Category: Rumors
Hyundai dealership customer sues CDK over cyberattacks
A Hyundai dealership lease customer on July 22 joined other consumers who have sued CDK Global, alleging their data was put at risk by the June 19 cyberattacks suffered by the dealership management system provider. Ronaldo Proto of Connecticut filed the lawsuit in the U.S. Northern District of Illinois and is seeking class-action status.
Dealers should adopt some practices now ahead of CARS Rule decision, experts say
The Federal Trade Commission’s CARS Rule is on hold pending a legal challenge in the U.S. 5th Circuit Court of Appeals by the National Automobile Dealers Association and Texas Automobile Dealers Association, but dealerships might still wish to take some actions today, experts said.
FTC CARS Rule could put auto lenders at risk
The Federal Trade Commission’s CARS Rule poised to take effect upon car dealerships might have created risk for auto lenders, too, under the federal Holder Rule, experts say.
Auto repossessions surge 23% in U.S. during first half of 2024 as Americans fall behind on payments
With high interest rates and inflation hitting household budgets, the spike in seizures provides a window into the average consumer’s financial health at a key time for policymakers.
Ally Q2 net income slips 11%; auto income down 19%
Ally Financial’s net income fell 11 percent in the second quarter as the bank set aside more money in case of losses, experienced higher expenses and drew less net revenue from financing.
Pa. Ford dealer, Okla. body shops, Calif. vehicle broker sue CDK
Manderbach Ford in Hamburg, Penn.; DLR Auto Group in Agoura Hills., Calif.; Smith Collision Center in Ada, Okla.; and Broadway Precision Collision, also in Ada, accused CDK of negligence and unjust enrichment in a lawsuit filed in the U.S. Northern District of Illinois. Manderbach Ford also claimed breach of contract.
Insurance companies ask court to shield them from lender’s settlement costs
Three liability insurance companies have sued to avoid covering defense and settlement costs incurred by third-party lender Nicholas Financial in a separate class-action case involving allegations of deceptive and illegal loan-related practices.
Coastal dealers talk insurance costs, hurricane preparation know-how
NOAA expects a more active Atlantic hurricane season. Dealers, already wary of higher insurance cost,s are monitoring it.
Service departments weigh benefits, drawbacks of recouping credit card fees from customers
As dealer profits fallfrom pandemic highs, a growing number of retailers are considering a controversial tactic to help offset one of their top monthly costs: surcharges on credit card transactions in the service lane.
Dealership insurance claims follow CDK cyberattack recovery
Some dealerships have already notified their insurance carrier about the June 19 CDK Global cyberattacks. Others are in wait-and-see mode.