotheDealerToolkit

Dealerstodayaren’tjustrunninglots they’rerunningfull-fledged businessesinatech-driven,compliance-heavy,low-marginworld That’swhyIADACcreatedtheToolkit:Yourmembershipisasetof toolstogiveCalifornia’sIndependentDealersanadvantageto competesmarter,growfaster,andstayprotected. Eachquarter,wespotlightextraordinarydealersandkey membershiptoolsthatdeliversimmediatevalue.Thisquarter,we startwithwhatmattersmost inventory.

NextUpintheToolki

��“Survivalisfordealerswhocutcosts.Successisforthosewho multiplyvalue.TheIADACToolkithelpsyoudoboth.”

JohnFrappier,IADACExecutiveDirector

TooloftheQuarter–VIPAuctionCardProgram

InventoryPower+Savings=YourCompetitiveEdge Unlock$3,200inAuctionCreditswithYourIADACMembership

InventoryistightFeesarehighTheIADACVIPAuctionProgram flipsthegameinyourfavor.Membersreceive16BuyFeeCredits worthatleast$200eachgoodat throughtheIADACApp.

HowItWorks:

��Choosefrom16+participati

��SubmitVINandpurchaseinf

��Receivea$200BuyFeeCredit!

��Usecreditsallyear(oneperauctionlocation)

��“Ipaidformy$399membershipwithtwotransactions.Therestis puresavings.”–ThomasChung,ExpoMotors

“Credit-ChallengedBuyersAreComing—AreYouReady? Withstudentloandelinquenciesrisingandtraditionallenderspulling back,IndependentDealers especiallyBHPH haveahuge opportunitytoserverealpeoplewithrealneeds —Insightinspiredby ShaunPetersen,BuckeyeDealershipConsulting.Dealersusingthe VIPAuctionCardProgramcanexpandtheirmarginswhileusing income-basedapprovalstoclosemoredeals

ToolTip:Useflexibleapprovalsoftware+your$200BuyFeecreditsto turnhigh-intenttrafficintofast-movinginventory

Whyitmatters:Peoplestillneedcars Theoneswhoshowupon yourlotarereadytobuy youjustneedtherighttoolstosayyes.

DealerSupplyStoreDiscounts–Saveonsuppliesyoualreadyuse withqualityproductsshippedfastatexclusivememberpricing Legal&ComplianceSupport–Accesseventshostedbylegal professionals,andcuttingedgeresourcesdesignedtohelpyou protectyourbusiness(SeetheLegislative&LegalMinute sectionsofthemagazineandDealerResourcesonourwebsite andapp)

IntegrateKeyMarketingTools–ExploreourTECHfeatureon page16formasteringdigitalmarketing Education–StaycompliantwithcomplimentaryContinuing Education valuedat$85percourse andmorecomingsoon! Eachissue,we’llunpackoneofthesetoolswithrealexamples,dealer tips,andimplementationstrategies.

��“Thesearen’tjustbenefitsthey’releverage.Andmostdealers en’tusinghalfofwhat’savailable.”—BrianLeach,TheCarDad

ueprintforDealerGrowth

urMembershipIsMoreThanaCard It’sanadvantagethatsaves uthousands

artwithIADAC’sTools BuildaSmarterBusiness

��ActivatetheVIPAuctionProgram–Usecreditsearlyand oftentoboostinventorymargin.

��MaximizeAppFeatures–Trackredemptions,manage locations,andguidebuyingdecisions

��TakeBackYourWorkflow–Usemodulartechplatforms(F&I, CRM,websites)thatfityourbusiness

⚙AddComplianceSupport–TapintofreeCE,legaltools,and policychecklists.

��PlugIntotheNetwork–Stayaheadwithappupdates,dealer events,andpeer-testedinsights

��Actnow joindealerswhoknowtheIADACsecrettounlock $3,200inauctionsavings!Becomeamemberandinjust4EASY STEPSyourIADACAppwilldeliver16auctioncredits

ComingNextIssue: DealerSpotlight:ToolsinActionRealstoriesfromdealersusingthe IADACToolkittounlockrevenue,simplifycompliance,andthrivein today’smarket

Unlock AuctionSavings in 4 EasySteps

Whatifyourmembershippaidforitself beforeyouevensetfootonthelot?

WithIADAC’sVIPAuctionCardProgram, dealerscanunlockBuyFeeCreditsofat least$200at16topCaliforniaauctions justbyusingtheIADACApp Nohaggling, noforms,nowaiting.

Thisishowsmarterdealersmove inventoryandmargins.

ToolinAction:Followthesteps toclaim yourcreditstoday andflipauction savingsintoseriousprofitallyearlong.

Navigating Mid-Year Changes in California’s Auto Industry

IADAC works continuously to protect the interests of Independent Dealers across California advocating for clarity, fairness, and proactive compliance support. Here are key updates dealers should be watching this quarter:

�� CA DMV Considers Autonomous HDTruckTesting

New proposed regulations would allow testing of autonomous trucks over 10,001 lbs on public roads lifting the current ban. Public comment is open through June, with concerns from labor and safety groups expected

�� Read more –The Guardian

��$650K Consumer Protection Settlement

AutoNation dealerships agreed to a $650,000 settlement after failing to transfer vehicle ownership to buyers in a timely manner violating state law.

�� Dealer Reminder: Stay vigilant on title processing timelines to avoid costly penalties.

�� L A County DA Announcement

�� New License Plate Format Coming

To accommodate growing vehicle registrations, the CA DMV will introduce a new alphanumeric license plate format, expected by 2026. Dealers should begin preparing for this transition and notify staff and customers

�� More info – SF Chronicle

�� California’s EV Mandate Draws Industry Pushback

Automakers including GM are pressing for a national EV standard, challenging California’s rule requiring all new vehicle sales to be zero-emission by 2035. Dealers should monitor for potential regulatory shifts that could impact inventory strategy

�� Read more – Barron’s

�� New Repair Dealer Regulations Effective Oct. 1, 2025

The Bureau of Automotive Repair has introduced new rules impacting repair shops and mobile mechanics, including:

Tear Down Disclosure: Must clearly disclose estimate and consent before disassembly

Smog Check Readiness Limits: No passing if OBD-II system is incomplete, unless design-related

Mobile/Referral Definitions: Clarifies pay structure and subletting practices

�� BAR Update – Spring 2025

Ongoing Legislative Watch:

Proposed Right-to-Cancel Bill

Senate Bill 766 remains under review and would create a 10day cancellation window for used vehicle sales and leases. If passed, dealers must implement strict disclosure policies and retain records for 7 years.

�� SB 766 BillText

Used Dealer SalesTax Payment Changes

As of January 1, 2025, dealers with ≤300 sales in 2023 must remit sales tax directly to the DMV when registering vehicles.

�� Q2 Update: Dealers report processing inconsistencies; IADAC is working with DMV to improve clarity and execution.

�� CDTFA Info Page

Lemon Law & Minimum Wage – Unchanged

The two-tier Lemon Law structure remains active. Minimum wage stays at $16 50/hour as of Jan 1, 2025, with no new legislative movement

Training & Education: June-August 2025

Stay informed and compliant with these upcoming webinars tailored for California independent dealers:

June2025

MotorVehicleDealersWebinar(CDTFA)

��June17,2025|⏰1:00PM–2:00PMPDT

Topicsincludeleasing,repossessions,trade-ins, DMVrequirements,andtaxupdates.

��RegisterHere

BasicSales&UseTaxWebinar

��June18,2025|⏰10:00AM–11:30AMPDT

Gainanunderstandingofsalesandusetax, districttax,taxableandnontaxablelabor,andmore.

��RegisterHere

July2025

UsedCarDealersTaxReturnPreparation

��July8,2025|⏰10:00AM–11:30AMPDT

You'llgetastep-by-steptestdriveonfillingoutasalesanduse taxreturn

��RegisterHere

DealerTaxTips

��July24,2025|⏰10:00AM–11:30AMPDT

NewrequirementsfortheDMV,CaliforniaBatteryandTireFees, andinterstatecommerceexemptionsareunveiled

��RegisterHere

August2025

NavigatingCDTFA’sWebsite

��August13,2025|⏰2:00PMPDT

Howtousethesearchengine,findataxrate,orlocatetax

tutorials Learnthequickestwaytofindforms,publications,tax guidesorregisterforupdates

��RegisterHere

BasicSales&UseTaxWebinar

��August22,2025|⏰10:00AM–11:30AMPDT

GainanunderstandingofSalesandUsetax,districttax,taxable andnontaxablelabor,aswellasforeignandinterstatetaxability.

��KeyContactsforDealer Licensing&Compliance

��DMVOccupationalLicensingUnit

☎(916)229-3126

��DMVOccupationalLicensing

��CDTFACustomerServiceCenter (Tax&FeesforDealers)

☎1-800-400-7115(CRS:711)

��CDTFAMotorVehicleDealersGuide

��OLInspectorFieldOfficeLocations (ForLicensing&Inspections)

Covina:(626)974-7140

ElCerrito:(510)231-7818

Fairfield:(707)864-4759

Fresno:(559)445-5304

Hayward:(510)293-1720

LosAngeles:(213)744-7563

Orange:(714)703-2632

Sacramento:(916)262-2563

SanBernardino:(909)501-3175

SanDiego:(909)737-3298

SanFrancisco:(415)431-6279

SanJose:(408)229-7113

SantaMaria:(805)346-2192

VanNuys:818)376-4201

Formoreupdates,visittheDMVand CDTFAwebsites.

��RegisterHere

BE COMPLIANT, STAY PROFITABLE

From Gut Feeling to Data-Driven Confidence

Inventory Sourcing Superpowers for Dealers

ONE

Aninsider’sauctionexperiencegives dealerswhattheyneedwhentheyneedit

Independentautomotivedealershave alwaysthrivedonhustle,intuition,and adaptability.Butintoday’srapidlyevolving market,whererazor-thinmargins,volatile auctionprices,andunprecedented transparencyarethenorm,relyingongut instinctaloneisnolongerenough The goodnews:Thedigitaltools,oncereserved forfranchisegiants,arenowwithinreach foreverydealerreadytocompetesmarter

TheShift:FromInstincttoAnalytics

Theautomotiveindustryisundergoinga profoundtransformation,fueledby digitalizationandthedemandfor transparency Fordecades,seasoned dealersleanedonexperienceandintuition tomakebuyingdecisions Whilethis approachhasitsmerits,it’sincreasingly outmatchedbythespeedandcomplexity oftoday’smarket.Data-drivenplatforms enabledealerstomakefaster,more accurate,andmoreprofitabledecisions, levelingtheplayingfieldforindependents.

IntroducingOneAuctionView®:Built forDealers,byDealers

OneAuctionView®(OAV™)wascreatedto addresstheexactpainpointsindependent dealersfacedaily.FoundedbySkye Haulman,aveteranofovertwodecadesin theauctionlanes,OAV™isaSaaSplatform designedtobringorderandinsighttothe chaosofinventorysourcing Theplatform centralizesaccesstoallmajorauctions intoasingle,seamlessinterface.Nomore jugglingdozensofbrowsertabsorsecondguessingVINdetails OAV™standardizes auctiondata,cleansupvehiclelistings,and deliversreliable,real-timeinformationso dealerscanactdecisively Itspatented

searchengineisafirstinthewholesale automotiveindustry,givingusersatrue technologicaledge.

KeyFeaturesThatDriveResults

OAV™isn’tjustaboutaggregation it’sabout actionableintelligence.Corefeatures:

InventoryReportCard™(IRC™):Thistool gradesyourlot’shealthandvelocity, scoringinventorythewayalenderwould byaging,turnrate,pricing,andmargin exposure.Ithighlightssilentprofitkillers likeagingunits,pricemismatches,and slow-movinginventory,enablingsmarter, fasterdecisions.

RetailVision™AI:LaunchinginJune2025, thisAI-poweredtooltrackspricing,vehicle types,andconsumerbehavioracross thousandsofdealerwebsitesand marketplacesinrealtime.Earlybetausers havealreadyleveragedittospotandact ontrendsbeforetheyappearontraditional channels,suchasdemandforsub-$25K clean-titleSUVsandmidsizesedans

Multi-AuctionSearch:OAV™unifies inventoryfromallmajorauctionplatforms, allowingdealerstosearch,filter,and comparevehiclesinoneplace This meanslesssearching,morebuying,anda widernetforsourcingtherightcars.

CentralizedManagementandSeamless Operations

OAV™goesbeyondsearchandanalytics Dealerscanschedulevehicletransport, managepaperworkdigitally,andtrackprior purchasehistoryallwithinthesameplatform. Thisend-to-endsolutioneliminates administrativeheadachesandhelpsdealers focusonwhatmatters:findingandmoving inventoryprofitably

Data-DrivenDecisions:ANewCompetitive Edge

Inamarketwhereinformationisthenewfuel, OAV™empowersdealerstomakedecisions groundedinreal-timedata,notoutdated assumptions Theintegratedanalyticsmeans dealersmatchauctionpurchasestocustomer demand,increasingturnratesandprofits.

Thisapproachdoesn’tjustbenefitdealers LendersuseIRC™datatostructuresmarter floorplans,andcustomersbenefitfrommore accuratelypriced,better-matchedinventory

WhyThisMattersforIndependents Franchisestoresmayhaveaccesstoexclusive lanesandresources,butindependents needflexibilityandspeed.OAV™deliversboth, makingitpossibletocompetehead-to-headwith largerplayers Itsunifiedinterfaceand standardizeddatameanIndependentscanspot opportunitiesandtrendsbeforethecompetition, reducingriskandmaximizingmargins

ThePhilosophy:TechasaTool,Nota Replacement

OAV™wasbuiltbydealers,fordealers.The philosophyissimple:ifatooldoesn’tsavetime, increaseprofit,orreducerisk,it’snotworthyour time.Technologyshouldamplifyyourinstincts, notreplacethem WithOAV™,yourexperience andintuitionaresharpenedbydata,soevery decisionisfaster,smarter,andmoreprofitable.

LookingAhead:TheFutureIsData-Driven AsRetailVision™AIlaunchesandintegrations expand,IndependentDealershavemorepower thanevertoadapttomarketshifts,defendtheir floorplans,andoutmaneuverthecompetition Thedaysofflyingblindareover today, informationisprofit,andplatformslikeOne AuctionView®aretheenginedriving independentdealersintoaneweraof confidenceandsuccess!

SmarterTech. Stronger$ales.

If you read the last issue and made even one digital update, I’m alr industry you also know: things move fast. What worked last year

This issue, I’ve gone deeper I’ve been digging into the tools real de connect with more buyers, and close deals faster and smarter I’ve q d how the savviest Independents are keeping margins strong and customers happy

So here’s your quick, no-fluff, no-jargon guide to the tech and F&I tools that are actually worth your time and how to make them give you a competitive edge

DEALER SUPPLY STORE

Everything You Need—One Click Away!

Get the best prices on hundreds of high-quality dealer supplies sourced for reliability and fast shipping so you can focus on selling cars, not worrying about supplies.

In 2024, a small to mid-size California dealer spent $4,800 on supplies. With IADAC’s member discount, you could save $480 every year!

Transparency Sells

The Shift Driving Trust—and Profit

Abehind-thesceneslookfromanF&Iveteran onhowdealstructuring,approvals,and programtransparencyareevolving and whatitmeansforyourbottomline.

NoMoreGuesswork

Foryears,LobelFinancialoperatedundera modelwhereinformationwastightly controlled,sharedonlyonaneed-to-know basis Whilethisapproachaimedto maintainefficiency,itoftencreated bottlenecksandfrustration.Employeesfelt outoftheloop,andasaresult,dealers weren’treceivingthetimely,accurate informationtheyneededtosucceed

Recognizingthesechallenges,Lobel Financialmadeaboldmovetoembrace transparency.Thistransformationhasnot onlystrengthenedinternaloperationsbut alsoprovidedasignificantadvantageto dealershippartners.

RealHelp,RightWhenYouNeedIt

Oneofthebiggestbenefitsofthisshifthas beenamoreinformedandproactive workforce.Employeesatalllevelsnowhave accesstorelevantdataandupdates, allowingthemtoprovidereal-time,accurate informationtodealers.Thisstreamlined approachhelpspreventdelaysandensures dealsmoveforwardsmoothly Insteadof waitingfordirection,theteamisequippedto anticipatechallenges,addressissues immediately,andoffersolutionstailoredto eachdealership’sneeds.

Thisshifthasalsoledtohighermorale withinthecompany Withgreater involvementindecision-makingandaccess tokeyinformation,employeesfeelmore engagedandempowered Theytake ownershipofdealersuccess,knowingthat whendealersthrive,sodoesLobelFinancial

Thiscultureofaccountabilityand collaborationhasmadetheentire organizationmoreeffectiveandmotivated todeliverexceptionalservice

FasterDealswithReal-TimeSupport

ThenewlyestablishedDealerApplication Specialist(DAS)departmentplaysakeyroll inthisprocess,providingexpertguidance from6AMto6PM,sevendaysaweek Well-informedstaffcanhelpstructuredeals effectivelyorprovideupfrontclarityon whetheradealwillwork.Thishelpsdealers avoidwastingtimeondealsunlikelytobe approved,enablingthemtoconcentrateon viableopportunities.

SayGoodbyetoPricingSurprises

Pricingtransparencyhasalsoreacheda newlevel.Dealersnowhavedirectaccessto programcharts,ensuringclearand predictablepricing.Whattheyseeonthe programchartsisexactlywhattheyget, fosteringtrustandpredictability.Thislevelof opennesssetsLobelFinancialapartfrom competitorswhomaystillrelyonunclearor shiftingpricingstructures.

GetUpdatesWhenTheyMatterMost

Tokeepdealersinformedaboutindustry changes,LobelFinancialhaslauncheda dedicatedsocialmediapresence.Through real-timeupdatesonnewprograms,policy changes,andkeydevelopments,dealers stayinformedandpreparedtoadapt.

KnowYourScore andImproveIt

Additionally,dealersnowhaveaccessto theirdealershipgrades,whichimpact discountfeesandoverallterms A knowledgeablestaffisavailabletohelp themunderstandtheirratingsand,more importantly,provideactionablestepsfor improvement.Thisaccessempowers

dealerstoimprovetheirperformanceand qualifyforbetteropportunitieswithlower fees.

WhattoLookforinaLender Partnership

Thistransformationgoesbeyond operationalefficiency itbuildsagenuine partnershipwherebothLobelFinancial anditsdealersareequippedwiththe knowledgeandresourcestosucceed Wheninformationisfreelyshared,dealers canmakebetter,fasterdecisionsthatlead tostrongergrowthandincreased profitability

SmartQuestionstoAskYourLender

What’syourapprovalcriteria andhow flexibleisit?

Knowwhatmattersmost(DTI,LTV,jobtime, etc)andwherearepossibleexceptions?

HowquicklycanIgetdealstructuring support?

Timekillsdeals Askifthere’sreal-timehelp whenyouneedit

Areyourprogramtermstransparentand consistent?

Lookforclearcharts,noback-endsurprises, andconsistentpolicyenforcement.

Howdomydealership’sperformanceand ratingsimpactmyfeesorapprovals?

Ifyourbusinessisbeingscored,youshould knowhow andhowtoimproveit.

What’stheprocessifIneedanexceptionor override?

Youneedalenderthat’sresponsivewhen thedealisalmostthere.

Howoftendoyouupdatedealerson programchanges?

Youshouldn’tfindoutaboutchangesfrom declineddeals

Doyouofferdigitaltoolsorintegrationsto speedupfunding?

Time-savingtech(e-docs,portals, dashboards)canmakeamajordifference

Data That Dealers Need

The most current, essential trends in California’s used car market to help Independent Dealers Stay Sharp. Stay Shead.

EV MARKET TRENDS

California EV Sales Overview: Q1 2025: 100,326 zero-emission vehicles (ZEVs) sold: 23% of new vehicle sales.

Tesla's Performance: Registrations dropped by 21.5% compared to Q1 2024, while non-Tesla EV registrations grew by 14%.

California has the highest EV adoption rate, 2.5%

Over one-third (36%) of EVs are registered in California making CA the national leader in zero-emission vehicle sales.

The US EV market was valued at $49.1B in 2023 38% of US adults would consider an EV for their next veh California’s EV Tax Credit up to $7,500 under attack: Sec 112002 on page 30 of the One, Big, Beautiful Bill titled "Termination of clean vehicle credit”

Sources: California Energy Commission Cox Automotive Elecric Vehicle Sales Report

Recurrent: States Leading the EV Revolution USAToday: EVTax Credit Under Attack

Zero-Emmision Vehicle Sales in California (Cumulative)
EV Market Snapshot: Q1 2025 Growth & New Entries

F&I AND PRICING PERFORMANCE

Key Insights:

F&I Gross Profit: Dealerships reported an average of $2,155 in F&I gross profit per vehicle retailed in Q1 2025

Average Used Car Price: $25,128 reported in June 2025

Price Changes: Used car prices have risen by 1.31% over the last 30 days.

Car Segments up +0.08% as of June 2025, showing smaller growth than May

Truck/SUV segments rose +0.11% as of June 2025, continuing upward momentum

CarMax reported used-vehicle sales of 182,655 for Q1 2025 6 2% more than last year, and fastest growth since Q4 2021

Affordability Challenges: Sales of vehicles priced at $25,000 or less have fallen by 78% over the past five years

Sources:

JM&A: Automotive Trends Report

Market Watch

Car Edge

Car Gurus

Group 1: First Quarter 2025 Financial Results

Kelly Blue Book

At IADAC, we’re tracking the trends so you don’t have to From pricing shifts to EV adoption and F&I profitability, we’ll continue delivering cuttingedge data and dealer-specific insights every quarter See the next issue for the latest numbers and what they mean for your bottom line.

Weekly Price Change by Vehicle Segment (Used Cars &Trucks)

FOUNDATION SCHOLARSHIP Investing in the Future!

The IADAC Foundation Scholarship, founded in 2021 and launched in 2024, provides academic scholarships to support the families and employees of Independent Dealers, recognizing achievement and fostering future industry leaders

Only Dealer Members' children, grandchildren, employees, and employees' children qualify

The IADAC Scholarship recognizes and rewards outstanding achievement

Chosen recipients will receive up to $2,500 each

�� Open: May 1, 2025 ⏳ Deadline: July 31, 2025

State Enforcement on the Rise: A $3M Warning for Dealers

What Dealers Can Learn from the DARCARS Case

Asfederalenforcementshiftsunderthenewadministration, stateattorneysgeneralaresteppingin,aggressivelytargeting dealershipswithconsumerprotectionactions WiththeCFPB’s authorityinfluxandtheFTCrealigningitsfocus,California dealersshouldexpectincreasedoversightatthestatelevel.

�� CaseinPoint:

InMarch2025,DARCARSHondainMarylandsettledcharges broughtbytheMarylandAGfor:

Hidden2%“SalesCommission”notdisclosedin advertisedprices

Chargesforpre-installedequipmentnotrequestedby buyers

Misleading“AdjustedMarketValue”markups PoordisclosureofproductslikeDARCARSAssurance

Incompletewindowstickersandmissingbasepricing details

Thetotalsettlement?Over$3millioninpenaltiesand automaticconsumerrefunds

✅ DealerTakeaways

"Everybodydoesit"isn’tadefense practiceslike excludingadd-onsfromadvertisedpricescanstillviolate thelaw

Transparencymatters disclosepricingclearly,especially forpre-installsandF&Iproducts

Don’tassumeyouknowwhat’shappeningonthefloor evenunintentionalpracticescanleadtolegalexposure

⚠ CaliforniaContext

Withsomeofthenation’sstrongestconsumerprotectionlaws

Song-Beverly,Prop65,andCPRA Californiaiswellpositionedtofollowsuit.CountyDAsorthestateAGcould initiatesimilaractions,especiallyifotherstatescontinuetoset legalprecedents

�� Forongoinglegalupdatesandcomplianceresources,visit www.iadac.org

AutoDealersandtheEnforcementLandscape:WhatLiesAhead?* ByL

Weareonlyafewmonthsintothenewpresidentialadministration,butit seemsclearthatthelandscapeforfederalenforcementislikelytolook verydifferentin2025thanitdidin2024,orperhapsthanithasever looked

Thereseemstobeagrowingconsensus,however,thatmanyofthe states,especiallythosewithDemocraticleadership,arereadyandeven eagertostepintotheperceivedvacuumoffederalconsumerprotection enforcement.Itmaybewithstateactionsthatweseethegreatest activitywithconsumerprotectionenforcementinvolvingauto dealerships AmajorsettlementwithacardealerbytheMaryland attorneygeneralinMarchillustratesthispoint

WhatMarylandSaidtheDealershipDidWrong

Thechargesfocusedonseveraltypesoffeesconsumerspaidthatthe Divisionclaimedwerenotincludedintheadvertisedprice(andshould havebeen),notallowedunderMarylandlaw,ornotknowinglyagreedto bytheconsumers

WhattheConsentDecreeRequires

TheDivisionextractedasubstantialsettlementfromthedealership,its parentcompany,anditsowners,especiallyforanenforcementaction relatingtoonlyasinglerooftop DARCARSAutomotiveGrouphasover30 franchiseandindependentdealershipslocatedinsixstatesandthe DistrictofColumbia...

WhatLessonCanBeLearnedfromthisStateEnforcementAction?The DARCARSsettlementlooksexactlylikethetypeofenforcementaction thatmanystateswillbewellequippedtohandle....Iwouldexpectmost statestobeabletoputtogetheranenforcementactionlikethisoneif theyfindregulatorynon-compliance AndIsuspectmanystateswillbe lookinghardforsuchcases

Ifyourdealershipisfacinganenforcementactionforallegedconsumer protectionmisconduct,orevenifitisnot,herearetwomistakestoavoid:

1 Don'tassumethatapracticeislegalbecauseitiscommonlocal practiceamongdealerships andperhapshasbeenforyears!

2 Don'tassumethatyouknowexactlywhatishappeningatthe dealership...

��Readthefullbulletin(loginrequired)

*Copyright© 2025 CounselorLibrary.com LLC. All rights reserved. This article appeared in Last Week, This Morning® Reprinted with express permission from CounselorLibrary com This article is provided for informational purposes and is not intended, nor should it be taken as legal advice *ThislegalbulletinprovidedbyCounselorLibrarycom,LLC

ACCOUNTING SERVICES

Kho & Patel, CPA’s

Roger Rossmeisl, CPA (714) 325-0442 roger@khopatel com

Industry Standard Inc.

Marc Young (559) 472-3285

mvyoung@industrystandardinc com

Car Market Solutions

Ben Misra (630) 781-3192

ben@carmarketsolutions com

Cars.com

Ben Renner (312)601-5005 brenner@cars com

AUTO AUCTIONS

ACV Auctions - Nor Cal Zach Hall (707) 486-0764 zhall@acvauctions com

ACV Auctions - So Cal

Tina Pratt (619) 890-6250 tpratt@acvauctions com

Adesa Brasher’s 6233 Blacktop Road Rio Linda, CA 95673 (916) 991-5555 contactbrashers@adesa com

Adesa Golden Gate 18501 W. Stanford Road Tracy, CA 95377 (209) 839-8000

contactgoldengate@adesa com

Your Go-To Resource for Trusted Solutions

Looking for vendors who know your business and have your back? Start here

Adesa Los Angeles 11625 Nino Way Mira Loma, CA 91752 (951) 361-9400 contactlosangeles@adesa com

Adesa Reno 6000 Echo Ave Reno, NV 89506 (951) 361-9400 contactreno@adesa.com

Adesa Sacramento 8649 Kiefer Blvd Sacramento, CA 95826 (916) 388-8899 contactsacramento@adesa com

Adesa San Diego 2175 Cactus Road

San Diego, CA 92154 (619) 661-5565 contactsandiego@adesa com

Capital City Auto Auction

3796 Recycle Rd

Rancho Cordova, CA 95742 (916) 399-4422

info@capitalcityautoauction com

Contra Costa Auto Auction 2691 E Leland Rd Pittsburg, CA 94565-2812 (925)432-8900 info@cccpaa.com

EBlock Auto Auction 341 Corporate Terrace Corona, CA 92879 (800) 378-0227 ext 110 michael maciejewski@eblock com

Hertz Dealer Direct

Danielle Tomlin (702) 205-1874

Danielle Tomlin@hertz com

JJ Kane Auctions

Mat Smith (707) 333-9333 mat smith@jjkane com

Manheim California 1320 N Tustin Ave Anaheim, CA 92807-1619 (714) 996-2400

Manheim Fresno 278 N Marks Ave Fresno, CA 93706-1136 (559) 268-8051

Manheim Oceanside 4691 Calle Joven Oceanside, CA 92057-604 (760) 754-3600

Manheim Riverside 6446 Fremont St Riverside, CA 92504-1437 (951) 689-6000

Manheim San Francisco 29900 Auction Way Hayward, CA 94544 (510) 786-4500

Manheim So-Cal 10700 Beech Ave Fontana, CA 92337-7205 (909) 822-2261

National Auto Auction Assoc Frank Hackett (301) 696-0400 naaa@naaa com

North Bay Auto Auction 250 Dittmer Road Fairfield, CA 94534

David Aahl (707) 864-1040

Norwalk Auto Auction 12405 Rosecrans Ave Norwalk, CA 90650

Lou Rudich (562) 864-7464

One Auction View

Skye Haulman skye@oneauctionview com (714) 874-4960

OPENLANE

Brad Ryan (760) 437-6768

brad ryan@openlane com

WSM Auctions

2703 Blue Mountain Way Bakersfield, CA 93304

Austin Pennington (661) 829-6924

AUTO PARTS SUPPLY

AutoZone - Central Cal

Robert Marquez (661) 378-7278

robert marquez@autozone com

AutoZone - Inland Valley

Jose Quintero (909) 231-9568 jose s quintero@autozone com

AutoZone - Los Angeles

James Sanchez (949) 689-8032

james sanchez@autozone com

AutoZone - Northern Cal

Hector Palafox (562) 441-9216

hector palafox@autozone com

AutoZone - San Diego

Ben Rojas (619) 931-9372

benjamin rojas@autozone com

SiriusXM

Bryce Stezskal (248) 762-2615

bryce stezskas@siriusxm com

COMPLIANCE SOLUTIONS

Dealer XT

Customer Service (408) 357-0237

support@dealerxt com

CREDIT CARD PROCESSING

Bizboomin

Storm Chadwick (619) 500-4699

storm@bizboomin com

DEALER MGT SOFTWARE

ASN Software

Marketing Team (559) 324-6360

info@asnsoftware com

Data Consultants

Tom Pardini (559) 222-4100

tpardini@dataconsultants com

DealerCenter

Customer Service (888) 669-2669

Lobel Financial DealWriter

DW Support (800) 871-8051

dwsupport@lobelfinancial com

DEALER BONDS

Ashton Agency

Jaimie Christina (800) 452-2663 jaimie@ashtonagency.com

DEALER EDUCATION

24/7 Dealer Training

FINANCING LENDERS

LEASING SOLUTIONS

F&I PRODUCTS

Buckeye Risk Services

Customer Service (330) 726-9030

info@buckeyerisk com

Fob Depot

Robert Baker (775) 302-5015

sales@fobdepot com

Lease Here Pay Here

Capital

Eyo Toe (619) 222-9990 xt 1015 etoe@lhph com

Lobel Financial Branch Manager (714) 699-5000 ds@lobelfinancial com

Nationwide

Tracy Gallego (916) 798-4197 tgallegos@nationwideloans com

Route One Armando Cicero-Lopez (248) 228-4250 alopez@routeone com

FLOORING COMPANIES

Rachel Michael (317) 343-5835 mobility@autofinance com

INSURANCE

Ashton Agency

Jaimie Christina (800) 452-2663 jaimie@ashtonagency.com

LEGAL SERVICES

Auto Legal Group

Ali Rakhsanifar (408) 357-4014 alir@autolegalgroup com

Madison Law

James S Sifers, Esq (949) 756-9050 jsifers@madisonlawapc.com

Robards & Stearns

Andrew V Stearns, Esq (408) 214-6432 astearns@robardsstearns com

Rogers | Smith Law

Michael C Rogers (619) 857-4243 mrogers@rogerssmithlaw.com

Scali Rasmussen Law Arden Burstein (213) 239-5622 ataburstein@scalilaw com

Schlichter, Shonack & Keeton, LLP

Jamie L Keeton, Esq (310) 643-0111 jlk@ssandkattorneys com

Jessica Biarbe (951) 833-8398 ext 110 247dealertraining@gmail com LOAN MGT SOFTWARE

California Dealer Academy

Garrett Eddings (760) 681-1757 info@californiadealeracademy.com

RMP (VITU)

Geneva Terrell White (877) 368-3375 rmpca@vitu com

DMV Desk (VITU)

Eddy Partida (877) 368-3375 info@vitu com

Advantage GPS

Hector Varela (972) 948-4190 hvarela@advantageGPS com

GPS Leaders LLC

Nick Muratore (855) 432-6423 nick@gpsleaders com

SVR Tracking

Chad Bowen (513) 602-9007 chad bowen@svrtracking com

ASN Software

Marketing Team (559) 324-6360 info@asnsoftware.com

RECONDITIONING

AutoNation Mobile Fleet Services

Lori Thomas (760) 703-6673 thomasL6@autonation com

SERVICE CONTRACTS

ASC Warranty

Jesus Menendez (754 )272-4474 jesus menendez@ascwarranty com

AUL Corp

Josh Danielson (800) 826-3207 xt 329 josh danielson@protective com

800 482 7357

Elite Warranty - San Diego & Riverside County

Anthony Wood (804) 426-8182

anthonygwood@gmail com

Elite Warranty-Orange Cnty, Coastal & Central Cal

Mike Creel (818) 207-8860 mikecreel@elitewarrantyinc com

Elite Warranty - Sacramento & NorCal

Ken Knudsen (925) 321-6403 kenlknudsen@comcast net

TRANSPORTATION

Ship Car 24, Inc.

Ship Car 24 Customer Service (916) 300-5174

info@shipcar24 com

Auto Hauler Exchange

George Lliev (248) 787-6722

giliev@autohaulerx com

Auto Data Direct

Mary Lamas (949) 514-0113 mlamas@add123 com

David Wu (386) 270-3042 david@vinaudit com

Alliance Inspection Mgmt Customer Service (562) 432-5050

Software

Marketing Team (559) 324-6360 info@asnsoftware com

Kevin Cunningham (208) 818-5302

kevin@vehiclesnetwork com

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Q2 — IADAC Independent Quarterly by Terri Little - Issuu