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False Advertising Motor Vehicles

Ballard Spahr LLP

Vehicle Services Company CarShield Settles Complaint with FTC

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CarShield, a company that sells vehicle service contracts (VSCs), will pay $10 million to settle FTC allegations that its advertisements and telemarketing pitches deceived consumers, the agency announced on July 31....more

BakerHostetler

Industry Challenges Lead to Postponement of New FTC CARS Rule to Stop Car Dealership ‘Scams’

BakerHostetler on

A recent rule promulgated by the Federal Trade Commission (FTC) seeks to regulate possibly deceptive practices in automobile sales. Finalized in December, the Combating Auto Retail Scams (CARS) Rule looks to protect...more

Ballard Spahr LLP

FTC postpones effective date for CARS Rule in response to legal challenge

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On January 18, 2024, the Federal Trade Commission’s (“FTC”) announced that it is postponing the effective date of the Combating Auto Retail Scams Rule (“CARS Rule”) in light of the legal challenge from industry trade...more

Troutman Pepper

FTC and Connecticut AG File Suit Against Auto Dealer over Alleged “Junk Fees”

Troutman Pepper on

The Federal Trade Commission (FTC) and Connecticut Attorney General William Tong filed suit against auto dealer Manchester City Nissan (Manchester City), its owner, and several employees for allegedly deceiving consumers...more

Troutman Pepper

Rhode Island AG Settles with Dealerships over Allegedly Charging Fees Not Included in Advertised Prices

Troutman Pepper on

Rhode Island Attorney General Peter F. Neronha announced a total settlement of $557,815 with three car dealerships to resolve allegations that the dealerships...more

Spirit Legal

Palo Alto, we have a problem: German court says Tesla’s “Autopilot” is false advertising

Spirit Legal on

In its judgment of 14 July 2020 (case no. 33 O 14041/19), Munich’s regional court I (Landgericht München I) ruled that advertising claims made by Tesla in Germany amounted to misleading commercial practices under the...more

McGlinchey Stafford

FTC report highlights concerns with dealer advertising and add-on products

McGlinchey Stafford on

On July 30, 2020, the Federal Trade Commission (FTC) issued a Bureau of Consumer Protection Staff report titled Buckle Up: Navigating Auto Sales and Financing. The report includes findings from the FTC’s April 2017 study and...more

Faegre Drinker Biddle & Reath LLP

9th Circuit Restores and Clarifies Standards for Certification of Settlement Classes

The Ninth Circuit’s recent en banc decision in In re Hyundai and Kia Fuel Economy Litigation, — F.3d —, 2019 WL 2376831 (9th Cir. Jun. 6, 2019), restored some much-needed balance to the class action universe. The court...more

Sheppard Mullin Richter & Hampton LLP

Ninth Circuit Fuels More Efficient Nationwide Class Settlement

Reversing itself in a 7-4 en banc decision, the Ninth Circuit reinstated a $210 million settlement in multidistrict class action litigation over the advertised fuel efficiency of Hyundai and Kia vehicles, making approval of...more

Bradley Arant Boult Cummings LLP

The Impact of Disparate State Laws on Class Certification for Settlement Purposes: Ninth Circuit to Review Hyundai and Kia Fuel...

The Ninth Circuit has agreed to review a panel decision from the court which rejected a settlement in multidistrict litigation over the fuel efficiency of Hyundai Motor America Inc. and Kia Motors Corp. vehicles. The case and...more

Robins Kaplan LLP

Your Daily Dose of Financial News

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As we anticipated, the Fed held pat on rates yesterday, acknowledged rising inflation but betrayed little concern about it, and gave no signs of moving away from plans to next raise rates in June....more

Kramer Levin Naftalis & Frankel LLP

Advertising Litigation Report: Vol. 2, No. 2 - National Advertising Division (NAD) and National Advertising Review Board (NARB)

The Colgate-Palmolive Company (Tom’s of Maine “Naturally Dry” Antiperspirant), NARB Panel Report No. 215 (Jan. 25, 2017) - A National Advertising Review Board (NARB) panel determined that the National Advertising...more

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