Category: Used-Car Dealerships

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2020, Auto Defense, Covid-19, James S. Sifers, Used-Car Dealerships

COVID-19 INDUSTRY GUIDANCE: Automobile Dealerships and Rentals

COVID-19 INDUSTRY GUIDANCE: Automobile Dealerships and Rentals With COVID-19 cases on the rise, Governor Newsom has recently ordered new California closures for non-essential businesses. The State Public Health Officer has noted that “[w]orkers critical to the manufacturing, distribution, sales, rental, leasing, repair, and maintenance of vehicles and other transportation equipment (including electric vehicle charging stations) and the supply chains that enable these operations, subject to adhering public health guidance issued […]

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2020, Auto Defense, James S. Sifers, Used-Car Dealerships

Cal. Civ. Code § 1459.5. Ruled Unconstitutional

On July 12, 2019, Governor Gavin Newsom signed into law Cal. Civ. Code § 1459.5.  The purpose of enacting Section 1459.5 was to legislatively overturn Lafferty v. Wells Fargo Bank, N.A. (2018) 25 Cal.App.5th 398 (“Lafferty”), which held that attorneys’ fees were not recoverable against a holder by a consumer for claims brought pursuant to the Federal Trade Commission’s (“FTC”) Holder Rule. (16 CFR § 433.2 [“FTC Holder Rule”].)  Section 1459.5 […]

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2020, Auto Defense, Covid-19, Paige C. Sirey, Used-Car Dealerships

Online Vehicle Sales and Off-Site Delivery

Due to the unusual circumstances surrounding the COVID-19 Coronavirus pandemic (“COVID-19”), many industries are faced with unprecedented challenges – including the automobile sales industry. Fortunately, the California Department of Motor Vehicles (“DMV”) has recognized some of those challenges and provided a solution.  Previously, an automobile dealer was required to conduct vehicle sales at the dealership’s licensed location absent certain exceptions. (Cal. Veh. Code§ 11714(b).) This made it difficult for dealers to conduct […]

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2020, Covid-19, James S. Sifers, Used-Car Dealerships

Auto Dealerships Are Essential

On March 19, 2020, Governor Gavin Newsom issued Executive Order N-33-20 (“Order”) which effectively shut down most of California in response to the COVID-19 pandemic.  In issuing the Order, many licensed California dealers were left guessing as to whether the automotive sales industry was essential such that it could continue to operate.  On April 28, 2020, the State Public Health Officer clarified the list of Essential Critical Infrastructure Workers.  The […]

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Arbitration, Business, James S. Sifers, Used-Car Dealerships

Failure to Pay Arbitration Fees Can Land You in Court

Starting this year, there will be new rules as to how payments must be made in consumer and employment arbitrations.  Effective as of January 1, 2020, Cal. Code Civ. Proc. §§ 1281.97, 1281.98, and 1281.99 proscribe hard deadlines for the payment of arbitration fees in consumer and employment arbitrations and provide remedies for consumers and employees in instances where businesses fail to comply with their payment obligations.  Given these changes, […]

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Auto Defense, James S. Sifers, Used-Car Dealerships

New Bill Signed Into Law Could Possibly Affect All Finance Companies

On July 12, 2019, Governor Gavin Newsome signed a bill which enacted Cal. Civ. Code § 1459.5. The purpose of enacting Section 1459.5 was to legislatively overturn Lafferty v. Wells Fargo Bank, N.A. (2018) 25 Cal.App.5th 398 (“Lafferty”), which held that attorneys’ fees were not recoverable against a holder by a consumer for claims brought pursuant to the Federal Trade Commission’s (“FTC”) Holder Rule. (16 CFR § 433.2 [“FTC Holder Rule”].)  […]