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Archive December 2023

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TxDMV Penalizes Independent Dealer in Temporary Tag Misuse Case

Several cases involving temporary tags are making their way through the legal system. The last case before the TxDMV Board involved a person who appeared to be clearly selling tags, and the Board imposed the highest penalty ever given to a GDN holder and revoked that GDN holder’s license On December 14, 2023, the TxDMV Board heard another contested case involving an independent automobile dealer, which involved the misuse of tags which the board distinguished from selling tags. The misuse of tags case involved TxDMV challenging a ruling in which the administrative law judge recommended $11,500 in civil penalties and that the dealer be allowed to keep their license and regain access to the temporary tag system because TxDMV staff believed a $25,000 fine and revocation of the dealer’s license was more appropriate. The main findings before the Board were as follows:

 

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The FTC’s CARS Rule: Major Implications for Independent Dealers

The Federal Trade Commission (FTC) has announced a new rule aimed at curbing deceptive practices in the car buying process. The “Combating Auto Retail Scams (CARS)” rule, unveiled on December 12, 2023, targets what the FTC calls “bait-and-switch” advertising and “junk fees.”

 

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CFPB Issues $60 Million Order Against Toyota

In a significant move on November 20, 2023, the Consumer Financial Protection Bureau (CFPB) issued an order against Toyota Motor Credit Corporation, the U.S.-based auto-financing arm of Toyota Motor Corporation. As one of the largest indirect auto lenders in the country, Toyota Motor Credit's practices came under scrutiny, revealing a series of violations that have broad implications for the automotive financing industry. This enforcement action provides valuable insights for independent automobile dealers, highlighting crucial aspects of compliance and consumer protection.

 

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Unleashed Mayhem: Dogs Cause Havoc at G Motors, Harris County, Texas

In a bizarre turn of events, G Motors, a car dealership in northwest Harris County, Texas, has fallen victim to a series of destructive incidents orchestrated by an unexpected duo: two dogs on a rampage. The surveillance video captures a chilling scene, with the canines tearing apart vehicles and causing hundreds of thousands of dollars in damages.

 

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