oklahoma dealers resource july 2012

DEALERS’ RESOURCE

Oklahoma Independent Automobile Dealers Association

In This Issue

Visit Us Online At www.e-oiada.com

A BulletDealers Dodge

July 2012

OIADA, P.O. Box 6905, Moore, OK 73153

PRSRT StandardU.S. Postage

PAIDDALLAS, TEXASPermit No. 2079

Change Service Requested

OIADA, P.O. Box 6905, Moore, OK 73153

Dealers Dodge a Bullet State AGs Target DealershipsOKDOCC Charges Updated

OK_0712.indd 1 6/20/12 2:14 PM

OK_0712.indd 2 6/20/12 2:14 PM

JULY 2012 D E A L E R S ’ R E S O U R C E

3

w w w . e - o i a d a . c o m

OIADA OFFICE813 NORTHWEST 34TH MOORE, OK 73160EMAIL: [email protected]

ROSE & ODELL MORGAN, Executive DirectorsJACKIE GARNER, Of!ce Manager

AMBER SNOOK, Administrative AssistantJARED MORGAN, Electronics/Software Technician

LYNNA KAY, ProgrammerSTEVE MORGAN, ConsultantMIKE MORGAN,Technical Aide

NATIONAL INDEPENDENT AUTOMOBILE DEALERS ASSOCIATION

NIADA HEADQUARTERS:

PHONE (817) 640-3838FOR ADVERTISING INFORMATION CONTACT: TROY GRAFF (800) 682-3837 OR [email protected]’ RESOURCE IS A PUBLICATION OF AUTOMOTIVE DEAL-ERS RESOURCE OF OKLAHOMA (ADR) PRODUCED ON BEHALF OF THE OKLAHOMA INDEPENDENT AUTOMOBILE DEALERS ASSOCIA-TION (OIADA), P.O. BOX 6905, MOORE, OK 73153. THE DEALERS’ RESOURCE IS PUBLISHED MONTHLY BY THE NATIONAL INDEPEN-DENT AUTOMOBILE DEALERS ASSOCIATION SERVICES CORPORA-TION. PERIODICAL POSTAGE PAID AT ARLINGTON, TX, AND AT ADDITIONAL OFFICES. POSTMASTER: SEND ADDRESS CHANGES TO OIADA, P.O. BOX 6905, MOORE, OK 73153. THE STATEMENTS AND OPINIONS EXPRESSED HEREIN ARE THOSE OF THE INDIVIDU-AL AUTHORS AND DO NOT NECESSARILY REPRESENT THE VIEWS OF ADR OF OKLAHOMA, THE OKLAHOMA INDEPENDENT AUTO-MOBILE DEALERS ASSOCIATION OR THE NATIONAL INDEPENDENT AUTOMOBILE DEALERS ASSOCIATION. LIKEWISE, THE APPEAR-ANCE OF ADVERTISERS, OR THEIR IDENTIFICATION AS MEMBERS OF OIADA OR NIADA DOES NOT CONSTITUTE AN ENDORSE-MENT OF THE PRODUCTS OR SERVICES FEATURED. COPYRIGHT © 2011 BY O&R MORGAN, INC. DBA OIADA. ALL RIGHTS RESERVED. DEALERS’ RESOURCE IS A PUBLICATION OF AUTOMOTIVE DEALERS RESOURCE OF OKLAHOMA ON BEHALF OF THE OKLAHOMA IN-DEPENDENT AUTOMOBILE DEALERS ASSOCIATION (OIADA), BUT IS MAILED TO ALL DEALERS IN THE STATE IN AN EFFORT TO EDU-CATE AND ENCOURAGE NON-MEMBERS TO JOIN THE ASSOCIA-TION AND SUPPORT OUR EFFORTS TO IMPROVE THE IMAGE AND PROFIT POTENTIAL OF THE INDUSTRY. FOR 55 YEARS, WE HAVE WORKED TO REPRESENT THE INDEPENDENT MOTOR VEHICLE DEALER IN OKLAHOMA. WE NEED YOUR SUPPORT.FRONT COVER BY Mike MorganSTATE MAGAZINE MGR./SALES��Mkhr�@kZ__��mkhr9gbZ]Z'\hfEDITOR :g]r�?kb^]eZg]^k��Zg]r9gbZ]Z'\hfART/PRODUCTION MGR. �<akblmr�AZrg^l��\akblmr9gbZ]Z'\hfPRINTING��Gb^fZg�Ikbgmbg`

MAGAZINE CONTENTS

ADVERTISERS INDEX71B Auto Auction ..................................................... 17ADESA .............................................Inside Back Cover Albright Insurance ..................................................... 7Ally ......................................................................... 11AutoTrader.com ......................................................... 5 Chase ...................................................................... 20Chickasha Auto Auction .......................................... 26Dealer’s Auto Auction of OKC .....................Back CoverJordan Insurance Group ............................................ 9Kelley Blue Book ..................................................... 19Loftis Wetzel Insurance ........................................... 23Manheim.com ......................................................... 15Manheim North Texas ................... Inside Front CoverNowcom .................................................................. 13Oklahoma Auto Exchange ....................................... 33Protective ................................................................ 25United Acceptance .................................................. 21Voisys ...................................................................... 34

FOR INFORMATION ON HOW TO BECOME A MEMBER OF OIADA PLEASE CONTACT ROSE OR ODELL MORGAN AT 405-232-2947.

PRESIDENTChris GoadRegal Motors3515 N. MayOklahoma City, OK [email protected]

CHAIRMAN OF THE BOARDJohn EasttomAuto Mart of Elk CityP.O. Box 981Elk City, OK [email protected]

SECRETARY/ TREASURERBruce BeamDealers Auto Auction of OKC1028 S. PortlandOklahoma City, OK 73147405-947-2886www.daaokc.com

VICE PRESIDENTSJohn T. Longacre, IVTaft Motors, Inc.722 S. Linden St.Sapulpa, [email protected] Julian CoddingReliable Motors, Inc.9201 S. ShieldsOklahoma City, [email protected]

Monte ShockleyShockley Auto Sales2605 N. BroadwayPoteau, OK [email protected]

Glenn McDanielI-35 Credit Auto1113 SE 51st St.Oklahoma City, OK [email protected]

David McQuerryMcQuerry Motors, Inc.1302 N. Harrison St.Shawnee, OK [email protected]

OIADA BOARD OF DIRECTORS

OIADA CONTACT INFO

WHAT’S NEW

06 Dealers Dodge a Bullet20 OKDOCC Charges Updated33 State AGs Target Dealerships

UMV&PC Assesses FinesThe Used Motor Vehicle and Parts Commission

(UMV&PC) at its May meeting approved consent DJUHHPHQWV�FRQVLVWLQJ�RI�¿QHV�DVVHVVHG�GXH�WR�UXOH�violations by two licensees.&RQVHQW�DJUHHPHQWV�DUH�WKH�UHVXOW�RI�QHJRWLDWLRQV�

EHWZHHQ�8093&�VWDII�DQG�RI¿FLDOV�RI�OLFHQVHHV�ZKHQ�YLRODWLRQV�RI�WKH�UXOHV�KDYH�RFFXUUHG��7KH�QHJRWLDWLRQV�JHQHUDOO\�UHVXOW�LQ�WKH�YLRODWRUV�DJUHHLQJ�WR�D�VHWWOHPHQW�DW�VWDII�OHYHO�UDWKHU�WKDQ�JRLQJ�EHIRUH�WKH�IXOO�FRPPLVVLRQ�for a hearing.7RPP\�)XOWRQ��RQ�EHKDOI�RI�&�'�7�$XWR�$XFWLRQ��

DJUHHG�WR�D�¿QH�RI��IRU�FRQGXFWLQJ�WZR�DXFWLRQV�prior to getting commission approval for a license.$GULHQQH�:KLWZRUWK��RQ�EHKDOI�RI�6XSHUE�0RWRUV��

DJUHHG�WR�D�¿QH�RI��IRU�IDLOLQJ�WR�OLFHQVH�DQ�LQGLYLGXDO�ZKR�KDV�DFWHG�DV�D�VDOHVSHUVRQ�IRU�WKH�dealership for three years.

BY ADR STAFF

Sirius XM Satellite Radio is America’s satellite radio company. Independent dealerships can now offer a free SiriusXM three-month trial on all pre-owned vehicles with factory-equipped satellite radio. In addition to selling your customers a quality vehicle, you’ll be giving them the opportunity to enjoy satellite radio. And there’s no cost to your customer. Visit www.siriusxm.com/niadaprogram to enroll your dealership today!

NIADA Member Health Plans, administered by JLBG Health, bring you choice and !exibility when designing your personal health plan while providing potential savings of thousands of dollars annually. To review the plan details and receive an instant online rate, visit www.NIADAHealthPlans.com or call 1-888-308-9340.

OK_0712.indd 3 6/20/12 2:20 PM

D E A L E R S ’ R E S O U R C E JULY 2012 w w w . e - o i a d a . c o m

The Federal Trade Commission UHFHQWO\�LVVXHG�DQ�DGYLVRU\�RSLQLRQ�DI¿UPLQJ�FRQVXPHUV¶�ULJKWV�XQGHU�WKH�)7&¶V�+ROGHU�LQ�'XH�&RXUVH�5XOH��+ROGHU�5XOH��7KH�+ROGHU�5XOH�SURWHFWV�WKH�ULJKWV�RI�

FRQVXPHUV�ZKR�PDNH�D�SXUFKDVH�XVLQJ�FUHGLW�REWDLQHG�WKURXJK�D�PHUFKDQW�even when the merchant sells the credit FRQWUDFW�WR�DQRWKHU�OHQGHU��7KH�SXUSRVH�RI�WKH�+ROGHU�5XOH�LV�WR�SURYLGH�UHFRXUVH�WR�FRQVXPHUV�ZKR�RWKHUZLVH�ZRXOG�EH�OHJDOO\�REOLJDWHG�WR�PDNH�IXOO�SD\PHQW�WR�D�FUHGLWRU�GHVSLWH�EUHDFK�RI�ZDUUDQW\��PLVUHSUHVHQWDWLRQ�RU�HYHQ�IUDXG�RQ�WKH�part of the seller.7KH�UHFHQW�RSLQLRQ�ZDV�LVVXHG�LQ�

UHVSRQVH�WR�D�UHTXHVW�E\�WKH�1DWLRQDO�&RQVXPHU�/DZ�&HQWHU��7KH�1&/&�UHTXHVWHG�FRQ¿UPDWLRQ�WKDW�WKH�+ROGHU�5XOH�GRHV�QRW�OLPLW�D�FRQVXPHU¶V�ULJKW�WR�DQ�DI¿UPDWLYH�UHFRYHU\�LQ�FHUWDLQ�FLUFXPVWDQFHV��$Q�DI¿UPDWLYH�UHFRYHU\�LV�ZKHQ�WKH�FRQVXPHU�PDLQWDLQV�D�FODLP�

DJDLQVW�WKH�FUHGLWRU�IRU�D�UHIXQG�RI�PRQH\�WKH�FRQVXPHU�KDV�DOUHDG\�SDLG�XQGHU�WKH�FRQWUDFW�$FFRUGLQJ�WR�WKH�1&/&��YDULRXV�FRXUW�

FDVHV�KDYH�KHOG�WKDW�D�FRQVXPHU�FDQ�RQO\�REWDLQ�DQ�DI¿UPDWLYH�UHFRYHU\�DJDLQVW�D�FUHGLWRU�XQGHU�WKH�+ROGHU�5XOH�ZKHQ�WKH�VHOOHU¶V�EUHDFK�LV�VR�VXEVWDQWLDO�WKDW�UHVFLVVLRQ�DQG�UHVWLWXWLRQ�DUH�MXVWL¿HG��RU�ZKHQ�WKH�JRRGV�RU�VHUYLFHV�VROG�WR�WKH�FRQVXPHU�DUH�ZRUWKOHVV�7KH�RSLQLRQ�VWDWHV�WKDW�XQGHU�WKH�

+ROGHU�5XOH�D�FUHGLWRU�RU�DVVLJQHH�RI�WKH�FRQWUDFW�LV�VXEMHFW�WR�DOO�FODLPV�RU�GHIHQVHV�WKH�FRQVXPHU�FRXOG�DVVHUW�DJDLQVW�WKH�VHOOHU��7KH�+ROGHU�5XOH�GRHV�not create any new claims or defenses IRU�WKH�FRQVXPHU��,W�VLPSO\�SURWHFWV�WKH�FRQVXPHU¶V�H[LVWLQJ�FODLPV�DQG�GHIHQVHV��7KH�RQO\�OLPLWDWLRQ�LQFOXGHG�LQ�WKH�UXOH�LV�WKDW�D�FRQVXPHU¶V�UHFRYHU\�³VKDOO�QRW�H[FHHG�DPRXQWV�SDLG´�E\�WKH�FRQVXPHU�XQGHU�WKH�FRQWUDFW�'HVSLWH�WKH�UXOH¶V�SODLQ�ODQJXDJH��

KRZHYHU��VRPH�FRXUWV�KDYH�LPSRVHG�DGGLWLRQDO�OLPLWDWLRQV�RQ�D�FRQVXPHU¶V�ULJKW�WR�DI¿UPDWLYH�UHFRYHU\��%HJLQQLQJ�with Ford Motor Credit Co. v. Morgan �0DVV��VRPH�FRXUWV�KDYH�DOORZHG�DI¿UPDWLYH�UHFRYHU\�RQO\�LI�WKH�FRQVXPHU�LV�HQWLWOHG�WR�UHVFLVVLRQ�RU�VLPLODU�UHOLHI�XQGHU�VWDWH�ODZ��:KHQ�RULJLQDOO\�DGRSWLQJ�WKH�UXOH��

the FTC determined that the creditor is always in a better position than the EX\HU�WR�UHWXUQ�VHOOHU�PLVFRQGXFW�FRVWV�WR�VHOOHUV��,Q�LWV�UHFHQW�RSLQLRQ��WKH�)7&�DI¿UPHG�WKDW�LQ�RUGHU�WR�JLYH�IXOO�effect to the original intent to shift seller PLVFRQGXFW�FRVWV�DZD\�IURP�FRQVXPHUV��FRQVXPHUV�PXVW�KDYH�WKH�ULJKW�WR�UHFRYHU�IXQGV�DOUHDG\�SDLG�XQGHU�WKH�FRQWUDFW�LI�VXFK�UHFRYHU\�LV�QHFHVVDU\�WR�IXOO\�FRPSHQVDWH�WKH�FRQVXPHU�IRU�WKH�PLVFRQGXFW�±�HYHQ�LI�UHVFLVVLRQ�RI�WKH�transaction is not warranted.

BY ADR STAFF

4

What’s It Worth?:KHQ�GHDOHUV�DVN�XV�DERXW�

PHPEHUVKLS�LQ�WKH�2NODKRPD�,QGHSHQGHQW�$XWR�'HDOHUV�$VVRFLDWLRQ��WKH\�ZDQW�WR�NQRZ�WZR�WKLQJV��³:KDW�GRHV�LW�FRVW"´�DQG�³:KDW¶V�LW�ZRUWK"´$V�IRU�WKH�FRVW��LW¶V��SHU�\HDU��$V�

IRU�ZKDW�LW¶V�ZRUWK��ZH�RIWHQ�UHVSRQG�E\�¿UVW�OLVWLQJ�WKH�WDQJLEOH�EHQH¿WV��7KH�WZR�PRVW�REYLRXV�SXW�GROODUV�LPPHGLDWHO\�EDFN�LQWR�WKH�GHDOHU¶V�SRFNHW�±�D��SHUFHQW�GLVFRXQW�RQ�PRVW�IRUPV�DQG�VXSSOLHV�SXUFKDVHG�WKURXJK�WKH�DVVRFLDWLRQ��DQG�WKH�9,3�0HPEHU�'LVFRXQW�&DUGV�JRRG�DW�DXFWLRQV�DFURVV�WKH�VWDWH�DQG�LQ�7H[DV�7KH�9,3�FDUGV�DORQH�DUH�YDOXHG�DW�

PRUH�WKDQ�IRXU�WLPHV�WKH�PHPEHUVKLS�IHH��2WKHU�EHQH¿WV��VXFK�DV�DFFHVV�WR�LQVXUHG�ZDUUDQW\�DQG�VHUYLFH�DJUHHPHQWV�DV�ZHOO�DV�WKH�1,$'$�&HUWL¿HG�3UH�2ZQHG�9HKLFOH�3URJUDP��FDQ�EH�XVHG�WR�KHOS�JURZ�\RXU�EXVLQHVV��DOVR�XOWLPDWHO\�SXWWLQJ�PRUH�GROODUV�LQ�

WKH�GHDOHU¶V�SRFNHW��%XW�WKH�EHQH¿W�WKDW�LV�RIWHQ�GLI¿FXOW�WR�

WUDQVODWH�LQWR�³GROODUV�LQ�WKH�SRFNHW´�LV�that of dealer representation at the state and federal levels.:KDW¶V�LW�ZRUWK�WR�KDYH�NQRZOHGJHDEOH�

LQGXVWU\�VWDII�PHHWLQJ�ZLWK�VWDWH�DQG�IHGHUDO�UHJXODWRUV"�:KDW¶V�LW�ZRUWK�WR�KDYH�H[SHULHQFHG�VWDII�DYDLODEOH�WR�DQVZHU�RU�JHW�WKH�DQVZHU�WR�\RXU�HYHU\GD\�PDQDJHPHQW�TXHVWLRQV"�:KDW¶V�LW�ZRUWK�WR�KDYH�SURIHVVLRQDO�legislative liaisons monitoring activity at WKH�VWDWH�DQG�IHGHUDO�FDSLWROV"�:KDW¶V�LW�ZRUWK�WR�KDYH�VNLOOHG�SHRSOH�GHGLFDWHG�WR�¿JKWLQJ�IRU�\RXU�LQWHUHVWV"�,W¶V�KDUG�WR�VD\�XQWLO�\RX�VHH�WKH�UHVXOWV�,Q�WKLV�LVVXH�RI�'HDOHUV�5HVRXUFH�

PDJD]LQH�DUH�WZR�OHJLVODWLYH�VXFFHVV�VWRULHV��³'HDOHUV�'RGJH�D�%XOOHW´�LV�D�YLFWRU\�IRU�2NODKRPD�GHDOHUV�RUFKHVWUDWHG�E\�RXU�VWDWH�OHJLVODWLYH�liaison. The proposed legislation

ZRXOG�KDYH�LPSRVHG�VWULQJHQW�GDPDJH�GLVFORVXUH�UHTXLUHPHQWV�RQ�VWDWH�GHDOHUV��7KH�³$SULO��1,$'$�/HJLVODWLYH�5HSRUW�´�ZLWK�UHVSHFW�WR�6��KLJKOLJKWV�WKH�QHHG�IRU�FRQWLQXHG�PRQLWRULQJ�HYHQ�DIWHU�KDUPIXO�OHJLVODWLRQ�KDV�EHHQ�GHIHDWHG��7KH�6��OHJLVODWLRQ�LQYROYHG�D�decidedly negative recall provision WKDW�ZRXOG�KDYH�SURKLELWHG�WKH�VDOH�of a motor vehicle for which there is a pending recall. :KDW¶V�LW�ZRUWK�WR�KDYH�SUHYHQWHG�

enactment of these two pieces of OHJLVODWLRQ"�,W¶V�ZRUWK�DW�OHDVW��,I�\RX�DUH�DOUHDG\�D�SDLG�PHPEHU�RI�

2,$'$�DQG�1,$'$��WKDQN�\RX��,I�\RX�DUH�QRW�D�SDLG�PHPEHU��ZH�XUJH�\RX�WR�MRLQ�±�LW¶V�ZRUWK�LW��$�PHPEHUVKLS�DSSOLFDWLRQ�FDQ�EH�IRXQG�LQ�WKLV�magazine.

BY OIADA STAFF

Consumers’ Rights Under the Holder Rule

W H AT ’ S I T WO R T H T O H AV E S K I L L E D P E O P L E D E D I CAT E D T O F I G H T I N G FO R YO U R I N T E R E S T S ?

OK_0712.indd 4 6/20/12 2:14 PM

OK_0712.indd 5 6/20/12 2:14 PM

D E A L E R S ’ R E S O U R C E JULY 2012

6

w w w . e - o i a d a . c o mw w w . e - o i a d a . c o m

6

As a part of their public service, Oklahoma state legislators represent the interests of their constituents by responding to requests for redress from grievances, relief from onerous demands, etc., often to the detriment of other constituents and the public in general.

In contrast, your OIADA legislative liaison represents independent dealers’ interests by continuously monitoring activity at the state capitol, either VXSSRUWLQJ�OHJLVODWLRQ�WKDW�EHQH¿WV�our industry, or – just as importantly – actively working to prevent harmful legislation.

A classic example of the process LQYROYHG�D�UHFHQW�6HQDWH�ÀRRU�amendment that was developed to be inserted into a committee substitute for Senate Bill 2374. Had the amendment passed, the impact on our industry would have been decidedly negative.

This particular amendment would have required, in addition to current law, that “for the purposes of any transfer of a motor vehicle, the transferor shall give the following written information to the transferee prior to the transfer of ownership of a motor vehicle:1. A damage statement disclosure of

any frame and/or body damage to the motor vehicle;

2. The date of any frame and/or body damage to the motor vehicle;

3. The date any frame and/or body damage repairs were made or attempted on the motor vehicle;

4. The name and current address of the transferor;

5. The identity of the vehicle, including the make, model, year, body type DQG�YHKLFOH�LGHQWL¿FDWLRQ�QXPEHU�

“In the disclosure required pursuant to this section, the transferor shall also certify that to the best of his or her knowledge:

Dealers Dodge a Bullet

YO U R O I A DA M E M B E R S H I P D U E S AT WO R K !

1. The damage statement disclosure UHÀHFWV�WKH�DFWXDO�IUDPH�DQG�ERG\�damage and repairs to the motor vehicle;

2. T he damage statement disclosure GRHV�QRW�UHÀHFW�WKH�DFWXDO�GDPDJHV�to the motor vehicle;

3. The damage statement disclosure GRHV�QRW�UHÀHFW�WKH�DFWXDO�UHSDLUV�WR�the motor vehicle, or

4. The transferor has no knowledge of any frame or body damage or repairs to the motor vehicle.

“Any transferor willfully giving false or misleading information in the required disclosures pursuant to this section shall be guilty of fraud. In addition, any motor vehicle dealer deemed to have violated any provision of this section shall be required to refund all monies and things of value related to the motor vehicle transfer. 1RWKLQJ�KHUHLQ�VKDOO�SUHFOXGH�WKH�¿OLQJ�of a separate civil action by any person alleged to have been damaged as a result of any violation of any provision of this section.”

The incident was created when a consumer – a close family member of the authoring senator – bought a vehicle that had had some previous damage. The damage had not, at the time of the sale, been entered into the databases of the nation’s vehicle history reporting agencies such as CARFAX and was not known to the dealer who sold the vehicle. After the purchase, the consumer learned of the damage and complained to the senator, resulting in the proposed amendment.

When the amendment came to light through OIADA’s legislative liaison and the scope of the problem was learned, OIADA and industry members became involved. First, the members of the industry directly involved in WKH�YHKLFOH�VDOH�ZHUH�QRWL¿HG��7KH\�promptly moved to correct the problem

by facilitating the backing out of the vehicle sale and providing a full return of the consumer’s outlay. No harm, no foul!

Second, OIADA contacted the senator and presented the industry’s position. The senator was made aware of the virtual impossibility of complying with the damage reporting requirements of the proposed amendment because such information is not generally available at the time of a sale. In addition, the negative impact that fraud and civil action connotations would have on dealers was explained to the senator.

Nevertheless, the senator was determined to submit his amendment.

To counter the effects of the proposed amendment, OIADA’s legislative liaison distributed a memo to the Oklahoma Senate members outlining the association’s opposition to the amendment. To make a long story short, when the senate bill came up for consideration, the amendment was not considered and Senate Bill 2374 passed 45-0 – without the harmful language. The bill later passed the House on a vote of 93-0 and was sent to the governor.

That is just one example of OIADA membership dues working for you. All Oklahoma independent dealers are eligible to become members in the state association. OIADA members receive D�YDULHW\�RI�WDQJLEOH�EHQH¿WV��LQFOXGLQJ�VIP Discount Cards, 10 percent discounts on most forms and supplies purchased through OIADA, and access to insurance and other discounts through the national association. But DOO�LQGHSHQGHQW�GHDOHUV�EHQH¿W�IURP�the OIADA legislative liaison’s efforts DW�WKH�&DSLWRO��$QG�LW¶V�WKDW�EHQH¿W�WKDW�should be of most importance to you as an independent dealer.

If you are a paid member, thank you for supporting your industry. Your

DEALERS’ RESOURCE


In This Issue



July 2012

OK_0712.indd 6 6/20/12 3:40 PM


7


membership dues paid off again, big time. If you are not a paid member, please

be aware that annual membership dues are only $295. That is a small SHUFHQWDJH�RI�WKH�SUR¿W�RQ�WKH�VDOH�of one vehicle. Consider: What if that one vehicle had suffered damage of which you were unaware? What if you had sold that one vehicle without disclosing the unknown damage? What if there had been no OIADA legislative liaison at the state capitol this past session, protecting your interests and minimizing your liability in the sale of that one vehicle? And what if the attorney representing the purchaser of that one vehicle _ sold in violation of the proposed disclosure law _ was banging on your front door?

OIADA membership dues of $295 would suddenly seem a bargain.

To cover that $295 fee, several auctions and other vendors have generously agreed to issue OIADA VIP cards valued in excess of the membership fee for those dealers who become paid members. So trade with those vendors, listed elsewhere in this newsletter, and they will more than cover your membership dues. You can’t beat that kind of deal.

We urge all motor vehicle dealers to become paid members. Once again, thanks to the diligence and persistence of Jami Longacre, our OIADA legislative liaison, made possible by the dues from paid members, the damage from harmful legislation was avoided.

Help us continue that success. Help us help you. Become a paid member in the Oklahoma Independent Automobile Dealers Association, your state association. A membership application is available in this newsletter and we will welcome you as a participating member.

BY ADR STAFF

DEALERS’ RESOURCE


In This Issue



July 2012

OK_0712.indd 7 6/20/12 3:41 PM


8


Form W-2 Reporting of Employer-Sponsored Health Coverage�7KH�$IIRUGDEOH�&DUH�$FW�UHTXLUHV�HPSOR\HUV�WR�UHSRUW�WKH�

FRVW�RI�FRYHUDJH�XQGHU�DQ�HPSOR\HU�VSRQVRUHG�JURXS�KHDOWK�SODQ��5HSRUWLQJ�WKH�FRVW�RI�KHDOWK�FDUH�FRYHUDJH�RQ�WKH�)RUP�:��GRHV�QRW�PHDQ�WKDW�WKH�FRYHUDJH�LV�WD[DEOH��7KH�YDOXH�RI�WKH�HPSOR\HU¶V�H[FOXGDEOH�FRQWULEXWLRQ�WR�KHDOWK�FRYHUDJH�FRQWLQXHV�WR�EH�H[FOXGDEOH�IURP�DQ�HPSOR\HH¶V�LQFRPH��DQG�LW�LV�QRW�WD[DEOH��7KLV�UHSRUWLQJ�LV�IRU�LQIRUPDWLRQDO�SXUSRVHV�RQO\�DQG�ZLOO�SURYLGH�HPSOR\HHV�XVHIXO�DQG�FRPSDUDEOH�FRQVXPHU�information on the cost of their health care coverage.(PSOR\HUV�WKDW�SURYLGH�³DSSOLFDEOH�HPSOR\HU�VSRQVRUHG�

FRYHUDJH´�XQGHU�D�JURXS�KHDOWK�SODQ�DUH�VXEMHFW�WR�WKH�UHSRUWLQJ�UHTXLUHPHQW��7KLV�LQFOXGHV�EXVLQHVVHV��WD[�H[HPSW�RUJDQL]DWLRQV��DQG�IHGHUDO��VWDWH�DQG�ORFDO�JRYHUQPHQW�HQWLWLHV��H[FHSW�ZLWK�UHVSHFW�WR�SODQV�PDLQWDLQHG�SULPDULO\�IRU�PHPEHUV�RI�WKH�PLOLWDU\�DQG�WKHLU�IDPLOLHV��+RZHYHU��IHGHUDOO\�UHFRJQL]HG�,QGLDQ�WULEDO�JRYHUQPHQWV�DUH�QRW�VXEMHFW�WR�WKLV�UHTXLUHPHQW�

Transition Relief)RU�FHUWDLQ�HPSOR\HUV��W\SHV�RI�FRYHUDJH��DQG�VLWXDWLRQV��WKHUH�

LV�WUDQVLWLRQ�UHOLHI�IURP�WKH�UHTXLUHPHQW�WR�UHSRUW�WKH�YDOXH�RI�FRYHUDJH�RQ�WKH��)RUPV�:��WKH�IRUPV�IRU�FDOHQGDU�\HDU��WKDW�HPSOR\HUV�JHQHUDOO\�DUH�UHTXLUHG�WR�SURYLGH�HPSOR\HHV�LQ�-DQXDU\��7KLV�UHOLHI�ZLOO�DSSO\�WR�IXWXUH�FDOHQGDU�\HDUV�XQWLO�WKH�,56�SXEOLVKHV�DGGLWLRQDO�JXLGDQFH��+RZHYHU��DQ\�JXLGDQFH�WKDW�H[SDQGV�WKH�UHSRUWLQJ�UHTXLUHPHQWV�ZLOO�DSSO\�RQO\�WR�FDOHQGDU�\HDUV�WKDW�VWDUW�DW�OHDVW�VL[�PRQWKV�DIWHU�WKH�JXLGDQFH�LV�LVVXHG��6HH�WKH�³2SWLRQDO�5HSRUWLQJ´�FROXPQ�LQ�WKH�EHORZ�FKDUW�IRU�WKH�HPSOR\HUV��W\SHV�RI�FRYHUDJH��DQG�VLWXDWLRQV�HOLJLEOH�IRU�the transition relief.

Reporting on the Form W-27KH�YDOXH�RI�WKH�KHDOWK�FDUH�FRYHUDJH�ZLOO�EH�UHSRUWHG�LQ�%R[��

RI�WKH�)RUP�:��ZLWK�&RGH�''�WR�LGHQWLI\�WKH�DPRXQW��7KHUH�LV�QR�UHSRUWLQJ�RQ�WKH�)RUP�:��RI�WKH�WRWDO�RI�WKHVH�DPRXQWV�IRU�DOO�WKH�HPSOR\HU¶V�HPSOR\HHV�,Q�JHQHUDO��WKH�DPRXQW�UHSRUWHG�VKRXOG�LQFOXGH�ERWK�WKH�

portion paid by the employer and the portion paid by the HPSOR\HH��6HH�WKH�FKDUW��EHORZ��DQG�WKH�TXHVWLRQV�DQG�DQVZHUV�for more information.$Q�HPSOR\HU�LV�QRW�UHTXLUHG�WR�LVVXH�D�)RUP�:��VROHO\�WR�

UHSRUW�WKH�YDOXH�RI�WKH�KHDOWK�FDUH�FRYHUDJH�IRU�UHWLUHHV�RU�RWKHU�HPSOR\HHV�RU�IRUPHU�HPSOR\HHV�WR�ZKRP�WKH�HPSOR\HU�ZRXOG�QRW�RWKHUZLVH�SURYLGH�D�)RUP�:��7KH�FKDUW�EHORZ�LOOXVWUDWHV�WKH�W\SHV�RI�FRYHUDJH�WKDW�

HPSOR\HUV�PXVW�UHSRUW�RQ�WKH�)RUP�:��&HUWDLQ�LWHPV�DUH�OLVWHG�DV�³RSWLRQDO´�EDVHG�RQ�WUDQVLWLRQ�UHOLHI�SURYLGHG�E\�1RWLFH��UHVWDWLQJ�DQG�FODULI\LQJ�1RWLFH��)XWXUH�JXLGDQFH�PD\�UHYLVH�UHSRUWLQJ�UHTXLUHPHQWV�EXW�ZLOO�QRW�EH�DSSOLFDEOH�XQWLO�WKH�WD[�\HDU�EHJLQQLQJ�DW�OHDVW�VL[�PRQWKV�DIWHU�WKH�GDWH�RI�LVVXDQFH�RI�VXFK�JXLGDQFH�7KH�FKDUW�UHYLHZV�WKH�UHSRUWLQJ�UHTXLUHPHQWV�IRU�%R[��&RGH�

''��DQG�KDV�QR�LPSDFW�RQ�UHTXLUHPHQWV�WR�UHSRUW�WKHVH�LWHPV�HOVHZKHUH��)RU�H[DPSOH��ZKLOH�FRQWULEXWLRQV�WR�+HDOWK�6DYLQJV�$UUDQJHPHQWV��+6$��DUH�QRW�WR�EH�UHSRUWHG�LQ�%R[��&RGH�''��

FHUWDLQ�+6$�FRQWULEXWLRQV�DUH�UHSRUWHG�LQ�%R[��&RGH�:��VHH�*HQHUDO�,QVWUXFWLRQV�IRU�)RUPV�:��DQG�:��7KH�FKDUW�ZDV�FUHDWHG�DW�WKH�VXJJHVWLRQ�RI�DQG�LQ�FROODERUDWLRQ�

ZLWK�WKH�,56¶�,QIRUPDWLRQ�5HSRUWLQJ�3URJUDP�$GYLVRU\�&RPPLWWHH��,53$&��,53$&¶V�PHPEHUV�DUH�UHSUHVHQWDWLYHV�RI�LQGXVWULHV�UHVSRQVLEOH�IRU�SURYLGLQJ�LQIRUPDWLRQ�UHWXUQV��VXFK�DV�)RUP�:��WR�WKH�,56��,53$&�ZRUNV�ZLWK�,56�WR�LPSURYH�WKH�information reporting process.

IRS Health Coverage GuidanceR E P O R T I N G I S VO LU N TA RY FO R A L L E M P LOY E R S FO R 2 011 A N D S M A L L E M P LOY E R S FO R 2 01 2

OK_0712.indd 8 6/20/12 2:14 PM


9


CFPB Investigating BHPH Dealer2Q�$SULO��WKH�&RQVXPHU�)LQDQFLDO�

3URWHFWLRQ�%XUHDX�GHOLYHUHG�D�&LYLO�,QYHVWLJDWLYH�'RFXPHQW��&,'��WR�'ULYH7LPH�$XWRPRWLYH�*URXS��,QF��'7$*��UHTXHVWLQJ�WKDW�'7$*�SURGXFH�FHUWDLQ�GRFXPHQWV�DQG�LQIRUPDWLRQ�DQG�DQVZHU�TXHVWLRQV�UHODWLQJ�WR�FHUWDLQ�FRPSRQHQWV�RI�WKH�EXVLQHVV�RI�'7$*�DQG�LWV�DI¿OLDWHV�7KH�&)3%�KDV�QRW�DOOHJHG�D�YLRODWLRQ�

E\�'7$*�RI�DQ\�ODZ�DQG�'7$*�LV�FRRSHUDWLQJ�ZLWK�WKH�&)3%¶V�UHTXHVWV�IRU�information.7KH�&)3%�KDV�DXWKRULW\�WR�

investigate whether persons have HQJDJHG�LQ�FRQGXFW�WKDW�YLRODWHV�DQ\�SURYLVLRQ�RI�IHGHUDO�FRQVXPHU�¿QDQFLDO�ODZ��7KH�ULJKW�WR�LVVXH�&,'V�LV�MXVW�RQH�WRRO�DW�LWV�GLVSRVDO��DOEHLW�DQ�LPPHQVHO\�SRZHUIXO�RQH�,Q�JHQHUDO��D�&,'�LV�D�IRUPDO�UHTXHVW�

IRU�LQIRUPDWLRQ��W\SLFDOO\�LVVXHG�LQ�WKH�FRXUVH�RI�DQ�LQYHVWLJDWLRQ��,Q�DFFRUGDQFH�ZLWK�WKH�'RGG�)UDQN�$FW�DQG�WKH�&)3%¶V�UXOHV�UHODWLQJ�WR�LQYHVWLJDWLRQV��WKH�

EXUHDX�PD\�LVVXH�D�&,'�LQ�DQ\�EXUHDX�investigation directing the person named therein to satisfy any combination of the IROORZLQJ��3URGXFH�GRFXPHQWDU\�PDWHULDO�WR�EH�

available for inspection and copying or UHSURGXFWLRQ�LQ�WKH�IRUP�RU�PHGLXP�UHTXHVWHG�E\�WKH�EXUHDX�

��Provide tangible things.�� Provide a written report or answers to TXHVWLRQV�

��$SSHDU�DQG�WHVWLI\�DERXW�WKH�SURYLGHG�material or other information.%\�GH¿QLWLRQ��WKH�³GRFXPHQWDU\�

PDWHULDO´�WR�EH�SURYLGHG�FDQ�LQFOXGH�WKH�RULJLQDO�RU�DQ\�FRS\�RI�DQ\�ERRN��GRFXPHQW��UHFRUG��UHSRUW��PHPRUDQGXP��SDSHU��FRPPXQLFDWLRQ��WDEXODWLRQ��FKDUW��ORJ��HOHFWURQLF�¿OH�RU�RWKHU�GDWD�or data compilation stored in any PHGLXP��LQFOXGLQJ�HOHFWURQLFDOO\�VWRUHG�LQIRUPDWLRQ��$OVR��UHVSRQVHV�IRU�ZULWWHQ�UHSRUWV�RU�TXHVWLRQV�VKDOO�EH�DQVZHUHG�VHSDUDWHO\�DQG�IXOO\�LQ�ZULWLQJ�7KH�QDPHG�SHUVRQ�LV�OHJDOO\�ERXQG�WR�

UHVSRQG�WR�&,'�UHTXHVWV�DQG�PXVW�GR�VR�LQ�WKH�PDQQHU�SUHVFULEHG�E\�WKH�&)3%�UXOHV�DQG�WKH�VSHFL¿F�&,'��$OO�PDWHULDO�SURYLGHG�PXVW�EH�DFFRPSDQLHG�E\�VZRUQ�FHUWL¿FDWLRQ�DQG�VKDOO�EH�SURYLGHG�ZLWKLQ�WKH�WLPH�IUDPH�DOORWWHG�LQ�WKH�&,'��$Q\�RUDO�WHVWLPRQ\�VKDOO�EH�JLYHQ�XQGHU�RDWK�DW�WKH�GDWH��WLPH�DQG�SODFH�VSHFL¿HG�E\�WKH�&,'�DQG�VKDOO�EH�WDNHQ�LQ�DFFRUGDQFH�ZLWK�SURFHGXUHV�GH¿QHG�LQ�WKH�UXOHV�,W¶V�LPSRUWDQW�WR�QRWH�WKDW�WKH�

LVVXDQFH�RI�D�&,'�LV�QRW�DQ�DOOHJDWLRQ�RI�ZURQJGRLQJ��,Q��XVLQJ�VLPLODU�DXWKRULW\��WKH�)HGHUDO�7UDGH�&RPPLVVLRQ�UHOLHG�RQ�&,'V�ZKHQ�LW�ODXQFKHG�D�IDFW�¿QGLQJ�LQYHVWLJDWLRQ�RI�GHDOHU�FRPSOLDQFH�ZLWK�WKH�+ROGHU�LQ�'XH�&RXUVH�5XOH��7KH�)7&�HYHQWXDOO\�FRPSOHWHG�LQYHVWLJDWLRQV�RI�QHDUO\��DXWRPRELOH�GHDOHUV�DFURVV�WKH�FRXQWU\�DQG�IRXQG�EURDG�FRPSOLDQFH�ZLWK�WKH�+ROGHU�5XOH�DPRQJ�ERWK�IUDQFKLVHG�DQG�LQGHSHQGHQW�DXWR�GHDOHUV��

BY ADR STAFF

I T ’ S I M P O R TA N T T O N O T E T H AT T H E I S S UA N C E O F A C I D I S N O T A N A L L E G AT I O N O F W RO N G D O I N G .

OK_0712.indd 9 6/20/12 2:14 PM


10


Compressed Natural Gas Vehicles in Oklahoma*RY��0DU\�)DOOLQ��MRLQHG�E\��RWKHU�

JRYHUQRUV��VHQW�ZULWWHQ�UHTXHVWV�IRU�LQIRUPDWLRQ�WR�DXWR�PDQXIDFWXUHUV�UHJDUGLQJ�LQFUHDVHG�SURGXFWLRQ�RI�vehicles powered by compressed QDWXUDO�JDV��&1*��(QFRXUDJLQJ�PDVV�SURGXFWLRQ�RI�&1*�YHKLFOHV�FRXOG�VLJQL¿FDQWO\�ORZHU�SULFHV�RI�ERWK�PDQXIDFWXUHG�&1*�YHKLFOHV�DQG�WKH�&1*�FRQYHUVLRQ�NLWV�IRU�H[LVWLQJ�YHKLFOHV��2NODKRPD�&1*�UHIXHOLQJ�LQIUDVWUXFWXUH�FRQWLQXHV�WR�H[SDQG�2QH�REMHFWLYH�RI�)DOOLQ¶V�

comprehensive energy plan for 2NODKRPD�LV�WR�SURPRWH�D�FRRUGLQDWHG�effort between states to reach a WLSSLQJ�SRLQW�IRU�WKH�SURGXFWLRQ�RI�IXQFWLRQDO�DQG�DIIRUGDEOH�RULJLQDO�HTXLSPHQW�PDQXIDFWXUHU�DOWHUQDWLYH�YHKLFOHV��$FKLHYLQJ�WKDW�REMHFWLYH�LQYROYHV�D�WZR�IROG�HIIRUW��PDNLQJ�QHZ�FRPSUHVVHG�QDWXUDO�JDV�YHKLFOH�SXUFKDVHV�DQG�FRQYHUVLRQV�D�YLDEOH�DQG�economical option for both the state and LQGLYLGXDO�FRQVXPHUV��DQG�VWUDWHJLFDOO\�H[SDQGLQJ�FRPSUHVVHG�QDWXUDO�JDV�DQG�HOHFWULF�YHKLFOH�IXHOLQJ�DQG�FKDUJLQJ�LQIUDVWUXFWXUH�

,Q�VXSSRUW�RI�WKH�HIIRUW�WR�PDNH�WKH�YHKLFOHV�DIIRUGDEOH��)DOOLQ�DQG�JRYHUQRUV�IURP��RWKHU�VWDWHV�UHFHQWO\�MRLQHG�IRUFHV�LQ�LQYLWLQJ�DXWR�PDQXIDFWXUHUV�LQ�WKH�8QLWHG�6WDWHV�WR�SDUWQHU�LQ�PDNLQJ�PRUH�DIIRUGDEOH�&1*�YHKLFOHV�DYDLODEOH�WR�ERWK�VWDWH�DXWRPRELOH�ÀHHWV�DQG�SULYDWH�VHFWRU�FRQVXPHUV�,Q�D�OHWWHU�WR�DXWR�PDQXIDFWXUHUV�

GDWHG�$SULO��WKH��JRYHUQRUV�reinforced their commitment to SXUFKDVLQJ�&1*�YHKLFOHV�IRU�WKHLU�VWDWH�

ÀHHWV��ERWK�DV�D�FRVW�VDYLQJ�PHDVXUH�and as a means of incentivizing WKH�PDQXIDFWXUH�RI�DIIRUGDEOH�DQG�IXQFWLRQDO�&1*�DXWRPRELOHV�7KH�OHWWHU�UHIHUV�WR�D�PXOWL�VWDWH�

UHTXHVW�IRU�LQIRUPDWLRQ��DVNLQJ�PDQXIDFWXUHUV�WR�SURYLGH�EDFNJURXQG�and information in anticipation of a PXOWL�VWDWH�VROLFLWDWLRQ�ODWHU�WKLV�\HDU��3DUWLFLSDWLQJ�VWDWHV�LQFOXGH�2NODKRPD��&RORUDGR��:\RPLQJ��3HQQV\OYDQLD��8WDK��0DLQH��1HZ�0H[LFR��:HVW�9LUJLQLD��.HQWXFN\��7H[DV��2KLR��0LVVLVVLSSL�DQG�/RXLVLDQD�7KH�LQLWLDWLYH��¿UVW�DQQRXQFHG�

by Fallin and Colorado Gov. John +LFNHQORRSHU��DWWHPSWV�WR�HVWDEOLVK�the demand and incentive for car PDQXIDFWXUHUV�LQ�WKH�8QLWHG�6WDWHV�WR�GHVLJQ�DQG�VHOO�D�VXLWDEOH�&1*�SRZHUHG�VHGDQ�WKDW�FDQ�EH�XVHG�ERWK�E\�SXEOLF�ÀHHWV�DQG�SULYDWH�VHFWRU�FRQVXPHUV�³'HVSLWH�WKHLU�SRWHQWLDO�DV�D�PXFK�

PRUH�DIIRUGDEOH�IRUP�RI�WUDQVSRUWDWLRQ��&1*�YHKLFOHV�FRQWLQXH�WR�EH�KHOG�EDFN�E\�D�FKLFNHQ�DQG�HJJ�VFHQDULR�´�)DOOLQ�VDLG��³&RQVXPHUV�ZRQ¶W�EX\�FDUV�ZLWK�OLPLWHG�IXHOLQJ�VWDWLRQV�DQG�KLJK�SULFH�SRLQWV��DQG�WKH�LQGXVWU\�FDQ¶W�EXLOG�DQ�DIIRUGDEOH�FDU�ZLWKRXW�DGHTXDWH�GHPDQG��:H�FDQ�EUHDN�WKDW�F\FOH�E\�XVLQJ�WKH�FRPELQHG�SXUFKDVLQJ�SRZHU�RI�WKHVH��VWDWHV��%\�SXUFKDVLQJ�&1*�YHKLFOHV�IRU�VWDWH�DXWRPRELOH�ÀHHWV��WKHVH�VWDWHV�DUH�HQFRXUDJLQJ�WKH�GHYHORSPHQW�RI�PRUH�&1*�LQIUDVWUXFWXUH�DQG�IXHOLQJ�VWDWLRQV�DQG�FDQ�QRZ�ZRUN�ZLWK�PDQXIDFWXUHUV�WR�GHYHORS�DQ�DIIRUGDEOH�DQG�KLJK�TXDOLW\�SURGXFW��7KH�UHVXOW�ZLOO�EH�D�&1*�vehicle that has the potential to save money on transportation costs for both VWDWH�JRYHUQPHQWV�DQG�IDPLOLHV�´,QFUHDVLQJ�SURGXFWLRQ�RI�

PDQXIDFWXUHG�&1*�YHKLFOHV�ZRXOG�QRW�RQO\�ORZHU�WKH�SUHPLXP�SDLG�IRU�VXFK�YHKLFOHV��LW�FRXOG�KDYH�WKH�DGGHG�EHQH¿W�RI�VLJQL¿FDQWO\�ORZHULQJ�WKH�FRVW�RI�FRQYHUVLRQ�NLWV��,Q�)HEUXDU\��0LNH�0LQJ��2NODKRPD¶V�(QHUJ\�6HFUHWDU\��WROG�PHPEHUV�RI�WKH�+RXVH�RI�5HSUHVHQWDWLYHV�(QHUJ\�DQG�8WLOLW\�5HJXODWLRQ�&RPPLWWHH�WKDW�PDVV�SURGXFWLRQ�FRXOG�GURS�WKH�FRVW�RI�FRQYHUVLRQ�NLWV�WR��7KH�SULFH�RI�WKRVH�NLWV�FXUUHQWO\�UDQJHV�IURP��WR��

,Q�VXSSRUW�RI�WKH�HIIRUW�WR�HQFRXUDJH�GHYHORSPHQW�RI�WKH�LQIUDVWUXFWXUH�QHFHVVDU\�WR�HQVXUH�DGHTXDWH�DFFHVVLELOLW\�RI�&1*��WKH�VWDWH�RI�2NODKRPD�KDV�HVWDEOLVKHG�D�JRDO�RI�KDYLQJ�RQH�&1*�SXEOLF�IXHOLQJ�VWDWLRQ�ORFDWHG�HYHU\��PLOHV�DORQJ�WKH�LQWHUVWDWH�KLJKZD\�V\VWHP�E\��DQG�RQH�SXEOLF�IXHOLQJ�VWDWLRQ�HYHU\��PLOHV�E\��(IIHFWLYH�1RY��WKH�'HSDUWPHQW�RI�&HQWUDO�6HUYLFHV�)OHHW�0DQDJHPHQW�'LYLVLRQ�ZDV�DXWKRUL]HG�WR�WDNH�VWHSV�WR�UHDFK�WKLV�JRDO�E\�collaborating with private entities to EXLOG�&1*�IXHOLQJ�LQIUDVWUXFWXUH�,Q�DGGLWLRQ��WKURXJK�WKH�$OWHUQDWLYH�

)XHOLQJ�,QIUDVWUXFWXUH�7D[�&UHGLW��IRU�WD[�\HDUV�EHJLQQLQJ�EHIRUH�-DQ��WKH�VWDWH�SURYLGHV�D�WD[�FUHGLW�IRU�XS�WR��SHUFHQW�RI�WKH�FRVW�RI�LQVWDOOLQJ�DOWHUQDWLYH�IXHOLQJ�LQIUDVWUXFWXUH��$�WD[�FUHGLW�LV�DOVR�DYDLODEOH�IRU�XS�WR��SHUFHQW�RI�WKH�FRVW�RI�LQVWDOOLQJ�D�UHVLGHQWLDO�&1*�IXHOLQJ�V\VWHP�IRU�XS�WR��7KH�WD[�FUHGLW�FDQ�EH�FDUULHG�IRUZDUG�IRU�XS�WR�¿YH�\HDUV��3ULYDWH�LQGXVWU\�LV�UHVSRQGLQJ�WR�

ERWK�WKH�DGYDQWDJHV�DQG�WKH�EXVLQHVV�RSSRUWXQLWLHV�DVVRFLDWHG�ZLWK�WKH�XVH�RI�YHKLFXODU�QDWXUDO�JDV��,Q�UHFHQW�\HDUV��LW�KDV�EHFRPH�WKH�IXHO�RI�FKRLFH�IRU�ÀHHWV�RI�ODUJH�FRUSRUDWLRQV�VXFK�DV�$77�DQG�836��2NODKRPD�EDVHG�&KHVDSHDNH�(QHUJ\�DQG�2NODKRPD�1DWXUDO�*DV�&RUSRUDWLRQ��21*��KDYH�QRW�RQO\�FRQYHUWHG�SRUWLRQV�RI�WKHLU�ÀHHWV�WR�QDWXUDO�JDV�EXW�KDYH�DOVR�WDNHQ�VWHSV�WR�H[SDQG�WKH�GHOLYHU\�LQIUDVWUXFWXUH�)RU�LQVWDQFH��DW�WKH�HQG�RI��WKH�

SXEOLF�KDG�DFFHVV�WR��&1*�UHIXHOLQJ�VWDWLRQV�LQ�2NODKRPD��$�QXPEHU�RI�WKRVH�ZHUH�21*�VLWHV�LQLWLDOO\�SXW�LQ�SODFH�WR�VHUYLFH�LWV�ÀHHWV��,Q�DGGLWLRQ��RI�WKH��VWDWLRQV�ZHUH�RSHQHG�LQ��DV�D�FROODERUDWLYH�HIIRUW�EHWZHHQ�&KHVDSHDNH�(QHUJ\�DQG�LWV�IXHO�UHWDLO�SDUWQHUV��LQFOXGLQJ�2Q&XH�([SUHVV�DQG�/RYH¶V�7UDYHO�6WRSV��%\�-XO\��2NODKRPD�LV�H[SHFWHG�WR�KDYH��H[LVWLQJ�RU�SODQQHG�SXEOLF�&1*�stations.

Fallin said in addition to saving PRQH\�RQ�IXHO�FRVWV��HQFRXUDJLQJ�WKH�XVH�RI�&1*�YHKLFOHV�DQG�&1*�IXHO�KDV�wider economic implications.

BY ADR STAFF

PRIVATE INDUSTRY IS RESPONDING TO BOTH

THE ADVANTAGES AND THE BUSINESS

OPPORTUNITIES ASSOCIATED WITH THE

USE OF VEHICULAR NATURAL GAS.

1 3 G OV E R N O R S R E I N FO RC E D T H E I R C O M M I T M E N T T O C N G V E H I C L E S

OK_0712.indd 10 6/20/12 2:14 PM

Compressed Natural Gas Vehicles in Oklahoma

OK_0712.indd 11 6/20/12 2:14 PM


12


&KDLUPDQ�-RKQ�/RQJDFUH�FRQYHQHG�WKH�0D\��VHVVLRQ�of the Used Motor Vehicle and Parts Commission. )ROORZLQJ�UROO�FDOO�DQG�DSSURYDO�RI�WKH�$SULO��PHHWLQJ�PLQXWHV��/RQJDFUH�FDOOHG�RQ�GLUHFWRU�-RKQ�0DLOH�IRU�WKH�GLUHFWRU¶V�UHSRUW�0DLOH�FDOOHG�WKH�FRPPLVVLRQHUV¶�DWWHQWLRQ�WR�WKH�

H[SHQGLWXUH�UHSRUW��ZKLFK�ZDV�LQFOXGHG�LQ�WKH�DJHQGD�SDFNHW��7KHQ�0DLOH�UHSRUWHG�KH�KDG�VSRNHQ�WR�PHPEHUV�RI�WKH�JRYHUQRU¶V�VWDII�UHJDUGLQJ�WKH�SHQGLQJ�FRPPLVVLRQHU�appointments.)RXU�FRPPLVVLRQ�SRVLWLRQV�DUH�XS�IRU�DSSRLQWPHQW�

WKLV�\HDU��7KUHH�DUH�SRVLWLRQV�WKDW�DUH�FXUUHQWO\�¿OOHG��7KH�'LVWULFW��FRPPLVVLRQ�SRVLWLRQ�ZDV�YDFDWHG�E\�WKH�UHVLJQDWLRQ�RI�5R\�%XUFK��ZKR�UHVLJQHG�GXH�WR�KHDOWK�LVVXHV��0DLOH�VDLG�KH�H[SHFWHG�WKH�JRYHUQRU¶V�RI¿FH�WR�DQQRXQFH�WKH�DSSRLQWPHQWV�ZLWKLQ�WKH�QH[W�FRXSOH�RI�ZHHNV�

Maile also advised the commissioners that he and GHSXW\�GLUHFWRU�.HQQHWK�:KLWHKHDG�KDG�EHHQ�GLVFXVVLQJ�WKH�VKRUWDJH�RI�¿HOG�LQYHVWLJDWRUV�LQ�UHODWLRQ�WR�QH[W�\HDU¶V�EXGJHW�LVVXHV�DQG�DUH�LQWHUHVWHG�LQ�EXGJHWLQJ�IRU�RQH�DGGLWLRQDO�LQYHVWLJDWRU�WR�¿OO�DQ�H[LVWLQJ�YDFDQF\��7KHLU�plan is to begin advertising and interviewing with the REMHFWLYH�RI�KLULQJ�DQRWKHU�LQYHVWLJDWRU�WR�EHJLQ�ZRUN�-XO\��WKH�EHJLQQLQJ�RI�WKH�QHZ�EXGJHW�\HDU�2Q�WKH�LVVXH�RI�RI¿FH�KRXUV��0DLOH�UHPLQGHG�

FRPPLVVLRQHUV�WKDW�EXVLQHVV�KRXUV�IRU�WKH�DJHQF\�DUH��D�P��WR��S�P��0RQGD\�WKURXJK�)ULGD\��+H�reported that commission staff research revealed very few WHOHSKRQH�FDOOV�RU�ZDON�LQ�WUDI¿F�LV�JHQHUDWHG�DIWHU��S�P��&RPPLVVLRQ�VWDII�ZRXOG�OLNH�WR�FKDQJH�WKH�EXVLQHVV�KRXUV�WR��D�P��WR��S�P��GXULQJ�QRQ�UHQHZDO�WLPHV�EHFDXVH�RI�D�OLJKWHU�ZRUNORDG�GXULQJ�WKDW�WLPH��7KH\�SURSRVHG�WR�NHHS�WKH��D�P��WR��S�P��GXULQJ�OLFHQVH�UHQHZDO�WLPH�&RPPLVVLRQHUV�DXWKRUL]HG�WKH�GLUHFWRU�WR�VHW�WKH�

DJHQF\�KRXUV�LQ�D�PDQQHU�DSSURSULDWH�ZLWK�WKH�ODZ�DQG�WLPHV�WKDW�DUH�LQ�WKH�EHVW�LQWHUHVW�RI�WKH�LQGXVWU\�)ROORZLQJ�D�YRWH�DI¿UPLQJ�UHFHLSW�DQG�DSSURYDO�RI�WKH�

H[SHQGLWXUHV�UHSRUW��FKDLUPDQ�/RQJDFUH�FDOOHG�RQ�GHSXW\�GLUHFWRU�:KLWHKHDG�IRU�KLV�UHSRUW��:KLWHKHDG�UHSRUWHG�there were two informal hearings that reached satisfactory FRQFOXVLRQV�DQG�QR�GLVWULFW�FRXUW�DFWLRQV�LQ�WKH�SUHYLRXV�month.:KLWHKHDG¶V�ZULWWHQ�UHSRUW�LQGLFDWHG�FRPPLVVLRQ�VWDII�

KDG�LVVXHG��FHDVH�DQG�GHVLVW�OHWWHUV�DQG�FRPSOHWHG��LQVSHFWLRQV�GXULQJ�WKH�SHULRG��6WDII�DOVR�KDQGOHG��ZULWWHQ�FRPSODLQWV�±�VL[�WLWOH�LVVXHV��GHDOLQJ�ZLWK�FRQWUDFW�YLRODWLRQV��VL[�UHODWHG�WR�PHFKDQLFDO�LVVXHV�DQG�WZR�FRPSODLQWV�RI�D�PLVFHOODQHRXV�QDWXUH��7KH�HGXFDWLRQ�SURJUDP�KDG��LQ�DWWHQGDQFH�$SSOLFDQWV�IRU�D�QHZ�OLFHQVH�DQG�GHDOHUV�LQYROYHG�LQ�

VLJQL¿FDQW�UXOH�YLRODWLRQV�DUH�UHTXLUHG�WR�DWWHQG�WKH�FRPPLVVLRQ¶V�HGXFDWLRQ�SURJUDP�DV�D�SDUW�RI�DFTXLULQJ�RU�PDLQWDLQLQJ�D�VWDWH�OLFHQVH��7KH�HGXFDWLRQ�VHVVLRQV�DUH�KHOG�DW�WKH�FRPPLVVLRQ�FRQIHUHQFH�URRP�DW��1:��2NODKRPD�&LW\��&ODVVHV�DUH�KHOG�RQ�0RQGD\�SULRU�WR�WKH�FRPPLVVLRQ�PHHWLQJ�RQ�WKH�VHFRQG�7XHVGD\�RI�HDFK�PRQWK��7KH�VHVVLRQV�UXQ�IURP��D�P��WR�DERXW�QRRQ�RU��S�P��<RX�DUH�DVNHG�WR�PDNH�UHVHUYDWLRQV�VR�VWDII�FDQ�EH�SUHSDUHG�WR�DFFRPPRGDWH�\RX��&DOO�WKH�FRPPLVVLRQ�DW��WR�PDNH�UHVHUYDWLRQV��

USED MOTOR VEHICLE AND PARTS COMMISSION REPORT REPORT OF CEASE AND DESIST LETTERS ISSUEDThese letters direct the individual or business to cease violations of laws or rules

ENTITY TYPE OF VIOLATION CITY DATE ISSUED David Alonso Used Dealer Claremore 04/06/2012Graceila Celedon Insurance Pool Oklahoma City 04/03/2012Jeff Cooper Rebuilder Poteau 04/12/2012Jeff Cooper Used Dealer Poteau 04/12/2012Richard Duden Rebuilder Yukon 04/02/2012Richard Duden Used Dealer Yukon 04/02/2012Rick Dyer Used Dealer Tulsa 04/16/2012Javier R. Flores Insurance Pool Oklahoma City 04/03/2012Hector Gutierres Insurance Pool Oklahoma City 04/12/2012Jesse Taylor Harrison Insurance Pool Tulsa 04/19/2012Cesar Herrera Insurance Pool Oklahoma City 04/03/2012Vitaliy Kalmykov Used Dealer Oklahoma City 04/20/2012Todd Kiner Insurance Pool Oklahoma City 04/03/2012Samuel Olvera Insurance Pool Edmond 04/27/2012Richardo Pimentel Insurance Pool Oklahoma City 04/19/2012Jaime O. Ramirez Insurance Pool Tulsa 04/12/2012Duayne Taylor Used Dealer Foster 04/06/2012Pascel Townsend III Insurance Pool Oklahoma City 04/03/2012Darwin T. Valdez Insurance Pool Oklahoma City 04/27/2012Ali M. Zohri Insurance Pool Oklahoma City 04/27/2012

CLOSED COMPLAINT REPORTThese are complaints that have been resolved one way or another.They do not necessarily reflect any wrongdoing on the part of dealers.

ENTITY CITY COMPLAINT RESOLVED36 Auto Sale Oklahoma City Mechanical 04/12/2012A & A Motor Company Tulsa Mechanical 04/18/2012Bargain Center Auto Sales Oklahoma City Title 04/05/2012Barry Sanders Honda Stillwater Contract 04/26/2012Big Red Sports/Imports Norman Contract 04/18/2012David Stanley Chevrolet, Inc. Oklahoma City Contract 04/17/2012David Stanley Hyundai, LLC Oklahoma City Contract 04/20/2012Dealer’s Auto Auction of OKC, Inc. Oklahoma City Miscellaneous 04/03/2012Eldorado Motors, LLC #1 Oklahoma City Contract 04/02/2012Fisher’s Auto Mall, Inc. Oklahoma City Contract 04/23/2012Iron Horse Motors Oklahoma City Miscellaneous 04/03/2012Jay’s Auto Parts & Sales Oklahoma City Mechanical 04/10/2012John’s Used Cars Cushing Mechanical 04/19/2012Knippelmier Chevrolet, Inc. Blanchard Contract 04/17/2012Lakeside Motors Ft. Towson Title 04/18/2012Lawton Chry Jeep Dodge/B. Altstatt Lawton Contract 04/09/2012Norris Auto Sales & Service, LLC Edmond Contract 04/12/2012OKC Car Connection, LLC Oklahoma City Mechanical 04/04/2012Ronald David Used Cars Tulsa Title 04/09/2012Ronald David Used Cars Tulsa Title 04/26/2012Ronald David Used Cars Tulsa Title 04/23/2012Select Motors Tulsa Contract 04/23/2012The Key Cars Oklahoma City Contract 04/10/2012Thunder City Motors, LLC Edmond Mechanical 04/02/2012Triple T Motors, LLC #2 Oklahoma City Title 04/04/2012

LICENSES SUSPENDED OR ABANDONEDIn other action, the following licenses were suspended or abandoned:

Adkins Automotive and Salvage, Westville: Out of business per owner Gene AdkinsRhonda’s Hondas Auto Salvage, Tulsa: Out of business; change of ownership

BY ADR STAFF

OK_0712.indd 12 6/20/12 2:14 PM

USED MOTOR VEHICLE AND PARTS COMMISSION REPORT

OK_0712.indd 13 6/20/12 2:14 PM


14


C O N T I N U E D O N PAG E 16

CARFAX Helps TV Station Take Aim at CurbstonerEditor’s note: Curbstoning – sales

of vehicles by unlicensed dealers – is a national problem that takes advantage of consumers and takes money away from state and local governments as well as legitimate dealers. This report from Memphis television station WMC-TV exposing a local curbstoner and explaining the issue to the public is a direct result of the commitment of vehicle history UHSRUW�SURYLGHU�&$5)$;�WR�¿JKWLQJ�curbstoning.

“We brought the issue to the station’s attention,” CARFAX public relations manager Chris Basso said. “Tennessee is one of the biggest hotbeds for curbstoning, but it’s a nationwide problem. Whenever we hear about curbstoners in a particular area, we work to get the word out about the potential problems with the cars these people are selling and how to avoid them.

“Most curbstoners are selling cars reputable dealers won’t touch – cars with hidden damage or rolled-back odometers or such – because they’re trying to make a quick sale. Anyone buying a used car needs to be wary of not only the car but of who they’re buying it from.”

Basso said CARFAX has contacted other media outlets, including stations in Nashville and Phoenix, with similar tips, as part of the company’s ongoing efforts to help educate and warn consumers and dealers about emerging issues involving used cars in their area.

By Andy WiseAction News 5/WMC-TV

$�SROLFH�UHSRUW�UHYHDOHG�D�FDU�EX\HU�intends to press theft charges against the VRQ�RI�D�ZRPDQ�ZKR�LV�IURQWLQJ�XVHG�FDU�VDOHV�IURP�KHU�KRPH�IRU�D�GHDOHUVKLS��D�SUDFWLFH�FDOOHG�³FXUEVWRQLQJ�´%LOO�6XOOLYDQ�¿OHG�D�FRPSODLQW�ZLWK�WKH�

*HUPDQWRZQ��7HQQ��3ROLFH�'HSDUWPHQW�RQ�0D\��7KH�FRPSODLQW�DOOHJHG�KH�JDYH��WR�7KRPDV�&ROHPDQ��VRQ�RI�'HERUDK�&ROHPDQ��WR�SXUFKDVH� three vehicles. :KHQ�WKHLU�GHOLYHU\�ZDV�GHOD\HG��

6XOOLYDQ�SUHVVXUHG�&ROHPDQ�WR�SURGXFH�WKH�FDUV¶�VDOHV�GRFXPHQWV��2QFH�&ROHPDQ�¿QDOO\�SUHVHQWHG�WKH�VDOHV�GRFXPHQWV��6XOOLYDQ�VDLG�WKH\�UHYHDOHG�VRPHWKLQJ�HOVH�³7KH�FDUV�ZHUH�QHYHU�SXUFKDVHG�E\�WKHP�

RQ�P\�EHKDOI�´�6XOOLYDQ�VDLG��³7KH\�ZHUH�SXUFKDVHG�E\�VRPHERG\�HOVH�´$FFRUGLQJ�WR�WKH�VDOHV�GRFXPHQWV��WKDW�

³VRPHERG\�HOVH´�ZDV�7KH�$XWR�&RQQHFWLRQ��DQ�DXWR�GHDOHUVKLS�DW��(��%URDGZD\�6W��LQ�:HVW�0HPSKLV��$UN�6XOOLYDQ¶V�SROLFH�UHSRUW�DOOHJHG�

&ROHPDQ�SRFNHWHG�KLV��DQG�QHYHU�SXUFKDVHG�DQ\�FDUV�ZLWK�KLV�PRQH\��The cars the Colemans claimed to have SXUFKDVHG�ZLWK�KLV�PRQH\��6XOOLYDQ�VDLG��ZHUH�DFWXDOO\�FDUV�WKH\�VROG�RQ�EHKDOI�RI�7KH�$XWR�&RQQHFWLRQ�³&RUUHFW�´�6XOOLYDQ�DFNQRZOHGJHG��³7KH\�

VSOLW�WKH�SUR¿WV�´7KH�$FWLRQ�1HZV��,QYHVWLJDWRUV�

SLQSRLQWHG�'HERUDK�&ROHPDQ�DV�D�FXUEVWRQHU�ZKHQ�WKH�YHKLFOH�KLVWRU\�WUDFNHU�&$5)$;�ZDUQHG�WKDW�XQOLFHQVHG�RU�XQIRUWKFRPLQJ�DXWR�GHDOHUV�KDYH�DJHQWV�SRVLQJ�DV�SULYDWH�VHOOHUV�RQ�&UDLJV/LVW�DQG�LQ�FODVVL¿HG�DGV�³6RPHZKHUH�EHWZHHQ��DQG��SHUFHQW�

RI�>DXWR�VDOHV@�FODVVL¿HG�DGV�DUH�EHOLHYHG�WR�EH�FXUEVWRQHUV�´�&$5)$;¶V�&KULV�%DVVR�said. “These are dealers posing as private sellers who are selling cars that have a lot of KLGGHQ�SUREOHPV�´&ROHPDQ�KDV�SRVWHG�QXPHURXV�OLVWLQJV�

IRU�XVHG�FDU�VDOHV�RQ�&UDLJV/LVW��DOO�IRXQG�ZKLOH�UXQQLQJ�VHDUFKHV�EDVHG�RQ�KHU�FHOOSKRQH�QXPEHU�.D\FH�:\DWW�RI�$UOLQJWRQ��7HQQ��

DQVZHUHG�RQH�RI�&ROHPDQ¶V�DGV�IRU�D��1LVVDQ�0D[LPD��WKLQNLQJ�&ROHPDQ�ZDV�WKH�YHKLFOH¶V�SULYDWH�RZQHU�SXWWLQJ�LW�XS�for sale.6KH�PHW�&ROHPDQ�DW�&ROHPDQ¶V�

KRPH��7KDW¶V�ZKHUH�WKH�FDU�ZDV�VWRUHG��:\DWW�VDLG�$IWHU�WDNLQJ�D�WHVW�GULYH�DQG�QHJRWLDWLQJ�

WKH�GHDO�±�EXW�IDLOLQJ�WR�UXQ�D�YHKLFOH�history report or to have the car inspected ±�:\DWW�SDLG��IRU�WKH�FDU��DFFRUGLQJ�WR�WKH�SDSHUZRUN�,W¶V�ZKHQ�&ROHPDQ�KDQGHG�:\DWW�WKH�

WLWOH�WKDW�:\DWW�UHDOL]HG�VRPHWKLQJ�ZDV�XS�³,�JRW�WKH�WLWOH��DQG�LW�VDLG��µ7KH�$XWR�

&RQQHFWLRQ�¶�´�:\DWW�VDLG�7KH�GHDOHUVKLS��RZQHG�E\�-LPP\�6PLWK��

LV�OLFHQVHG�ZLWK�WKH�$UNDQVDV�6WDWH�3ROLFH�WR�VHOO�XVHG�FDUV�LQ�$UNDQVDV��%XW�DFFRUGLQJ�WR�WKH�UHFRUGV�RI�WKH�

7HQQHVVHH�0RWRU�9HKLFOH�&RPPLVVLRQ��7KH�$XWR�&RQQHFWLRQ�LV�QRW�OLFHQVHG�WR�VHOO�FDUV��QHZ�RU�XVHG��LQ�7HQQHVVHH�,W�ZDVQ¶W�ORQJ�XQWLO�:\DWW�VWDUWHG�KDYLQJ�

WURXEOH�ZLWK�WKH�0D[LPD��7KH�³6HUYLFH�(QJLQH�6RRQ´�OLJKW�VWD\HG�RQ��7KH�UDGLR¶V�SRZHU�VZLWFK�PDOIXQFWLRQHG��7KH�EUDNHV��SDGV��URWRUV��VSDUN�SOXJ�DQG�R[\JHQ�VHQVRU�had to be replaced. 6KH�QHDUO\�SDLG�DV�PXFK�WR�UHSDLU�WKH�FDU�

DV�VKH�GLG�WR�EX\�WKH�FDU�,I�VKH�KDG�UXQ�D�YHKLFOH�KLVWRU\�UHSRUW��

VKH�ZRXOG�KDYH�GLVFRYHUHG�7KH�$XWR�&RQQHFWLRQ�KDG�'HERUDK�&ROHPDQ�FXUEVWRQH�:\DWW�D�FDU�WKDW�KDG�EHHQ�LQ�DQ�accident in Michigan.1HLWKHU�&ROHPDQ�QRU�7KH�$XWR�

Connection disclosed the accident WR�:\DWW�³6R�LW¶V�EHHQ�ZUHFNHG�´�:\DWW�VDLG��³,�

FULHG�DQG�FULHG�DQG�FULHG�DERXW�LW��EXW�,�KDG�WR�GR�ZKDW�,�KDG�WR�GR��,�GLGQ¶W�KDYH�D�ZD\�RXW�RI�LW�´$Q�XQGHUFRYHU�SURGXFHU�RI�7KH�$FWLRQ�

1HZV��,QYHVWLJDWRUV�DQVZHUHG�RQH�RI�&ROHPDQ¶V�DGV�IRU�D�9RONVZDJHQ�-HWWD��7KH�WHVW�GULYH�UHYHDOHG�WKH�³6HUYLFH�(QJLQH�6RRQ´�OLJKW�ZDV�RQ�³7KDW¶V�EHFDXVH�LW¶V�GXH�IRU�DQ�RLO�

FKDQJH�´�&ROHPDQ�VDLG�WR�RXU�SURGXFHU��$�&$5)$;�UHSRUW�UHYHDOHG�QRWKLQJ�RI�FRQFHUQ�ZLWK�WKH�YHKLFOH¶V�KLVWRU\�%RWK�WKH�-HWWD�DQG�D�&DGLOODF�&ROHPDQ�

ZDV�VHOOLQJ�RXWVLGH�KHU�KRPH�KDG�$UNDQVDV�GHDOHU�WHPSRUDU\�WDJV��:KHQ�RXU�SURGXFHU�DVNHG�DERXW�WKH�RXW�RI�VWDWH�WDJV��&ROHPDQ�admitted she was selling the vehicles for 7KH�$XWR�&RQQHFWLRQ�³>7KH@�EXVLQHVV�LV�RYHU�LQ�$UNDQVDV��DQG�

LW�MXVW�VDYHV�DOO�WKH�>GRFXPHQW@�IHHV��DQG�LW�VDYHV�PH�DERXW��GROODUV�SHU�FDU�´�VDLG�&ROHPDQ��ZKR�LV�DOVR�QRW�OLFHQVHG�WR�VHOO�DXWRPRELOHV�LQ�7HQQHVVHH��DFFRUGLQJ�to state records.

U N L I C E N S E D O R U N FO R T H C O M I N G D E A L E R S H AV E AG E N T S P O S I N G A S P R I VAT E S E L L E R S O N I N C L A S S I F I E D A D S .

OK_0712.indd 14 6/20/12 2:14 PM

OK_0712.indd 15 6/20/12 2:14 PM


16


C O N T I N U E D F RO M PAG E 1 4CARFAX Helps TV Station Take Aim at Curbstoner

0RVW�GHDOHUV�ZRXOG�QRW�VHOO�D�PRWRU�YHKLFOH�WR�D�FRQVXPHU�NQRZLQJ�WKH�YHKLFOH�KDG�D�VHULRXV�VDIHW\�GHIHFW�ZLWKRXW�PDNLQJ�WKH�FRQVXPHU�DZDUH�RI�that defect.2Q�RFFDVLRQ��D�YHKLFOH�ZLWK�D�VDIHW\�GHIHFW�PLJKW�EH�VROG�WR�D�FRQVXPHU�

ZKHQ�WKH�GHDOHU�LVQ¶W�DZDUH�RI�WKDW�VDIHW\�GHIHFW��7KDW¶V�MXVW�D�VLPSOH�IDFW��+RZHYHU��WKH�1HEUDVND�6XSUHPH�&RXUW�KDV�QRZ�UXOHG�GHDOHUV�PXVW�LQVSHFW�XVHG�YHKLFOHV�IRU�VDIHW\�GHIHFWV�DQG�HLWKHU�PDNH�UHSDLUV�RU�ZDUQ�SRWHQWLDO�EX\HUV��&RXUWV�LQ�.HQWXFN\��0LQQHVRWD��0RQWDQD�DQG�2KLR�KDYH�PDGH�VLPLODU�UXOLQJV��(YHQ�WKRXJK�D�GHDOHU�VHOOV�D�YHKLFOH�³DV�LV´�DQG�GLVFODLPV�DOO�ZDUUDQWLHV��KH�

FDQ�EH�IRXQG�QHJOLJHQW�IRU�QRW�LQVSHFWLQJ�WKH�YHKLFOH�IRU�VDIHW\�GHIHFWV��7KH�FRXUW�VDLG��³7KH�GHDOHU�LV�EHWWHU�HTXLSSHG�WKDQ�WKH�SXUFKDVHU�WR�SHUFHLYH�VXFK�D�GHIHFW�EHIRUH�LW�FDXVHV�KDUP�´7KH�FDVH�LQ�WKH�1HEUDVND�6XSUHPH�&RXUW�LQYROYHG�WKH�VDOH�RI�D��)RUG�

(FRQROLQH�RQ�6HSW��7KH�SODLQWLIIV�FODLPHG�WKH\�GURYH�WKH�YHKLFOH�RII�WKH�ORW��SDUNHG�LW�DW�D�IULHQG¶V�KRXVH�DQG�UHPRYHG�WKH�NH\V��7KH�FRXSOH¶V�WKHQ��\HDU�ROG�GDXJKWHU�SXOOHG�WKH�JHDUVKLIW�RXW�RI�SDUN�DQG�WKH�YHKLFOH�UROOHG�RYHU�WKH�PRWKHU¶V�ULJKW�IRRW�DQG�WKLJK��FDXVLQJ�KHU�WR�IDOO�DQG�KLW�KHU�KHDG�$Q�DXWRPRWLYH�HQJLQHHULQJ�FRQVXOWDQW�VDLG�LQ�FRXUW�GRFXPHQWV�WKHUH�ZHUH�

SUREOHPV�ZLWK�WKH�YDQ¶V�EUDNH�VKLIW�LQWHUORFN�V\VWHP��WUDQVPLVVLRQ�VKLIW�FDEOH�DQG�NH\�VKLIW�LQWHUORFN�WKDW�DOORZHG�WKH�YDQ�WR�VKLIW�RXW�RI�SDUN�7KH�GHDOHU�DGPLWWHG�LQ�FRXUW�GRFXPHQWV�WKDW�WKH�GHDOHUVKLS�GLG�QRW�LQVSHFW�

the van before it was sold.-XVW�EH�DZDUH�WKDW�VDIHW\�GHIHFWV�PXVW�EH�UHSDLUHG�EHIRUH�WKH�YHKLFOH�LV�VROG�

RU�EH�GLVFORVHG�WR�WKH�FXVWRPHU��

Vehicles and Safety Defects – a WarningI N D U S T RY C O R N E R

Pace of Dealers Adding Inventory Slows Used car dealers have become less aggressive in bidding for inventory at

ZKROHVDOH�DXFWLRQV�LQ�UHFHQW�ZHHNV��%ODFN�%RRN�YLFH�SUHVLGHQW�DQG�PDQDJLQJ�HGLWRU�5LFN\�%HJJV�VDLG�%HJJV�QRWHG�WKDW�WKH�UHWDLO�PDUNHW�KDV�EDFNHG�RII�VOLJKWO\�DQG�GHDOHUV�KDYH�

gotten less aggressive with bidding activity for the latest model years. Every FDU�VHJPHQW�VKRZHG�UDWH�RI�GHFOLQH�DQG�RQO\�WZR�WUXFN�VHJPHQWV�±�FRPSDFW�689V�DQG�IXOO�VL]H�FURVVRYHUV�±�ZHUH�XS�LQ�0D\��³:KLOH�WKHUH�DUH�VHDVRQDOLW\�WUHQGV�FXUUHQWO\�WDNLQJ�SODFH�LQ�WKH�UHWDLO�

PDUNHWV��ZH¶UH�VWDUWLQJ�WR�VHH�KHVLWDQFH�RI�GHDOHUV�WR�UH¿OO�XVHG�FDU�DQG�WUXFN�LQYHQWRU\�´�%HJJV�VDLG��³6RPH�RI�WKH�UHQWDO�FRPSDQLHV�DUH�SXVKLQJ�D�IHZ�PRUH�PRGHOV�LQWR�WKH�PDUNHW�ZLWK�D�OHVVHU�GHPDQG�IRU�WKH��V�DQG��PRGHOV��WKXV�JHWWLQJ�OHVV�DJJUHVVLYH�ELGGLQJ�DFWLYLW\�IRU�WKH�ODWHVW�PRGHO�\HDUV�´��

Rising Sales Lift Floorplans5LVLQJ�8�6��QHZ�DQG�XVHG�DXWR�VDOHV�KDYH�ERRVWHG�GHDOHUVKLS�SUR¿WV�LQ��

DQG�DUH�VWUHQJWKHQLQJ�DOUHDG\�VROLG�SHUIRUPDQFH�RI�GHDOHU�ÀRRUSODQ�DVVHW�EDFNHG�VHFXULWLHV��WKH�¿QDQFLDO�UDWLQJV�VHUYLFH�)LWFK�UHSRUWHG��'HDOHU�ÀRRUSODQ�DVVHW�SHUIRUPDQFH�KDV�EHHQ�VROLG�WKLV�\HDU��ZLWK�PRVW�WUXVW�

performance metrics at some of the strongest levels seen in the sector. Monthly SD\PHQW�UDWHV�DUH�HOHYDWHG�DERYH�KLVWRULFDO�OHYHOV��GHDOHU�LQYHQWRU\�DJLQJV�DUH�YHU\�ORZ�DQG�GHDOHU�GHIDXOWV�DUH�DW�UHFRUG�ORZV�IRU�PRVW�RI�WKH�WUXVWV��*LYHQ�WKH�IDYRUDEOH�FRQGLWLRQV�FXUUHQWO\�VXSSRUWLQJ�8�6��DXWR�GHDOHUVKLS�

QHWZRUNV��)LWFK¶V�RXWORRN�IRU�ERWK�DVVHW�DQG�UDWLQJV�SHUIRUPDQFH�LQ�� is stable. 7KH�UHSRUW�DOVR�GLVFXVVHV�WKH�KHDOWK�RI�8�6��DXWR�GHDOHUVKLSV�LQ��

LQFOXGLQJ�VDOHV�OHYHOV��H[SHQVHV�DQG�SUR¿WDELOLW\��DORQJ�ZLWK�GHWDLOLQJ�RWKHU�¿QDQFLDO�GHDOHU�PHWULFV�DQG�RYHUDOO�LQGXVWU\�KHDOWK��7KH�UHSRUW��³8�6��'HDOHU�)ORRUSODQ�$%6��5REXVW�'HDOHUV�LQ��´�LV�

DYDLODEOH�DW�ZZZ�¿WFKUDWLQJV�FRP��

$FFRUGLQJ�WR�WKH�7HQQHVVHH�&RGH�$QQRWDWHG��³LW�LV�XQODZIXO�IRU�DQ\�SHUVRQ�WR�HQJDJH�LQ�EXVLQHVV�«�DV�D�PRWRU�YHKLFOH�GHDOHU�>RU@�PRWRU�YHKLFOH�VDOHVSHUVRQ��ZLWKRXW�¿UVW�REWDLQLQJ�D�OLFHQVH�DV�UHTXLUHG�LQ�WKLV�SDUW�´³7HQQHVVHH�ODZ�VD\V�WKDW�LI�\RX�VHOO�

PRUH�WKDQ�¿YH�YHKLFOHV�LQ�D�\HDU��\RX�KDYH�WR�KDYH�D�GHDOHU¶V�OLFHQVH�´�%DVVR�VDLG��³7KHVH�DUH�SHRSOH�ZKR�DUH�VNLUWLQJ�WKDW�ODZ��VHOOLQJ�KXQGUHGV�RI�FDUV�ZLWKRXW�JHWWLQJ�D�GHDOHU¶V�OLFHQVH��FRVWLQJ�WKH�VWDWH�DQG�ORFDO�GHDOHUV�KXQGUHGV�RI�WKRXVDQGV�RI�GROODUV´�LQ�WD[�UHYHQXH�&ROHPDQ�UHIXVHG�WR�DQVZHU�TXHVWLRQV�

ZKHQ�FRQIURQWHG��6PLWK�DJUHHG�WR�DQ�RQ�FDPHUD�LQWHUYLHZ��WKHQ�DEUXSWO\�FDQFHOHG�WKH�LQWHUYLHZ�WKH�QH[W�GD\�2Q�WKH�SKRQH��KH�VDLG�&ROHPDQ�³LV�P\�

DJHQW��6KH�VHOOV�FDUV�IRU�PH��6RPHWLPHV�LW¶V�IURP�KHU�RZQ�GULYHZD\��6RPHWLPHV�LW¶V�IURP�D�>GUXJ�VWRUH@�SDUNLQJ�ORW��6KH¶V�MXVW�WU\LQJ�WR�IHHG�KHU�NLGV�´

Germantown police department records UHYHDOHG�DQRWKHU�FDU�EX\HU�UHSRUWHG�&ROHPDQ�LQ�'HFHPEHU��$FFRUGLQJ�WR�WKH�FRPSODLQW��WKH�EX\HU�

blew the whistle on Coleman after he said he witnessed her and her son altering D�WHPSRUDU\�GULYH�RXW�WDJ�RQ�D�YHKLFOH��&ROHPDQ�WROG�WKH�SROLFH�RI¿FHU�ZKR�ZURWH�the report that she sold the car on behalf of 6WDU�$XWR�0DUW��LQ�&ROOLHUYLOOH��7HQQ�³1R��VLU�´�6WDU�$XWR�0DUW�RZQHU�'DYLG�

)OHPLQJ�VDLG��³6KH¶V�QHYHU�VROG�IRU�PH��1HYHU�KDG�D�VDOHVPDQ¶V�OLFHQVH�KHUH��1HYHU�DQ\WKLQJ�´

Germantown police determined there ZDVQ¶W�HQRXJK�HYLGHQFH�WR�FKDUJH�&ROHPDQ�ZLWK�D�FULPH�DQG�GHFLGHG�LW�ZDV�D�FLYLO�LVVXH�³,W¶V�D�ORVH�ORVH�VLWXDWLRQ�ZLWK�

FXUEVWRQLQJ�´�%DVVR�VDLG��³7KH�VWDWH�ORVHV�PRQH\��7KH�>OLFHQVHG@�GHDOHUV�ORVH�PRQH\�DQG�WKH�FRQVXPHU�JHWV�ULSSHG�RII�³,I�\RX¶UH�ORRNLQJ�RQOLQH��HVSHFLDOO\�

WKURXJK�VLWHV�OLNH�&UDLJV/LVW��\RX�UHDOO\�QHHG�WR�EH�FDUHIXO�DERXW�ZKDW�\RX¶UH�EX\LQJ�´&ROHPDQ¶V�FXUEVWRQLQJ�RSHUDWLRQ�PD\�

be in violation of a Germantown city ordinance that prohibits “receiving persons DW�D�UHVLGHQWLDO�SURSHUW\�IRU�WKH�SXUSRVH�RI�EX\LQJ��VHOOLQJ��RUGHULQJ�RU�SLFNLQJ�XS�SURGXFWV�LQ�FRQQHFWLRQ�ZLWK�D�EXVLQHVV�´

“Code compliance has had contact with >&ROHPDQ@�LQ�WKH�SDVW�´�VDLG�6WDFH\�(ZHOO��VSRNHVSHUVRQ�IRU�WKH�FLW\�RI�*HUPDQWRZQ��³:H�GLG�SURYLGH�QRWLFH�IRU�XQOLFHQVHG�YHKLFOHV�LQ�WKH�VWUHHW�LQ�1RYHPEHU�RI��EXW�KDYH�QRW�KDG�DQ\WKLQJ�YHKLFOH�UHODWHG�VLQFH��,Q�DGGLWLRQ��WKHUH�LV�QR�EXVLQHVV�OLFHQVH�IRU´�&ROHPDQ¶V�DGGUHVV��

OK_0712.indd 16 6/20/12 2:14 PM

OK_0712.indd 17 6/20/12 2:14 PM


18


Acura TL, MY 2007-2008NHTSA ID number: 12V222000Steering: Hydraulic power assist: Hose, piping and connectionsUnits affected: 52,615Honda is recalling certain model year 2007-2008 Acura TL vehicles. Prolonged under-hood and power VWHHULQJ�ÀXLG�WHPSHUDWXUHV�PD\�FDXVH�WKH�SRZHU�steering hose to deteriorate prematurely, resulting in FUDFNV�DQG�SRZHU�VWHHULQJ�ÀXLG�OHDNDJH��,I�WKLV�RFFXUV��SRZHU�VWHHULQJ�ÀXLG�FDQ�OHDN�RQWR�D�KRW�FDWDO\WLF�converter, leading to smoke and possibly and under-KRRG�¿UH��+RQGD�ZLOO�QRWLI\�RZQHUV��DQG�GHDOHUV�ZLOO�install a new heat resistant power steering hose, free of charge. The safety recall is expected to begin on or about June 15, 2012. Owners can contact Honda customer service at 1-800-999-1009. Honda’s recall campaign number is S39.

Chevrolet Malibu, MY 2013NHTSA ID number: 12V224000Visibility: Windshield wiper/washer: LinkagesUnits affected: 4,304General Motors is recalling certain model year 2013 Chevrolet Malibu vehicles manufactured from Oct. 24, 2011 through March 31, 2012. After an event of hard braking, the sensing and diagnostic module (SDM) may reset itself. If that occurs during an aggressive turning maneuver, then afterwards a potential vehicle rollover event is sensed, the roof rail airbag could unintentionally deploy. Additionally, the air bags and/or seatbelt pre-tensioners might not deploy during a severe crash, increasing the risk of personal injury. GM will notify owners, and dealers will reprogram the SDM. This service will be performed free of charge. The safety recall is expected to begin on June 1, 2012. GM’s safety recall campaign number is 12102.

Lexus GS350, MY 2013NHTSA ID number: 12V221000SteeringUnits affected: 663Toyota is recalling certain model year 2013 Lexus GS350 vehicles manufactured from Dec. 12, 2011 through Feb. 7, 2012. The steering control electronic control unit programming for the variable gear ratio steering (VGRS) system could cause the steering wheel to become off-centered when restarting immediately after the vehicle is parked with the steering wheel turned. If that occurs, the driver might not realize the steering wheel is off-centered when pulling from a parked position and the vehicle could maneuver in an unexpected direction, resulting in a crash. Toyota will notify owners, and Lexus dealers will update the VGRS system free of charge. The safety recall is expected to begin in early June 2012. Owners can contact Toyota at 1-800-331-4331.

Jeep Wrangler, MY 2010NHTSA ID number: 12V216000Power train: Automatic transmissionUnits affected: 67,872Chrysler is recalling certain model year 2010 Jeep Wrangler vehicles equipped with an automatic transmission. The transmission skid plate, which is close to the catalytic converter, can collect debris. If that occurs, the debris can ignite without warning, UHVXOWLQJ�LQ�D�YHKLFOH�¿UH��&KU\VOHU�ZLOO�QRWLI\�RZQHUV��and dealers will replace the skid plate with a skid bar, free of charge. The safety recall is expected to begin during May 2012. Owners can contact Chrysler at 1-800-853-1403. Chrysler’s recall number is M22.

Ford F150, MY 2012NHTSA ID number: 12V198000Airbags: Frontal: Sensor/control moduleUnits affected: 101Ford is recalling certain model year 2012 F150 vehicles manufactured from Nov. 6, 2011 through Nov. 15, 2011. Incorrect software for the occupant FODVVL¿FDWLRQ�V\VWHP�PRGXOH��2&60��ZDV�LQVWDOOHG�on the vehicles either at the time of manufacturing or during the course of replacement of the module

as part of a service repair. Under certain driving conditions, the OCSM could misclassify the passenger seat’s occupant such that the passenger side airbag does not deploy when it should, does not deploy as intended, or deploys when it should not. A failure to deploy, failure to deploy as intended or a deployment when not intended increases the risk of injury to the passenger side seat occupant. Ford will notify owners, and dealers will replace the OCSM free of charge. Ford expects to begin on or about May 21, 2012. Owners can contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332. Ford’s safety recall campaign number is 12S31.

Dodge Ram 1500, MY 2012NHTSA ID number: 12V192000Equipment: Other: LabelsUnits affected: 129Chrysler is recalling certain model year 2012 Ram 1500 trucks manufactured from Jan. 5, 2012 through Jan. 6, 2012. The affected vehicles have a spare WLUH�WKDW�GRHV�QRW�PDWFK�WKH�VSHFL¿FDWLRQV�OLVWHG�RQ�the tire placard. Thus, the vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard No. 110, “Tire Selection and Rims.” If installed, the incorrectly sized spare tire can unexpectedly activate the electronic stability control (ESC) system, altering the effectiveness of the ESC system and increasing the risk of a crash. Chrysler will notify owners, and dealers will inspect and repair vehicles as necessary free of charge. The safety recall is expected to begin on or about May 25, 2012. Owners should contact Chrysler at 1-800-853-1403. Chrysler’s recall campaign number is M14.

Ford Windstar, MY 1998-2003NHTSA ID number: 12V195000Suspension: Rear: Axle: Non-powered axle assembly Units affected: 9,400Ford is recalling certain model year 1998-2003 Windstar vehicles manufactured from Sept. 1, 1997 through July 3, 2003, registered in Puerto Rico. Due to increased stresses caused by high cycles of WRUVLRQDO�ORDGLQJ�VSHFL¿F�WR�WKLV�PDUNHW��WKH�UHDU�D[OH�can crack. A fractured axle could result in a loss of vehicle control, increasing the risk of a crash. Ford will notify owners, and dealers will inspect and install a reinforcement bracket on the rear axle or replace the axles, as necessary. This service will be provided free of charge. The recall is expected to begin on or about May 21, 2012. Owners may contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332. Ford’s safety recall campaign number is 12S30.

Ford Windstar, MY 1999-2003NHTSA ID number: 12V194000Suspension: Front: Control armUnits affected: 23,000Ford is recalling certain model year 1999-2003 Windstar vehicles originally sold in or currently registered in the state of Virginia. Corrosion-related fractures of the front lower control arm rear attaching brackets and body mount attachments can occur. A separation of a front lower control arm rear attaching bracket can result in a lower control arm separation. A separation of both front subframe rear body mounts could result in separation of the steering intermediate shaft. Either condition could result in VLJQL¿FDQW�ORVV�RI�VWHHULQJ�FRQWURO��LQFUHDVLQJ�WKH�risk of a crash. Dealers will inspect both front lower control arm rear attaching brackets and both body mount attachments at the rear of the front subframe and make the necessary repairs free of charge. The recall is expected to begin on June 18, 2012. Owners can contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332. Ford’s safety recall campaign number is 11S16.

Ford Windstar, MY 1998-2003NHTSA ID number: 12V193000Power Train: Axle assemblyUnits affected: 27,000

Ford is recalling certain model year 1998-2003 Windstar vehicles manufactured from Sept. 1, 1997 through July 3, 2003 and currently registered or originally sold in Virginia. Over time, corrosion can weaken the rear axle making it susceptible to torsional stress. Corrosion and stress can lead to cracks which, if undetected, can increase and result in a complete fracture of the axle. A fractured axle can affect vehicle handling and increase the risk of a crash. Ford will notify owners, and dealers will inspect and install rear axle reinforcement brackets, or replace the axles, as necessary. This service will be performed free of charge. The recall is expected to begin on June 18, 2012. Owners can contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332. Ford’s safety recall campaign number is 10S13.

Ford Expedition, MY 2012Ford F150, MY 2011-2012Ford Mustang, MY 2012-2013Lincoln Navigator, MY 2012NHTSA ID number: 12V190000Exterior lighting: Backup lightsUnits affected: 10,500Ford is recalling certain model year 2011-2012 Ford F150, 2012 Expedition and Lincoln Navigator and 2012-2013 Mustang vehicles for failing to comply with the requirements of Federal Motor Vehicle Safety Standard Nos. 102, “Transmission Shift Lever Sequence, Starter Interlock, and Transmission %UDNLQJ�(IIHFW´�DQG��³/DPSV��5HÀHFWLYH�'HYLFHV�and Associated Equipment.” These vehicles could have a transmission range sensor (TRS) that was FDOLEUDWHG�RXW�RI�VSHFL¿FDWLRQ�IRU�UHYHUVH�JHDU��,I�WKLV�condition exists, the transmission might not go into reverse, or when the driver pushes the shift lever in the “R” position and the vehicle’s transmission does go in reverse, the “R” might not illuminate on the dashboard of the F150 Expedition or Navigator models and/or the backup lamp on the rear of the F150, Expedition, Navigator or Mustang vehicles might not illuminate. These conditions increase the risk of a crash or a pedestrian being struck due to the vehicle’s not signaling it is in reverse. Ford will notify owners, and dealers will inspect and replace the TRS as necessary, free of charge. The safety recall is expected to begin on or about June 25, 2012. Owners can contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332. Ford’s safety recall campaign number is 12C23.

Chrysler Town and Country, MY 2012Dodge Grand Caravan, MY 2012NHTSA ID number: 12V191000Units affected: 471Chrysler is recalling certain model year 2012 Town and Country and Dodge Grand Caravan vehicles manufactured from March 9, 2012 through March 12, 2012. Some vehicles might be equipped with a right side liftgate pinch sensor that does not function properly. As a result, increased force may be required LQ�RUGHU�WR�VWRS�WKH�SRZHU�OLIWJDWH�GXULQJ�¿QDO�FORVLQJ�stages. The power liftgate door could close on an appendage, increasing the risk of injury. Chrysler will notify owners, and dealers will inspect and replace the right side liftgate pinch sensors, free of charge. The safety recall began on May 18.

Chrysler 300, MY 2011-2012Dodge Charger, MY 2011-2012NHTSA ID number: 12V197000Electrical system: Fuses and circuit breakersUnits affected: 119,072Chrysler is recalling certain model year 2011 and 2012 300 and Dodge Charger vehicles. These vehicles could lose ABS/ESC system function due to an overheated power distribution center. This could lead to loss of vehicle control, increasing the risk of a crash. Chrysler will notify owners, and dealers will relocate the ABS/ESC system fuse, free of charge. The safety recall began on May 18, 2012. Owners can contact Chrysler at 1-800-853-1403. Chrysler’s recall number is M10.

FO R M O R E I N FO R M AT I O N , G O O N L I N E T O W W W. N H T SA . G OV O R W W W. SA F E RCA R . G OV. NHTSA Recalls

OK_0712.indd 18 6/20/12 2:14 PM

FO R M O R E I N FO R M AT I O N , G O O N L I N E T O W W W. N H T SA . G OV O R W W W. SA F E RCA R . G OV.

OK_0712.indd 19 6/20/12 2:14 PM


20


Oklahoma Department of Consumer Credit Update Notice to Lenders

Listed below are changes in the maximum charges a lender may make on items affected by changes in the consumer price index indicators, consumer price index for urban wage earners and clerical workers.

The designated sections and the corresponding dollar amounts effective July 1, 2012 are as follows (2011 amounts are represented by strikeouts and the 2012 amounts are represented by underlines.

PART 2: MAXIMUM CHARGE CHANGES EFFECTIVE 7-1-10 O.S. 14A§ 2-201. Credit service charge for consumer credit sales other than revolving charge accounts (1) With respect to a consumer credit sale, other than a sale pursuant to a revolving charge account, a seller may contract for and receive a credit service charge not exceeding that permitted by this section.(2) The credit service charge, calculated according to the actuarial method, may not exceed the equivalent of the greater of either of the following:(a) the total of (i) thirty percent (30%) per year on that part of WKH�XQSDLG�EDODQFHV�RI�WKH�DPRXQW�¿QDQFHG�which is $1,380.00 $1, 410.00 or less;(ii) twenty-one percent (21%) per year on that part of the unpaid balances of the amount ¿QDQFHG�ZKLFK�LV�PRUH�WKDQ�$1,380.00

$1410.00 but does not exceed $4,500.00 $4,600.00; and�LLL��¿IWHHQ�SHUFHQW��SHU�\HDU�RQ�WKDW�SDUW�RI�WKH�XQSDLG�EDODQFHV�RI�WKH�DPRXQW�¿QDQFHG�which is more than $4,600.00 $4,700.00; or(b) twenty-one percent (21%) per year on the XQSDLG�EDODQFHV�RI�WKH�DPRXQW�¿QDQFHG�

§ 2-203. Delinquency charges (1) With respect to a consumer credit sale, UH¿QDQFLQJ��RU�FRQVROLGDWLRQ��LQFOXGLQJ�D�revolving charge account, the parties may contract for a delinquency charge on any installment not paid in full within ten (10) days after its scheduled due date as follows:(a) an amount not exceeding the greater of ¿YH�SHUFHQW��RI�WKH�XQSDLG�SRUWLRQ�RI�WKH�scheduled installment or $23.00 $23.50. PART 5. SUPERVISED LOANS - CHANGES EFFECTIVE 7-1-10 O.S. 14A��$��/RDQ�¿QDQFH�FKDUJH�IRU� supervised loans(1) With respect to a supervised loan, including a loan pursuant to a revolving loan account, a supervised lender may contract for and receive D�ORDQ�¿QDQFH�FKDUJH�QRW�H[FHHGLQJ�WKDW�permitted by this section.��7KH�ORDQ�¿QDQFH�FKDUJH��FDOFXODWHG�according to the actuarial method, may not exceed the equivalent of the greater of either of the following:

(a) the total of(i) 30% per year on that part of the unpaid balances of the principal which is $1380.00 $1410.00 or less;(ii) 21% per year on that part of the unpaid balances of the principal which is more than $1380.00 $1,410.00 but does not exceed $4,600.00 $4,700.00; and(iii) 15% per year on that part of the unpaid balances of the principal which is more than $4,600.00 $4,700.00; or(b) 21% per year on the unpaid balances of the principal.

��%��/RDQ�¿QDQFH�FKDUJH�IRU�ORDQV�ZLWK�principal of $1,380.00 $1410.00 or less.(1) On loans having a principal of $1,380.00 $1,410.00 or less, a supervised lender may FKDUJH�LQ�OLHX�RI�WKH�ORDQ�¿QDQFH�FKDUJHV�VSHFL¿HG�LQ�6HFWLRQ��$��WKH�IROORZLQJ�amounts:(a) on any amount up to and including $137.95 $140.95, a charge may be added at the ratio of $4.60 $4.70 for each $23.00 of principal;(b) on any loan in an amount in excess of $137.95 $140.95 up to and including the amount of $161.00 $164.50, there shall be allowed an acquisition charge for making the loan not in excess of one-tenth (1/10) of the amount of the principal. In addition thereto, an installment account handling charge shall be allowed not to exceed $13.80 $14.10 per month;

W W W. O K D O C C . S TAT E . O K . U S

w w w. o k d o c c . s t a t e . o k . u s

OK_0712.indd 20 6/20/12 2:15 PM


21


(c) on any loan in an amount in excess of $161.00 $164.50 but not more than $322.00 $329.00, there shall be allowed an acquisition charge for making the loan not in excess of one-tenth (1/10) of the amount of the principal. In addition thereto, an installment account handling charge shall be allowed not to exceed $16.10 $16.45 per month;(d) on any loan in an amount in excess of $460.00 $460.00 but not in excess of $329.00 $470.00, there shall be allowed an acquisition charge for making the loan not in excess of one-tenth (1/10) of the amount of the principal. In addition thereto, an installment account handling charge shall be allowed not to exceed $18.40 $18.80 per month;

(e) on any loan in an amount in excess of $460.00 $470.00, up to and including $690.00 $705.00, there shall be allowed an acquisition charge for making the loan not in excess of one-tenth (1/10) to the amount of the principal. In addition thereto, an installment account handling charge shall be allowed not to exceed $20.70 $21.150 per month;(f) on any loan in an amount in excess of $690.00 $705.00 but not more than $1,380.00 $1410.00 there shall be allowed an acquisition charge for making the loan not in excess of one-tenth (1/10) of the amount of the principal. In addition thereto, an installment

account handling charge shall be allowed not to exceed $23.00 $23.50 per month.LIMITATIONS ON CREDITOR’ REMEDIES

��5HVWULFWLRQV�RQ�GH¿FLHQF\�MXGJPHQWV�in consumer credit sales(2) If the seller repossesses or voluntarily accepts surrender of goods which were the subject of the sale and in which he has a security interest and the cash price of the goods repossessed or surrendered was $4,600.00 $4,700.00or less, the buyer is not personally liable to the seller for the unpaid balance of the debt arising from the sale of the goods, and the seller is not obligated to resell the collateral.(3) If the seller repossesses or voluntarily accepts surrender of goods which were not the subject of the sale but in which he has a security interest arising from a sale of goods or services and the cash price of the sale was $4,600.00 $4,700.00 or less, the buyer is not personally liable to the seller for the unpaid balance of the debt arising from the sale. In addition, fee of $25.00 is established for amended and duplicate licenses or registrations and for returned checks due to LQVXI¿FLHQW�IXQGV��

W W W. O K D O C C . S TAT E . O K . U S

w w w. o k d o c c . s t a t e . o k . u s

OK_0712.indd 21 6/20/12 2:15 PM


22


The Oklahoma Legislature recently completed the process of House and Senate bills being heard in the opposite House of Origin. All bills not heard by the opposite House are now dead for the legislative session. As of April 30, there were 172 House bills and 43 House joint resolutions as well as 205 Senate bills and four Senate joint resolutions still alive for the current legislative session.

%LOOV�WKDW�SDVVHG�WKH�¿QDO�ZHHN�QRZ�KHDG�WR�one of three places, depending on whether their title is “on” or “stricken” and if the versions passed in each chamber are identical.

Bills with their titles “stricken” head to a conference committee, which will try to reach a compromise between House and Senate versions of the legislation.

Bills with their titles “on” but with amendments DGGHG�LQ�WKH�¿QDO�FKDPEHU�KHDG�EDFN�WR�WKH�RSSRVLWH�FKDPEHU�IRU�¿QDO�FRQVLGHUDWLRQ�

Bills with their titles “on” that are identical to WKH�YHUVLRQ�SDVVHG�LQ�WKH�¿UVW�FKDPEHU�KHDG�WR�Gov. Fallin for her consideration.

A conference committee consists of assigned House and Senate members who collaborate RQ�WKH�¿QDO�ODQJXDJH�RI�D�ELOO��,I�DQ�DJUHHPHQW�is reached and a conference committee report is adopted, the bill goes back to the House and 6HQDWH�LQ�LWV�¿QDO�IRUP�IRU�D�¿QDO�YRWH�LQ�HDFK�chamber, with no amendments allowed. If it then passes both chambers, it then goes to the governor for her consideration.

The following bills are still on the OIADA radar:

HB 1222, McCullough, SykesDirects the Oklahoma Motor Vehicle Commission to provide a dealer license for powersports vehicle dealers. The license will only allow the VDOH�RI�D�VSHFL¿F�W\SH�RI�SRZHUVSRUWV�YHKLFOHV�RI�the same manufacturer as requested.Bill History03-29-12 S Title stricken in committee (Senate Business & Commerce) 03-29-12 S Voted from committee: Do Pass as amended (Senate Business & Commerce) ��6�6HW�RQ�WKH�6HQDWH�ÀRRU�DJHQGD 04-24-12 S Laid out for consideration in the Senate 04-24-12 S Passed/adopted (Vote: 43-0)

HB 1230, Ownbey, MazzeiAllows the transfer of the title of a salvage or junk vehicle when requested by the insurer to be processed as one transaction. Sets the fee of such transfer at $22, of which $2 will be deposited in the OTC Reimbursement Fund.Bill History05-19-11 S Laid out for consideration in the Senate 05-19-11 S Senate accepted the conference report ��6�6HQDWH�¿QDOO\�SDVVHG�FRQIHUHQFH�ELOO�(Vote: 44-0) 05-20-11 G Sent to the governor 05-26-11 G Vetoed by the governor: “This

change would weaken the law designed to prevent appointments arising from nepotism instead of merit.”

HB 2242, Denney, HalliganThe license fee of a wrecker or tow vehicle to be based on the gross weight of the wrecker or tow vehicle alone without inclusion of weight towed by the vehicle. Provides exception for applications.Bill History04-10-12 S Laid out for consideration in the Senate 04-10-12 S Passed/adopted (Vote: 43- 0) 04-25-12 H Laid out for consideration in the House 04-25-12 H House refused to concur with Senate amendments 04-25-12 H House appointed a conference committee: GCCA

HB 2374, Tibbs, SykesExempts vehicles towed by a licensed ZUHFNHU�RSHUDWRU�IURP�FRQ¿VFDWLRQ�E\�DQ\�ODZ�HQIRUFHPHQW�RI¿FHU�Bill History03-29-12 S Voted from committee: Do Pass as substituted (Senate Public Safety) ��6�6HW�RQ�WKH�6HQDWH�ÀRRU�DJHQGD 04-25-12 S Laid out for consideration in the Senate 04-25-12 S Passed/adopted (Vote: 45-0)

LegislationTracking ReportW W W. O K D O C C . S TAT E . O K . U S

COMPANY NAME JOINED CITYR Ausbrooks Used Cars Paul Ausbrooks, Jr. 1991 OkmulgeeR Green Country Auto Sales, Inc. William Eddie James, Jr. 1991 CollinsvilleR David Stanley Chevrolet David Stanley 1991 MooreR Brown Ford, Inc. Eddie Brown, Jr. 2010 CordellR Pemberton, Inc. Rodney Pemberton 1991 Ponca CityR Regal Car Sales and Credit Robert Mulkey 1991 TulsaR A & G Auto Sales Steve Livingston 1993 LawtonR Watson Auto Rental & Sales Steven Watson 1991 PoteauR Hensley’s Auto Sales Robert M. Hensley 1991 TahlequahR Wheels of OKC Bryan S. Ramsey 1991 Oklahoma CityN Chickasha Auto Auction David W. Blalock, Jr. 2012 ChickashaR Ardmore Car Auction, LLC John Davenport 1998 ArdmoreR Siegfried Motor Co. Kerry Siegfried 2001 Broken ArrowN D & L Auto & Boat Sales Tamara Clemens 2012 GroveR Nimmo’s Used Cars & Trucks Glen Nimmo 1998 PurcellR Import Motors Gus Mazroy 2003 PiedmontR Charles West Auto Sales Charles West 1991 Oklahoma CityR Advantage Motors of Oklahoma Roger Chasteen 2010 TulsaR ADESA Tulsa Auto Auction ADESA Oklahoma, Inc. 2001 TulsaR Harris Auto Sales, LLC Kevin Harris 2005 McAlester

OIADA New and Renewal MembersThe following list includes members who joined or renewed their OIADA/NIADA membership during April. We express our sincere appreciation for all the members of OIADA and extend our invitation to dealers who are not members. A membership application can be found elsewhere in this newsletter. We urge you to be an active part of maintaining a strong and effective used car industry voice in the legislative and regulatory environment. With the current administration’s attitude toward the motor vehicle sales industry, we need that voice more than ever! Chris Goad, President

Bruce Beam (right), general manager of Dealers Auto Auction of OKC,

poses with Curt Washburn of Washburn Motors in Alva, Okla., and the

pedal car he won at a car convention in Las Vegas. Congratulations,

Mr. Washburn!

I N D U S T RY I N P I C T U R E S

Winner at DAA

OK_0712.indd 22 6/20/12 2:15 PM


23


SB 201, Aldridge, NelsonAllows local municipalities, counties or the Department of Public Safety to place holds on the registration renewal for motor vehicles associated with violations. Allows fees to be collected by motor license agents.Bill History05-18-11 S Further conference granted conferees remaining the same (Conference Committee on Public Safety, Judiciary and Military Affairs) 05-18-11 S Senate appointed a conference committee: Aldridge, Mazzei, Holt, Brown, Sparks, Burrage 05-19-11 S Conference committee report submitted 04-16-12 S Senate refused to concur with House amendments 04-16-12 S Conference requested

SB 448, Barrington, Billy0RGL¿HV�GH¿QLWLRQV�DQG�OLFHQVH�UHTXLUHPHQWV�IRU�commercial motor vehicles transporting empty storage container tanks and provides exceptions. Requires medical examinations of drivers. Bans texting while driving. EMERGENCY.Bill History04-04-12 H Voted from committee - Do Pass as substituted (House A&B) ��+�6HW�RQ�WKH�+RXVH�ÀRRU�DJHQGD 04-24-12 H Laid out for consideration in the House

04-24-12 H Passed/adopted (Vote: 79-6) 04-24-12 H Emergency passed

SB 929, Newberry, SullivanCreates a task force to study the potential consolidation of licensing functions for professional and trade occupations.Bill History05-18-11 H Conferees unable to agree 05-18-11 H Referred to House Conference Committee on Gov. Mod. and Rules 05-19-11 H Conference Committee on Gov. Mod. and Rules recommends the Conference Committee Report as Conferees Unable to Agree 05-19-11 H Conference committee report submitted

SB 1067, Barrington, Roan$XWKRUL]HV�RI¿FHUV�RI�WKH�'HSDUWPHQW�RI�3XEOLF�Safety or any other political subdivision to tow any vehicle found in a public place or on any private road that provides access to single or multi-family dwellings.Bill History04-05-12 H Ortega moves to table the Terrill amendment 04-05-12 H Tabling motion fails by a vote of 50-23 04-05-12 H Passed/adopted (Vote: 88- 2) 04-17-12 S Senate refused to concur with House amendments

SB 1497, Brinkley, MulreadyRemoves unnecessary section references and increases one-year period to 36 months for closing out sales from the expiration date of the closing-out sale license in regards to Oklahoma Consumer Protection Act violations. EMERGENCY.Bill History04-09-12 H Laid out for consideration in the House 04-09-12 H Floor amendment offered by Virgin ��+��ÀRRU�DPHQGPHQW�DGRSWHG 04-09-12 H Passed/adopted (Vote: 92-0) 04-09-12 H Emergency passed

SJR 16, Sparks, SchwartzSends to a vote of the people a measure that would allow permanently disabled veterans to claim a homestead exemption for a manufactured home whether or not the home is located on the veterans’ real property.Bill History05-18-11 S Conference committee report submitted ��6�6HW�RQ�WKH�6HQDWH�ÀRRU�DJHQGD 05-19-11 S Laid out for consideration in the Senate 05-19-11 S Senate accepted the conference report ��6�6HQDWH�¿QDOO\�SDVVHG�FRQIHUHQFH�ELOO�(Vote: 37-0)

OK_0712.indd 23 6/20/12 2:22 PM


24


NMVTIS Reports Now Required in California(IIHFWLYH�-XO\��&DOLIRUQLD�XVHG�

FDU�GHDOHUV�PXVW�REWDLQ�D�YHKLFOH�KLVWRU\�UHSRUW�IURP�WKH�1DWLRQDO�0RWRU�9HKLFOH�7LWOH�,QIRUPDWLRQ�6\VWHP��1097,6��before the dealer displays or offers a vehicle for sale at retail.7KH�QHZ�UHTXLUHPHQW��LQFOXGHG�LQ�

FKDQJHV�WR�WKH�&DOLIRUQLD�&DU�%X\HUV�%LOO�RI�5LJKWV��LV�WZRIROG��'HDOHUV�PXVW�¿UVW�REWDLQ�WKH�1097,6�UHSRUW��WKHQ��LI�WKH�UHSRUW�LQGLFDWHV�D�EUDQGHG�WLWOH��D�ZDUQLQJ�GLVFORVXUH�PXVW�EH�SRVWHG�RQ�WKH�YHKLFOH�LQ�FORVH�SUR[LPLW\�WR�WKH�)7&�%X\HU¶V�*XLGH�1097,6�LV�GHVLJQHG�WR�SURWHFW�

FRQVXPHUV�IURP�IUDXG�DQG�XQVDIH�YHKLFOHV�DQG�WR�NHHS�VWROHQ�YHKLFOHV�IURP�EHLQJ�UHVROG��&UHDWHG�E\�WKH�$QWL�&DU�7KHIW�$FW��1097,6�LV�UHTXLUHG�WR�LQFOXGH�GDWD�IURP�DOO�VWDWH�PRWRU�YHKLFOH�DJHQFLHV��LQFOXGLQJ�brand information that describes a

YHKLFOH¶V�SULRU�XVH�DQG�FRQGLWLRQ�DQG�WKH�latest odometer reading.1097,6�LV�WKH�RQO\�YHKLFOH�KLVWRU\�

GDWDEDVH�LQ�WKH�QDWLRQ�WR�ZKLFK�DOO�VWDWHV��LQVXUDQFH�FDUULHUV�DQG�MXQN�DQG�VDOYDJH�\DUGV�DUH�UHTXLUHG�E\�IHGHUDO�ODZ�WR�UHSRUW��)HGHUDO�ODZ�UHTXLUHV�WKDW�VWDWHV��EHIRUH�LVVXLQJ�D�QHZ�WLWOH�RQ�D�YHKLFOH�IURP�RU�SXUFKDVHG�LQ�DQRWKHU�VWDWH��YHULI\�WKURXJK�1097,6�WKH�WLWOH�EHLQJ�SUHVHQWHG�DQG�WKH�DFFXUDF\�RI�FHUWDLQ�RWKHU�YHKLFOH�LQIRUPDWLRQ��7KH�V\VWHP�LV�UHTXLUHG�WR�EH�VHOI�IXQGHG��VR�UHSRUWLQJ�DQG�REWDLQLQJ�LQIRUPDWLRQ�LV�IHH�EDVHG�%\�-DQXDU\��2NODKRPD�ZDV�RQH�

RI��VWDWHV�WR�KDYH�HQDFWHG�LWV�1097,6�UHSRUWLQJ�SURFHVV�DQG�WR�DOVR�EH�TXHU\LQJ�WKH�V\VWHP�SULRU�WR�WLWOLQJ��$V�D�QRWH��7KH�2NODKRPD�8VHG�0RWRU�9HKLFOH�DQG�3DUWV�&RPPLVVLRQ�GRHV�QRW�UHTXLUH�DQ\�RI�LWV�licensees to participate in the system as

SDUW�RI�LWV�OLFHQVLQJ�UHTXLUHPHQWV��1RU�GRHV�WKH�FRPPLVVLRQ�DVVHVV�DQ\�¿QHV�IRU�IDLOXUH�WR�UHSRUW��7KH�UHTXLUHPHQWV�and associated fees and penalties are mandated at the federal level.$FFRUGLQJ�WR�WKH�DPHQGPHQW��

&DOLIRUQLD�LV�WKH�³¿UVW�DQG�ODUJHVW�VWDWH�LQ�WKH�FRXQWU\�WR�UHTXLUH�WKH�XVH�RI�1097,6�vehicle history reports by dealers in retail XVHG�YHKLFOH�WUDQVDFWLRQV�´$FFRUGLQJO\��WKH�&DOLIRUQLD�/HJLVODWXUH¶V�

intention is that the “act will not only EHQH¿W�WKH�&DOLIRUQLD�FRQVXPHU��LW�ZLOO�DOVR�VWUHQJWKHQ�DQG�¿QDQFLDOO\�VXSSRUW�1097,6�´,W�ZLOO�EH�LQWHUHVWLQJ�WR�ZDWFK�WKH�HIIHFW�

WKLV�UHTXLUHPHQW�KDV�RQ�WKH�LQGXVWU\�LQ�&DOLIRUQLD��DQG�VHH�ZKHWKHU�RWKHU�VWDWHV�soon enact similar legislation.

BY ADR STAFF

OK_0712.indd 24 6/20/12 2:15 PM


25


OK_0712.indd 25 6/20/12 2:15 PM


26


Stars GPSWe are pleased to include Stars GPS as an OIADA Branded Provider of vehicle tracking and recovery solutions for our industry. Stars GPS specializes in providing the best technology with personal service, training and support for the independent and franchise dealership. For more information, go to www.stars-gps.com, email [email protected] or call 877-828-4770.

David L. Nunn, Esq.David L. Nunn heads the Edmond, Okla., law office of David L. Nunn, P.C., which serves the greater metro Oklahoma City area. We are pleased to include Mr. Nunn as an OIADA Select Provider of legal services to the industry. David L. Nunn, P.C. is located at 17 East First Street, Edmond, OK 73034. He can be reached at 405-330-4053 or by fax at 405-330-8470. Mr. Nunn is included as a Select Provider not because he asked to be, but because we know the quality of service that he provides to dealers.

B & C Auto Transport, Inc.B & C Auto Transport takes pride in providing fast, dependable transport service to auto dealers nationwide. We are pleased to include B & C Auto Transport, Inc. as an OIADA Select Provider of transport services for auto dealers nationwide because of its record of providing outstanding service at reasonable rates. Call 405-381-0114 or 405-641-6057 (cell), or email [email protected].

USED DEALER LICENSES COMPANY NAME CITY

Alonso’s Affordable Auto Sales David Alonso Claremore*Amins Auto Sales, LLC Farshid Amin Oklahoma City(Two on a lot with Automay Car Sales)B & M Motor Works, Inc. Mark Ferrell Tulsa Benny CoeBig Dog Auto Auction, LLC Terry Ishmael Collinsville Richard IshmaelBristow Wholesale Cars Jack Longacre Bristow Sandra LongacreCactus Service Trucks, LLC Afton Brauning Seminole Jed BrauningCamping World RV Sales, LLC Brent Moody Oklahoma City Roger Nutall Kahn Bell Marcus Lemonis Lee H. LitchfieldClaremore Motors, LLC Patrick Kauffman ClaremoreCredit Connection Auto Sales Charles West Oklahoma CityElite Vehicle Sales Sebastian Thompson SkiatookFASR Auto Sales, LLC Fadia Abdul Kareem Hasan Oklahoma CityK and G Autos Kenneth Dale Grothe Prague Kenneth Grothe Kiko’s Autos Francisco Madera Oklahoma CityNo Limit Powersports, LLC Andrew Meek Bartlesville Tara MeekPFC Auto Group, Inc. Pageant Denise Ferriabough TulsaRed Barn Auto Sales Jason Derek Williams CushingScissortail Auto Sales Calvin Kyle Ruth TulsaSuperb Motors, LLC Adrienne Whitworth TulsaT & T Auto Sales, Inc. #2 Wilma Terrel Newcastle Michael Terrel, Jr.Ware’s Auto Sales Randy Ware Chouteau* Special circumstances

WHOLESALE DEALER LICENSES COMPANY NAME CITY

Aspen Auto Financial Kamran Salavandi Edmond

License Applicants ApprovedThe following applicants, as listed in the agenda for the Used Motor Vehicle and Parts Commission regular meeting of May 8, 2012, were considered for issuance of used motor vehicle dealer licenses and wholesale vehicle dealer licenses. The applications were approved pending compliance with the state licensing laws and rules and subject to final approval by commission staff.The following applicants had compliance issues that affect final approval: The application of Big Dog Auto Auction, LLC was deferred for further action.

Dealer registration forms, additional sale information and directions are available on our web site: chickashaautoauction.com

AUCTION SALE EVERY THURSDAY NIGHT!“ C H I C K A S H A A U T O A U C T I O N . . . W H E R E S E R V I C E S E L L S ! ”

3� 2 � � % 2 ; � � � � � � � � � � � � � ( � � + : < � � � � & + , & . $ 6 + $ � � 2 . � � � � � � � � � � � 3 � � � � � � � � � � � � � � � � � ) � � � � � � � � � � � � � � �

Dinner is served from 5:30 till 6:30pm. ��:H�KDYH�D�KRVW�RI�1HZ�&DU�6WRUHV��/RDQ��FRPSDQLHV��%DQNV��DQG�FUHGLW�XQLRQV��

��:H�VWULYH�WR�SURYLGH�DQ�H[WUHPHO\�IULHQGO\��DWPRVSKHUH�DQG�IXOO�VHUYLFH�WR�RXU�GHDOHU�IDPLO\��

��&RPH�([SHULHQFH�ZKHUH�'HDOHUV�ZLOO�EH��WUHDWHG�ZLWK�PRUH�UHVSHFW�DQG�VHUYLFH��

��:H�DUH�D�IDPLO\�RZQHG�DQG�RSHUDWHG��H[SHULHQFHG�EXVLQHVV�ZLWK�D�UHVSHFWHG�UHSXWDWLRQ��WKUX�RXW�WKH�DXWRPRELOH�LQGXVWU\��:H�WDNH�JUHDW�SULGHLQ�EHLQJ�WKH�EHVW�ZH�FDQ�SRVVLEO\�EH�

W E A R E A D E A L E R S A L E O N LY2:1(56��'$9,'�%/$/2&.��-,0�%/$/2&.

Auction starts at 6:30pm

OK_0712.indd 26 6/20/12 2:54 PM


27


Join OIADA And See

More Profit In Your Pocket!

Join OIADA and trade with

these vendors, and they will

more than cover the cost of

your membership.

That leaves

More Profit In Your Pocket!When When you join or renew your membership in

OIADA, you receive a full set of Dealer Discount

VIP Cards.

These cards are available ONLY to OIADA MEMBERS and are DEALER EXCLUSIVE.

Call (405) 232-2947 or visithttp://www.e-oiada.com/join

to to Join OIADA Today!

Join OIADA and Receive Your 2012 VIP Discount Cards!Your Dealer Discount VIP Cards are just one of the many benefits of OIADA membership. Their

value alone is over four times greater than the $295 annual membership fee. Join OIADA today to

get started saving with your own Member-Exclusive Dealer Discount VIP Cards.

ADESA Tulsa

Friday @ 9:00 am: One Sell Fee up to $50. One Buy

Fee up to $50.

America’s Auto Auction, Inc. of TulsaWednesday @ 2:00pm: Dealers only or Monday @

6:00 pm: Dealers & Public. One Buy Fee up to $50.

CentCentral Auto Auction - Hwy 37, Tuttle

Sales Are Random Saturdays at 10 am: One

Complimentary Sell Fee

Dealers Auto Auction of OKC

Thursday @ 8:30am: One Sell Fee up to $50. One

Buy Fee up to $50.

I-40 Auto Auction, Inc., Del City

TTuesday @ 6:30 pm: One Buy Fee up to $50. One

Sell Fee up to $50.

IAA Insurance Auto Auctions - Oklahoma City

Sale Every Other Wednesday: One Sell Fee up to $50.

Manheim Dallas Wednesday @ 8:45 am or Friday @ 10:00 am: One

Buy Fee OR One Sell Fee up to $200.

Manheim Dallas/Ft. Worth

TThursday @ 9:30 am (Trinity Blvd Location): One Buy

Fee OR One Sell Fee up to $200.

Route 66 Auto Auction

Friday @ 12:00 pm: One Buy Fee up to $150. One

Sell Fee up to $150.

71B Auto AuctionTTuesday @ 9:00 am: One Buy Fee up to $100. One

Sell Fee up to $100.

OK_0712.indd 27 6/20/12 2:15 PM


28


OK_0712.indd 28 6/20/12 2:15 PM


29


Join OIADA online at http://www.e-oiada.com/join

OIADA Can Help MakeYour Path

Certain.Oklahoma Independent Automobile

Dealers Association

For $295 You Get Membership In Both OIADA and NIADAPlus All Of The Following Benefits And Even More That Are Not Listed!

Programs for Extra Profit� Access to Insured Warranty & Service Agreements� How to Structure a Related Finance Company� Networking Opportunities With Other Dealers

Programs to Help Keep Profit� NADA Guide Books – single copy or subscription�� Black Book Guide Books – single copy or subscription� Dealer Bonds - Salesmen’s Bonds� Discount on complete line of State approved Business Forms� Discount on Dealer supplies National Dealer Network Skip Tracing Contacts

PublicPublications� OIADA Magazine/Newsletter� Federally Required Safeguards Policy Document� Federally Required Red Flags Rules Policy Documents� IRS Audit Technique Guide For the Independent Used Car Dealer� Current Industry Information�� Legislative Alerts� NIADA Monthly Magazine� NIADA Annual Buyer’s Guide

Professional Development� Dealer Educational Seminars� Certified Master Dealer Program� Regional Professional Development Compliance Seminars� Free Access to NIADA.tv Training at Your Business � Access to IndependentDealer.com where dealers go for answers answers� NIADA Membership and Window Decal� OIADA “Symbol of Integrity” Logo, Window Decal and Membership Plaque� NIADA Annual Convention and Trade Show� Individual Assistance by phone� Code of Ethics

RRepresentation� State Lobby and Consultant Services� State Legislative and Regulatory Tracking and Reporting� Federal Lobby and Consulting Services� Federal Legal, Legislative and Regulatory Tracking and Reporting� Used Motor Vehicle and Parts Commission Liaison�� Oklahoma Tax Commission Liaison� Oklahoma Department of Consumer Credit Liaison� Full Time Professional Staff to assist you when problems arise

Members Can Also Sign Up For

Automotive Dealers Rewards From

Automotive Dealers Resource Of Oklahoma

and Earn Money Saving Coupons For

Their Future Purchases.

Visit http://rewards.buyadr.com/Automotive Dealers Rewards is open to Members and Non-Members Who Purchase Automotive Dealers Rewards is open to Members and Non-Members Who Purchase

From ADR of Oklahoma

OK_0712.indd 29 6/20/12 2:15 PM


30


OK_0712.indd 30 6/20/12 2:15 PM


31


OK_0712.indd 31 6/20/12 2:15 PM


32


Formula for Selling in the Dog Days of Summer7KH�GRJ�GD\V�RI�VXPPHU�DUH�KHUH��

7KH�WLPH�WR�PDNH�KD\�ZKLOH�WKH�VXQ�ZDV�shining has come and gone.7KH�W\SLFDO�%X\�+HUH�3D\�+HUH�

GHDOHU�ZLOO�VHOO��SHUFHQW�RI�KLV�DQQXDO�XQLWV�LQ�WKH�¿UVW�WKUHH�PRQWKV�RI�WKH�\HDU��+H�ZLOO�DOVR�UHDOL]H�DERXW�WKH�VDPH�SHUFHQWDJH�RI�KLV�DQQXDO�SUR¿W�LQ�WKRVH�WKUHH�PRQWKV�6R�LI�\RX�JRW�RII�WR�D�VORZ�VWDUW�LQ�

��WKH�GRJ�GD\V�RI�VXPPHU�FRXOG�EH�WKH�RQO\�ZD\�WR�VDOYDJH�\RXU�\HDU��%HFDXVH�ZH�DOO�NQRZ�WKH�ODVW�WKUHH�PRQWKV�DUH�QRW�WLPH�WR�WU\�WR�PDNH�\RXU�\HDU��%HLQJ�DEOH�WR�VHOO�LQ�WKH�GRJ�GD\V�LV�

really no different than selling in the KH\GD\V��7KH�VDPH�IRXU�NH\�LQJUHGLHQWV�to selling are the same. The only GLIIHUHQFH�LV�WKH�IRFXV�KDV�WR�EH�WKHUH�,Q�WKH�KH\GD\V��VHOOLQJ�LV�SUHWW\�HDV\��

&XVWRPHUV�KDYH�PRQH\��<RX�KDYH�LQYHQWRU\��$OO�LV�ULJKW�ZLWK�WKH�ZRUOG��%XW�FRPH�WKH�GRJ�GD\V��FXVWRPHUV�KDYH�OHVV�PRQH\��$QG�WKH\�VHHP�WR�EH�KDUGHU�WR�¿QG��7KH�¿UVW��DQG�PRVW�LPSRUWDQW��RI�WKH�

NH\�LQJUHGLHQWV�WR�VHOOLQJ�LQ�WKH�GRJ�GD\V�LV�WUDLQLQJ��:HOO�WUDLQHG�VDOHVSHRSOH�FDQ�VHOO�DQ\�WLPH�RI�\HDU��<RX�VKRXOG�DOZD\V�EH�WUDLQLQJ�\RXU�VWDII��DOZD\V�KRQLQJ�WKHLU�VNLOOV��%RWK�SKRQH�WUDLQLQJ�DQG�EDVLF�VDOHV�VNLOOV�WUDLQLQJ�VKRXOG�EH�GRQH�ZHHNO\��DW�D�PLQLPXP�:RUN�ZLWK�VWDII�RQ�RYHUFRPLQJ�

REMHFWLRQV�±�UROH�SOD\LQJ�LV�D�JRRG�ZD\�WR�DFFRPSOLVK�WKDW��:KHQ�LW�FRPHV�WR�SKRQH�WUDLQLQJ��ZRUN�RQ�KRZ�WR�VHW�HIIHFWLYH�DSSRLQWPHQWV��/RW�WUDI¿F�LV�DW�D�SUHPLXP�GXULQJ�WKH�GRJ�GD\V��VR�\RXU�SHRSOH�KDG�EHWWHU�NQRZ�KRZ�WR�effectively handle it.

The second ingredient is appearance. 1RZ��,¶P�QRW�QHFHVVDULO\�WDONLQJ�DERXW�\RXU�HPSOR\HHV¶�DSSHDUDQFH��ZKLFK�VKRXOG�DOZD\V�EH�QHDW�DQG�SURIHVVLRQDO��EXW�\RXU�RYHUDOO�ORW�DSSHDUDQFH��7KH�1R��UHDVRQ�FXVWRPHUV�OLVW�DV�WKH�UHDVRQ�WKH\�FRPH�LQ�LV�³GULYH�E\�´�6R�LI�WKDW�LV�WKH�FDVH��ZK\�ZRXOGQ¶W�\RX�ZDQW�

\RXU�ORW�WR�ORRN�WKH�EHVW�LQ�WRZQ"7KH�ORW�VKRXOG�DOZD\V�EH�QHDW�DQG�

RUGHUO\��QRW�ZLWK�YHKLFOHV�IDFLQJ�DOO�IRXU�GLUHFWLRQV�RI�WKH�FRPSDVV�DQG�WKHQ�VRPH��9HKLFOHV�VKRXOG�EH�VSDFHG�HYHQO\��ZLWK�D�JRRG�PL[�RI�FRORUV�DQG�styles.$�ORW�SDUW\�RU�ORW�URGHR�VKRXOG�

EH�GRQH�DW�OHDVW�RQFH�D�ZHHN��LI�QRW�PRUH��,W�ZLOO�UHDOO\�JR�D�ORQJ�ZD\�WR�PDNLQJ�\RXU�ORW�ORRN�IUHVK��<RX�VKRXOG�FRQVLGHU�WKH�YHKLFOHV�RQ�\RXU�ORW�\RXU�PDQQHTXLQV�DQG�WUHDW�WKHP�WKH�ZD\�¿QH�GHSDUWPHQW�VWRUHV�WUHDW�WKHLUV��.HHS�WKHP�IUHVK��QHDW��FOHDQ�and always ready to sell. That goes for RYHUDOO�ORW�DSSHDUDQFH�DV�ZHOO��$�IUHVK�FRDW�RI�SDLQW�DQG�VRPH�ZHHG�NLOOHU�FDQ�do wonders.0DUNHWLQJ�LV�WKH�QH[W�NH\�LQJUHGLHQW��

$JDLQ��ZLWK�WUDI¿F�EHLQJ�DW�D�SUHPLXP��this is the time when repeat and referral programs really pay dividends. ,W¶V�D�JRRG�WLPH�RI�\HDU�WR�IRFXV�RQ�UHIHUUDOV��QRW�MXVW�ZLWK�\RXU�FXVWRPHU�EDVH�EXW�ZLWK�RXWVLGH�FRPSDQLHV�DQG�SHRSOH�DV�ZHOO��,I�\RX�DUH�QRW�DOUHDG\�SD\LQJ�UHIHUUDOV�WR�QRQ�FXVWRPHUV��LW¶V�VRPHWKLQJ�\RX�VKRXOG�VHULRXVO\�FRQVLGHU��,�FDQ�DVVXUH�\RX�VRPH��LI�QRW�DOO��RI�\RXU�FRPSHWLWRUV�DUH�0DUNHWLQJ�DOVR�H[WHQGV�WR�\RXU�ZHE�

SUHVHQFH��0DNH�VXUH�\RXU�ZHEVLWH�LV�XS�WR�GDWH��HVSHFLDOO\�LI�\RX�DUH�GLVSOD\LQJ�LQYHQWRU\��,�ZDV�RQ�D�GHDOHU�FOLHQW¶V�website the other day and he had SLFWXUHV�RI�VRPH�RI�KLV�LQYHQWRU\�ZLWK�snow on it.,Q�DGGLWLRQ�WR�WKH�LQYHQWRU\��PDNH�

VXUH�DOO�RWKHU�DVSHFWV�RI�\RXU�VLWH�DUH�XS�WR�GDWH��7KDW�LQFOXGHV�DQ\�DGYHUWLVHG�VSHFLDOV��DERXW�XV�VHFWLRQV�DQG�HPSOR\HH�LQWURGXFWLRQ�VHFWLRQV��<RX�ZRXOGQ¶W�ZDQW�VRPHRQH�FDOOLQJ�RU�FRPLQJ�LQ�DVNLQJ�IRU�VRPHRQH�RU�something that is no longer there.7KH�ODVW�NH\�LQJUHGLHQW�LQ�WKH�GRJ�

GD\V�VHOOLQJ�IRUPXOD�LV�DGYHUWLVLQJ��,Q�WKLV�YHU\�FRPSHWLWLYH�LQGXVWU\��advertising in some form or fashion is

DOPRVW�D�PXVW��7KH�WKLQJ�WKDW�PDNHV�advertising effective is reaching the ULJKW�IRONV�ZLWK�WKH�ULJKW�PHVVDJH�7KH�WZR�PRVW�SRSXODU�PHGLD�DUH��RI�

FRXUVH��WHOHYLVLRQ�DQG�UDGLR��7KHUH�LV�D�WKRXJKW�SHRSOH�ZDWFK�OHVV�WHOHYLVLRQ�DQG�OLVWHQ�WR�PRUH�UDGLR�LQ�WKH�VXPPHU��EXW�WKDW�LV�MXVW�QRW�WKH�FDVH��6WXGLHV�KDYH�VKRZQ�WHOHYLVLRQ�YLHZLQJ�GRHVQ¶W�GURS�RII�DW�DOO�GXULQJ�WKH�VXPPHU��DQG�the same goes for radio listening.

The important thing to remember DERXW�DGYHUWLVLQJ�RQ�ERWK�WKRVH�PHGLD�LV�WR�UHPHPEHU�\RX�DUH�QRW�\RXU�FXVWRPHU��VR�GRQ¶W�DGYHUWLVH�WR�\RXUVHOI��&KDQFHV�DUH�\RXU�FXVWRPHUV�watch different television stations and listen to different radio stations WKDQ�\RX�GR��VR�PDNH�VXUH�WKH�VWDWLRQV�\RX�DUH�RQ�DUH�WKH�RQHV�\RXU�FXVWRPHUV�DUH�ZDWFKLQJ�DQG�OLVWHQLQJ�WR��&XVWRPHU�VXUYH\V�IURP�QHZ�DQG�H[LVWLQJ�FXVWRPHUV�DUH�WKH�EHVW�ZD\�WR�JDXJH�WKHLU�HQWHUWDLQPHQW�SUHIHUHQFHV��6LPSO\�SXW��MXVW�DVN�$V�ZLWK�PDUNHWLQJ��\RXU�ZHE�

presence is also a way to advertise. 7KH�XVH�RI�\RXU�ZHEVLWH��DV�ZHOO�DV�)DFHERRN�DQG�HYHQ�7ZLWWHU�FDQ�EH�ZD\V�WR�JHW�\RXU�PHVVDJH�RXW��,�ZRXOGQ¶W�QHFHVVDULO\�FRXQW�RQ�WKRVH�VHOOLQJ�PRUH�FDUV��EXW�WKH\�DUH�SHUIHFW�ZD\V�WR�advertise new inventory or special sales promotions. 7KH�IRUPXOD�IRU�VHOOLQJ�LQ�WKH�GRJ�

days is the same as selling in the KH\GD\V��,W�MXVW�WDNHV�D�OLWWOH�PRUH�DWWHQWLRQ�WR�GHWDLO��7KHUH�DUH�XVXDOO\�IHZHU�RSSRUWXQLWLHV�LQ�WKH�GRJ�GD\V��VR�FDSLWDOL]LQJ�RQ�WKHP�LV�PXFK�PRUH�important.5HPHPEHU��WKH�WZR�PRVW�LPSRUWDQW�

LQJUHGLHQWV�LQ�WKH�IRUPXOD�DUH�WKH�WZR�PRVW�LQH[SHQVLYH��+RSHIXOO\��\RX�KDYH�WKH�ULJKW�PL[�RI�DOO�WKH�LQJUHGLHQWV�WR�NHHS�WKH�GRJV�DW�ED\��

BY BRENT CARMICHAELEXECUTIVE CONFERENCE MODERATORNCM ASSOCIATES [email protected]

B E I N G A B L E T O S E L L I N T H E D O G DAYS I S R E A L LY N O D I F F E R E N T T H A N S E L L I N G I N T H E H E Y DAYS .

OK_0712.indd 32 6/20/12 2:15 PM


33


States’ Attorneys General Target DealershipsMassachusetts dealer settles with

state attorney general (May 11): The 0DVVDFKXVHWWV�$WWRUQH\�*HQHUDO¶V�2I¿FH�UHFHQWO\�DQQRXQFHG�D�IDPLO\�RI�WKUHH�GHDOHUVKLSV�KDV�DJUHHG�WR�SD\��LQ�UHVWLWXWLRQ��FLYLO�SHQDOWLHV�DQG�DWWRUQH\�IHHV�WR�UHVROYH�DOOHJDWLRQV�WKDW�LW�XVHG�GHFHSWLYH�PDUNHWLQJ�WDFWLFV��$FFRUGLQJ�WR�WKH�$*¶V�FRPSODLQW��¿OHG�0D\�

��0F*HH�:KROHVDOH�&DUV��0F*HH�0RWRUFDUV��,QF��DQG�0F*HH�&KHYUROHW��,QF��FROOHFWLYHO\��WKH�³GHDOHUVKLS´��placed advertisements online and in print SXEOLFDWLRQV�WKDW�PLVUHSUHVHQWHG�WKH�DFWXDO�SULFHV�RI�DXWRPRELOHV�6SHFL¿FDOO\��WKH�DGYHUWLVHPHQWV�OLVWHG�

WKH�VR�FDOOHG�³GHDOHU¶V�FRVW´�UDWKHU�WKDQ�WKH�DFWXDO�VDOH�SULFH�RI�D�FDU��7KH�$*�DOOHJHG�VXFK�DGYHUWLVLQJ�ZDV�PLVOHDGLQJ�EX\HUV�LQWR�believing the car was being offered at low SULFHV�WKH�GHDOHUVKLS�ZRXOG�QRW�PHHW�7KH�FRPSODLQW�IXUWKHU�DOOHJHG�WKDW�RQ�

VHYHUDO�RFFDVLRQV��GHDOHUVKLS�HPSOR\HHV�DVNHG�FRQVXPHUV�WR�VLJQ�LQFRPSOHWH�GRFXPHQWV�ZLWK�WKH�XQGHUVWDQGLQJ�WKDW�WKH\�ZRXOG�EH�FRPSOHWHG�XVLQJ�WKH�QHJRWLDWHG�YHKLFOH�SULFH��DQG�ODWHU�entered information that called for a higher price. Employees also allegedly FKDUJHG�FRQVXPHUV�IHHV�IRU�XQZDQWHG�RU�XQGLVFORVHG�ZDUUDQWLHV�DQG�VHUYLFHV�7KH�FRQVHQW�MXGJPHQW��¿OHG�DORQJ�ZLWK�

WKH�FRPSODLQW��RUGHUV�WKH�GHDOHUVKLS�WR�SD\��LQ�FRQVXPHU�UHVWLWXWLRQ��LQ�FLYLO�SHQDOWLHV�DQG��WR�FRYHU�DWWRUQH\�IHHV�DQG�FRVWV��7KH�MXGJPHQW�DOVR�SURKLELWV�GHFHSWLYH�PDUNHWLQJ�DQG�VDOHV�SUDFWLFHV��8QGHU�WKH�VHWWOHPHQW��WKH�dealership also will implement a formal training program for all staff members LQYROYHG�LQ�WKH�VDOH�RU�¿QDQFLQJ�RI�PRWRU�YHKLFOHV�WR�HGXFDWH�WKHP�RQ�SURSHU�FRPSOLDQFH�ZLWK�VWDWH�UHJXODWLRQV�7KH�GHDOHUVKLS�FRRSHUDWHG�ZLWK�WKH�$*¶V�

LQYHVWLJDWLRQ�DQG��RQFH�WKH�LQYHVWLJDWLRQ�ZDV�LQLWLDWHG��WKH�GHDOHUVKLS�LPSOHPHQWHG�PDQDJHULDO�DQG�SURFHGXUDO�FKDQJHV�WR�DGGUHVV�LVVXHV�UDLVHG�E\�WKH�LQYHVWLJDWLRQ��The dealership denied all allegations of ZURQJGRLQJ��WKRXJK�LW�DJUHHG�WR�UHVROYH�WKH�PDWWHU�ZLWK�WKH�$WWRUQH\�*HQHUDO¶V�RI¿FH�

New Jersey AG obtains order against dealer (May 17): 1HZ�-HUVH\�$*�-HIIUH\�&KLHVD�DQG�WKH�'LYLVLRQ�RI�&RQVXPHU�$IIDLUV�DQQRXQFHG�DQ�RUGHU�DJDLQVW�D�3DWHUVRQ�EDVHG�XVHG�FDU�dealership that allegedly violated the &RQVXPHU�)UDXG�$FW�

“IF WE DON’T SERVE YOU WE DON’TDESERVE

YOU”

OKLAHOMA’S NEWEST AND ONLY COMPLETELY ENCLOSED AUTO AUCTION.

· Stay protected from the elements in our 125,000 square feet of indoor auction space

· Offering an 18 acre facility with a six bay detail and reconditioning shop

· Enjoy free catered breakfast and lunch in our 2500 square foot Dealers’ lounge

· Friendly and knowledgeable staff committed to serving you!

WITH A WARM MEAL AND COMFORTABLE ENVIRONMENT, YOU’LL ENJOY A BUYING EXPERIENCE THAT WILL BRING YOU BACK WEEK AFTER WEEK!

WEDNESDAYS AT 9:00 AMWWW.OKAEX.COM

,

6XSHULRU�&RXUW�-XGJH�0DU\�0DUJDUHW�0F9HLJK�JUDQWHG�D�UHTXHVW�WR�VWRS�/HQFRUH�/HDVLQJ�,QF��IURP�DGYHUWLVLQJ�DQG�VHOOLQJ�XVHG�YHKLFOHV�ZLWKRXW�GLVFORVLQJ�SULRU�XVH�DQG�RU�SULRU�GDPDJH��SHQGLQJ�D�KHDULQJ�RQ�WKH�VWDWH¶V�UHTXHVW�IRU�SUHOLPLQDU\�LQMXQFWLYH�DQG�RWKHU�UHOLHI��

The defendant allegedly violated the 0RWRU�9HKLFOH�$GYHUWLVLQJ�5HJXODWLRQV��WKH�8VHG�&DU�/HPRQ�/DZ�DQG�WKH�&RQVXPHU�)UDXG�$FW�LQ�LWV�DGYHUWLVHPHQW��RIIHULQJ�IRU�VDOH�DQG�VDOH�RI�XVHG�YHKLFOHV��

The defendant allegedly created online DGYHUWLVHPHQWV�WKDW�IDLOHG�WR�LQFOXGH�WKH�UHTXLUHG�GLVFORVXUHV�RI�SULRU�GDPDJH�DQG�SULRU�XVH��YLRODWHG�WKH�8VHG�&DU�/HPRQ�/DZ�E\�IDLOLQJ�WR�GLVFORVH�H[LVWLQJ�mechanical defects in the vehicles prior WR�VDOH��PLVUHSUHVHQWHG�WKDW�YHKLFOHV�ZHUH�XQGHU�D�ZDUUDQW\�ZKHQ�WKH\�DFWXDOO\�ZHUH�QRW��IDLOHG�WR�UHVSRQG�WR�FRQVXPHU�UHTXHVWV�IRU�UHLPEXUVHPHQWV�RU�UHIXQGV�IRU�UHSDLUV�FRQVXPHUV�KDG�WR�SD\�IRU��IDLOHG�WR�LQFOXGH�SURPLVHG�HTXLSPHQW�OLNH�ÀRRU�PDWV�DQG�QDYLJDWLRQ�V\VWHPV�LQ�WKH�

SXUFKDVHG�YHKLFOHV��DQG�IDLOHG�WR�GLVFORVH�WKDW�WKH�VDOHV�SULFH�GLG�QRW�LQFOXGH�WD[HV��registration fees and licensing.

Ohio AG sues two car dealers (April 19):�2KLR�$WWRUQH\�*HQHUDO�0LNH�'H:LQH�¿OHG�ODZVXLWV�DJDLQVW�WZR�dealerships and their owners alleging PXOWLSOH�YLRODWLRQV�RI�2KLR¶V�FRQVXPHU�laws.7KH�ODZVXLWV�QDPHG�.HHS�,W�0RYLQJ�

$XWR��,QF��EDVHG�LQ�&OHYHODQG��DQG�$XWR�)LQDQFH�$XWR�)LQDQFH�6RXWK�RI�&ROXPEXV��ZKLFK�DUH�%X\�+HUH�3D\�+HUH�GHDOHUV�WKDW�RIIHU�FRQVXPHUV�¿QDQFLQJ�GLUHFWO\�WKURXJK�the dealership.1XPHURXV�YLRODWLRQV�ZHUH�DOOHJHG�LQ�

ERWK�FDVHV��LQFOXGLQJ�IDLOLQJ�WR�QRWLI\�FRQVXPHUV�RI�SD\PHQW�GXH�GDWHV��IDLOLQJ�WR�QRWLI\�FRQVXPHUV�RI�WKH�WRWDO�FRVW�RI�FUHGLW�DQG�LQFOXGLQJ�DQ�DFFHOHUDWLRQ�FODXVH�IRU�FRQVXPHUV�ZKR�GHIDXOWHG��FDXVLQJ�WKH�WRWDO�DPRXQW�RZHG�E\�FRQVXPHUV�WR�EH�GXH�LPPHGLDWHO\�ZLWKRXW�QRWLFH��

BY ADR STAFF

M A S SAC H U S E T T S , N E W J E R S E Y A N D O H I O AG s TA K E AC T I O N

OK_0712.indd 33 6/20/12 2:15 PM


34


S.1449, the Motor Vehicle and Highway Safety Improvement Act6��LV�WKH�ELOO�WKDW�KDG�WKH�RQHURXV�

UHFDOO�SURYLVLRQ�SURFHVV�LQFOXGHG�LQ�DQ�earlier version of the bill considered last &RQJUHVV��7KDW�SURYLVLRQ�ZRXOG�KDYH�prohibited the sale or lease of a motor vehicle for which there is a pending recall. ,Q�DGGLWLRQ��LW�ZRXOG�KDYH�SXW�WKH�RQXV�RQ�GHDOHUV�WR�NQRZ�DERXW�SHQGLQJ�UHFDOOV�DQG�WR�DVVXPH�WKH�UHVSRQVLELOLW\�IRU�FXULQJ�WKH�recall defect.:H�OREELHG�IRU�LWV�H[FOXVLRQ�DQG�WKH�

ODQJXDJH�ZDV�QRW�SDUW�RI�WKH�YHUVLRQ�RI�WKH�ELOO�LQWURGXFHG�LQ�-XO\��:RUNLQJ�LQ�FRQMXQFWLRQ�ZLWK�1$'$��1,$'$�FRQWDFWHG�FRPPLWWHH�PHPEHUV�'HF��WR�JXDUG�DJDLQVW�DQ\�DWWHPSW�WR�UHLQVWDWH�WKH�ODQJXDJH��1R�HIIRUW�PDWHULDOL]HG�7KH�ELOO�GRHV�LQFOXGH�RWKHU�LVVXHV�RI�

LQWHUHVW��DQ�LQFUHDVH�LQ�FLYLO�DQG�FULPLQDO�SHQDOWLHV�IRU�RGRPHWHU�IUDXG��D�QHZ�1+76$�KRWOLQH�IRU�PDQXIDFWXUHUV��GHDOHUV�and mechanics to report motor vehicle

safety defects; whistleblower protection IRU�PDQXIDFWXUHUV��SDUWV�VXSSOLHUV�DQG�dealership employees who report problems; DQG�UXOHPDNLQJ�DXWKRULW\�UHJDUGLQJ�EUDNH�RYHUULGH��SHGDO�SODFHPHQW��HOHFWURQLF�V\VWHPV�SHUIRUPDQFH��SXVKEXWWRQ�LJQLWLRQ�systems and child safety standards.6��ZDV�LQFOXGHG�LQ�6��WKH�

6HQDWH�SDVVHG�RPQLEXV�KLJKZD\�ELOO�WKDW�H[WHQGV�WKH�KLJKZD\�SURJUDP�XQWLO�6HSW��,Q�WKH�+RXVH��MXULVGLFWLRQ�RYHU�WKH�6��LVVXH�LV�VKDUHG�EHWZHHQ�WKH�7UDQVSRUWDWLRQ�DQG�,QIUDVWUXFWXUH�Committee and the Energy and Commerce Committee.

There is no comparable provision in +�5��ZDV�+�5��ZKLFK�SDVVHG�WKH�+RXVH�RQ�$SULO��DQG�H[WHQGV�WKH�SURJUDP�XQWLO�6HSW��7LPLQJ�DQG�UHVROXWLRQ�RI�WKH�¿QDO�ELOO�LV�XQFHUWDLQ��7KH�FXUUHQW�SURJUDP�ZDV�H[WHQGHG�XQWLO�-XQH��E\�&RQJUHVV�RQ�0DUFK��WR�DOORZ�PRUH�WLPH�IRU�¿QDO�UHVROXWLRQ�RI�D�KLJKZD\�ELOO�

H.R.1449, the Motor Vehicle Owners Right to Repair Act of 2011&RQJUHVVPHQ�(GROSKXV�7RZQV��'�1�<��

DQG�7RGG�3ODWWV��5�3D��LQWURGXFHG�+�5��RQ�$SULO��7R�GDWH�LW�KDV��FRVSRQVRUV��,W�ZDV�UHIHUUHG�WR�WKH�Committee on Energy and Commerce.7KH�5LJKW�WR�5HSDLU�$FW�SURWHFWV�

PRWRULQJ�FRQVXPHUV�IURP�YHKLFOH�UHSDLU�FRVWV�E\�UHTXLULQJ�WKDW�FDU�PDQXIDFWXUHUV�provide to the vehicle owner and service provider all information necessary to GLDJQRVH��VHUYLFH��PDLQWDLQ�RU�UHSDLU�the vehicle; offer for sale to vehicle owners and service providers any related WRROV�RU�HTXLSPHQW��DQG�SURYLGH�WKH�information that enables tool companies to PDQXIDFWXUH�WRROV�ZLWK�WKH�VDPH�IXQFWLRQDO�characteristics.7KH�OHJLVODWLRQ�IXUWKHU�SURYLGHV�FDU�

companies with protections for their WUDGH�VHFUHWV��RQO\�UHTXLULQJ�WKHP�WR�PDNH�DYDLODEOH�WKH�VDPH�QRQSURSULHWDU\�diagnostic and repair information they provide their franchised dealers. The bill also DXWKRUL]HV�HQIRUFHPHQW�E\�WKH�)HGHUDO�7UDGH�Commission and civil actions by the states.

H.R.164, the Damaged Vehicle Information Act&RQJUHVVPDQ�&OLII�6WHDUQV��5�)OD��

&KDLUPDQ�RI�WKH�+RXVH�(QHUJ\�DQG�&RPPHUFH�&RPPLWWHH¶V�6XEFRPPLWWHH�RQ�2YHUVLJKW�DQG�,QYHVWLJDWLRQV��LQWURGXFHG�

+�5��RQ�-DQXDU\��7R�GDWH�the bill has no cosponsors. The bill was referred to the Committee on Energy and Commerce.7KH�ELOO�GLUHFWV�WKH�8�6��'HSDUWPHQW�RI�

7UDQVSRUWDWLRQ¶V�1DWLRQDO�+LJKZD\�7UDI¿F�6DIHW\�$GPLQLVWUDWLRQ�WR�LVVXH�D�UHJXODWLRQ�WR�UHTXLUH�JUHDWHU�GLVFORVXUH�RI�LQIRUPDWLRQ�UHODWLQJ�WR�WKH�PDUNHW�YDOXH�DQG�VDIHW\�RI�GDPDJHG�PRWRU�YHKLFOHV��6SHFL¿FDOO\��LW�UHTXLUHV�DOO�SHUVRQV�ZKR�WHUPLQDWH�D�FRQWUDFW�UHODWHG�WR�D�PRWRU�YHKLFOH�GXH�WR�ÀRRG�RU�ZDWHU�GDPDJH��FROOLVLRQ��¿UH�GDPDJH��WKHIW�DQG�UHFRYHU\��RU�DQ\�RWKHU�FLUFXPVWDQFH�WKDW�DGYHUVHO\�DIIHFWV�WKH�IDLU�PDUNHW�YDOXH�RI�VXFK�D�PRWRU�YHKLFOH�WR�GLVFORVH�WR�WKH�SXEOLF��LQ�D�FRPPHUFLDOO\�UHDVRQDEOH��HOHFWURQLFDOO\�DFFHVVLEOH�PDQQHU��WKH�IROORZLQJ��WKH�YHKLFOH�LGHQWL¿FDWLRQ�QXPEHU�RI�WKH�PRWRU�YHKLFOH��the date of termination of the contract; the odometer reading of the motor vehicle on the date of termination of the contract; ZKHWKHU��DV�D�UHVXOW�RI�WKH�LQFLGHQW�WKDW�UHVXOWHG�LQ�WHUPLQDWLRQ�RI�WKH�FRQWUDFW��RQH�or more airbags in the motor vehicle were GHSOR\HG��DQG�WKH�FDXVH�RI�WHUPLQDWLRQ�RI�WKH�FRQWUDFW��LQFOXGLQJ�ZKHWKHU�LW�ZDV�ÀRRG�RU�ZDWHU�GDPDJH��FROOLVLRQ��¿UH�GDPDJH��WKHIW�DQG�UHFRYHU\�RU�DQRWKHU�FDXVH�

The proposed legislation also states the SULYDWH�VHFWRU�ZLOO�EH�UHVSRQVLEOH�WR�FROOHFW��DJJUHJDWH�DQG�GLVFORVH�WR�WKH�SXEOLF�WKH�IDLU�PDUNHW�YDOXH�DQG�VDIHW\�LQIRUPDWLRQ�ZLWK�UHVSHFW�WR�WKH�GDPDJHG�YHKLFOH�DQG�DOO�VXFK�information shall be accessible by vehicle LGHQWL¿FDWLRQ�QXPEHU�,Q�-DQXDU\��WKH�1DWLRQDO�0RWRU�

9HKLFOH�7LWOH�,QIRUPDWLRQ�6\VWHP�ZDV�LPSOHPHQWHG��SURYLGLQJ�D�QDWLRQDO�GDWDEDVH�RI�YHKLFOHV�FRPSLOHG�IURP�VWDWH��VDOYDJH�DQG�LQVXUHU�UHSRUWLQJ��,W�UHTXLUHV�LQVXUDQFH�FRPSDQLHV�DQG�VDOYDJH�\DUGV�WR�report vehicles that are severely damaged RU�WRWDOHG��JLYLQJ�FRQVXPHUV�DFFHVV�WR�VXFK�LQIRUPDWLRQ�DV�RGRPHWHU�UHDGLQJV�and theft records. The implementation VWHPPHG�IURP�D��FRXUW�FDVH�LQ�ZKLFK�3XEOLF�&LWL]HQ�,QF��¿OHG�VXLW�WR�¿JKW�IRU�D�XVHG�FDU�GDWDEDVH�WKDW�ZDV�HVWDEOLVKHG�E\�&RQJUHVV�LQ��LQ�WKH�$QWL�&DU�7KHIW�$FW��+RZHYHU��WKH�8�6��'HSDUWPHQW�RI�-XVWLFH�KDG�QHYHU�PDGH�WKH�V\VWHP�DYDLODEOH�WR�WKH�SXEOLF��

BY FEDERAL ADVOCATES

NIADA Legislative ReportAPRIL 2012

OK_0712.indd 34 6/20/12 2:15 PM

OK_0712.indd 35 6/20/12 2:15 PM

OK_0712.indd 36 6/20/12 2:15 PM