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Many thanks to our 2016 Convention sponsors:

Diamond Sponsors
 


Platinum Sponsors
Ally Auto 
TD Bank



 

NYSADA / GIT Health & Wellness Survey
We are exploring value-added services to assist our members in better managing their health by providing preventative and wellness assistance for all NYSADA members. Together, the success of this proactive approach could make an impact to reduce healthcare costs. At the GIT we are focused on helping our members better utilize our plans in the most cost-efficient manner.

Please answer the survey here and return it by Friday May 6th to Jen Cole via fax 518-434-1757 or by email jenc@nysada.com so we can better understand how you are utilizing the current wellness benefits and provide your opinion for onsite biometric screenings for your employees.

Announcements
NYS Court of Appeals Decides Beck Case - Huge Win for Dealers

Today, the New York State Court of Appeals handed down a huge win for franchised dealers in the Beck v. GM case.

Many franchised motor vehicle dealers in New York struggle to achieve their respective manufacturers’ objectives regarding sales effectiveness. Today, the New York Court of Appeals agreed with the arguments made by these dealers and NYSADA for many years; that performance versus sales effectiveness is not enough to terminate, threaten to terminate, or take other actions adverse to the dealer.

While each manufacturer uses its own terminology to describe sales effectiveness, the underlying methodology is the same. Simply stated, each manufacturer calculates its statewide market share average and uses this calculation as the baseline for determining whether a dealer meets its sales objectives. The manufacturer deems the dealer sales effective if it’s sales equal one hundred percent of the sales necessary to achieve the manufacturer’s statewide market share in the dealer’s area of responsibility. While most manufacturers adjust the sales necessary to achieve sales effectiveness by segments (e.g. small cars, crossovers, trucks, etc) and some take into account a dealer’s pumpins and pump-outs, none consider local conditions that favor some brands of vehicles over others. The end result is some dealers appearing to underperform versus their peers in other markets in New York for reasons outside of their control. Manufacturers then use sales effectiveness to take adverse action against these dealers, including threatening termination or non-renewal of their franchise agreements, or requiring substantial investments in staff or their facilities.

According to the Court of Appeals, the Franchised Motor Vehicle Dealer Act makes it unlawful to “measure a dealer’s sales performance by a standard that fails to consider the desirability of the…brand itself as a measure of a dealer’s effort and sales ability.” If a manufacturer wishes to measure a dealer’s performance on “a comparison of statewide data for other dealers, then the comparison data must take into account the market-based challenges that affect dealer success.” It is not enough that all of the manufacturers use the same, or similar, statewide market share measurement. The Court of Appeals bluntly stated that a manufacturer cannot “rely on a standard that is unreasonably and unfair simply because of its prevalence within [the motor vehicle industry].”

Today’s decision is a major victory for franchised motor vehicle dealers throughout New York, which will have a far-reaching impact on the dealer/manufacturer business relationship.

NYSADA and GNYADA both wrote Amicus briefs in support of Beck Chevrolet in this matter. NADA contributed funds to help Beck Chevrolet with the litigation. Also, NYSADA/NADA’s Sales Effectiveness Study along with NYSADA’s Automotive Outlook, helped point out the flaws of using statewide averaging as a Sales Effectiveness Standard. These resources were extremely helpful to Beck Chevrolet in providing much needed statistical back up and support.

If you have any questions on this issue, please contact the Association at (518) 463-1148 and speak with Bob Vancavage (ext. 204) or Ed Richardson (ext. 210).
NYSADA News
10 Most Cited OSHA Dealer Violations* Included on Safety Group 430 Inspections
Created by NYSADA Staff in 5/2/2016 9:26:29 AM

The following are the 10 most cited violations based on auto dealer industry data collected nationa... Read More..


GIT Reimburses For Generics Thru Major Grocery Stores & Retail Chains
Created by NYSADA Staff in 5/2/2016 9:38:51 AM

In today’s competitive retail and grocery market worlds, they are doing their best to attract and k... Read More..


NYSADA to Host Statewide Compliance Seminars
Created by NYSADA Staff in 5/2/2016 9:50:02 AM

As part of our ongoing effort to keep you our dealer members informed of and compliant with the mos... Read More..


NYSADA Offers Great Hole-in-One Insurance Deal Through ACECO
Created by NYSADA Staff in 5/2/2016 10:02:29 AM

ACECO has been offering Hole-in-One Insurance since 1997. ACECO has been NYSADA’s partner for many ... Read More..


NYSADA Focusing on Vicarious Liability and Recall Bill for Stretch Run of Legislative Session
Created by NYSADA Staff in 5/2/2016 10:07:17 AM

The Legislature returns to Albany on May 3rd, which will begin a seven week sprint to the scheduled... Read More..


SPECIAL REPORT: TD Bank Economics Report
Created by NYSADA Staff in 5/2/2016 10:17:34 AM

Article provided by NYSADA partner TD Bank “A healthy domestic economy and favorable financing term... Read More..


The NYSADA Convention Countdown is on!
Created by NYSADA Staff in 5/2/2016 10:22:14 AM

Our Convention registration forms have only been out a few weeks and already rooms are going fast! ... Read More..


2015 Chairman Fox Recaps Year of Positive Changes at NADA on Behalf of Dealers
Created by NYSADA Staff in 5/2/2016 10:26:57 AM

LAS VEGAS - In his final address as 2015 chairman of the National Automobile Dealers Association, B... Read More..


NYSADA Team Competes at National Automotive Technology Competition
Created by NYSADA Staff in 5/2/2016 10:29:43 AM

Recently, the 2016 National Automotive Technology competition was held at the Javits Center in New ... Read More..


Advertising Agencies Should Indemnify Dealers
Created by NYSADA Staff in 5/2/2016 10:31:57 AM

One of the biggest single problems found by NYSADA when reviewing automotive advertising sent in by... Read More..


More

Fri, 06 May 2016 12:06:25 -0400

Toyota, after posting a 9.2 percent rise in China sales last month, is on course to meet its full-year sales target for the world's largest auto market, driven by lower retail inventories and a tax cut on small-engine cars.

Fri, 06 May 2016 05:01:00 -0400

German supplier Mann+Hummel said it closed on its acquisition of North Carolina-based Affinia Group's filtration operations. The deal was reportedly valued at $513 million.

Thu, 05 May 2016 22:35:01 -0400

Car-shopping website TrueCar posted a first-quarter loss of $11.7 million, up slightly from $11.6 million, as the company expanded its roster of dealers and had a hand in more transactions.

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