August 2013 by FIADA

SINCE 1940

August 2013

www.FIADA.com

A Publication of the Florida Independent Automobile Dealers Association

Information and Insight for Florida Used Car Dealers

Find out what it takes to have a social media strategy that really works. Top tips from FIADA Convention Speaker on Page 19.

FULTON, MO PERMIT NO. 38

PA I D PRST STD U.S. POSTAGE

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Dealer Independent

MAILING ADDRESS 1840 Fiddler Court Tallahassee, FL 32308 TELEPHONE (850) 385-2712 (800) 237-0448 FAX (850) 385-3251 WEBSITE www.FIADA.com EXECUTIVE COMMITTEE Christopher Leedom President Dino Mercurio Senior Vice President Brandi Noegel Chairman of the Board David Cox, CMD Secretary Paul Matton Treasurer Frank Fuzy Regional Vice President George Hickey Regional Vice President Steve Marbais, CMD Regional Vice President Jim Winterick, Sr. Regional Vice President Jim Winterick, Jr. Regional Vice President FIADA STAFF Lisette Mariner Executive Director Terry Myers Educational Instructor Sarah Langley Administrative Director Nicole Lee Development Administrator Amelia Tillman Administrative Assistant Christy Taylor Editorial/Advertising

POSTMASTER:

Send address changes to

FIADA • 1840 Fiddler Court Tallahassee, FL 32308 (850) 385-2712 • Toll Free: (800) 237-0448 Fax (850) 385-3251 • www.FIADA.com The Independent Dealer is a publication of: Florida Independent Automobile Dealers Association, 1840 Fiddler Court, Tallahassee, FL 32308 The magazine is published every month in Tallahassee and distributed to Florida new, used, wholesale and lease/retail car dealers. Advertising rates are available upon request. The statements and opinions expressed herein are those of the individual authors and do not necessarily represent the views of Independent Dealer or the Association. Likewise, the appearance of advertisers, or their identification as members of FIADA, does not constitute an endorsement of the products or services featured.

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Contents August 2013

For members of the Florida Independent Automobile Dealers Association

C O L U M N S & F E AT U R E S 4

President’s Message Christopher Leedom

Executive Director’s Message Lisette Mariner

July Car Blitz and Town Hall Session It was a fun and eventful weekend in Jacksonville

Membership News New, Renewing and Rejoining Members

States Regulate Payment Assurance Devices California legislation has paved the way for stricter disclosure requirements for payment assurance technology.

Join Us In Margaritaville! Make plans now to attend the premier event for Florida’s independent dealers. Get a head start by sending in your registration now.

How Do They Like You Now? Convention speaker Kathi Kruse lists what it takes to implement a productive social media strategy for your dealership.

Take Action on Your Goals Back to the G.A.M.E. plan, Convention Keynote speaker Fred Moore inspires you to take action.

Surfing Employee Social Media Sites There is etiquette for monitoring employee social media sites, and if you aren’t following it you could find yourself in legal trouble.

A Look At Current Legal Issues Attorney Tom Hudson runs through the list of recent court decisions that could affect you.

Industry News

August 2013 — Independent Dealer — 3

FROM THE PRESIDENT

Support the PAC! BY CHRISTOPHER LEEDOM, FIADA PRESIDENT

ne of the best things you can do to protect yourself as an independent dealer is get involved with legislative matters. Getting to know your local legislators, and other key members of the leadership, and supporting those who will help us is invaluable. At the Town Hall Meeting, Representative Daniel Davis, Chair of the Transportation & Highway Safety Subcommittee spoke to us about the importance of staying involved and how much he appreciated learning about the issues from dealers in his area. Our lobbyist Sandra Mortham followed by providing

easy tips to getting to know your legislator. You can check with the FIADA office to find out which legislators are supportive of our industry. Getting to know your legislator before they head to Tallahassee is key. The next legislative session will be here before we know it. I’ve made the commitment to support our PAC and I invite you to do the same. You can help by donating to the FIADA Political Action Committee today. It’s easy to make a monthly contribution or provide a lump sum contribution. Use the form below to make your contribution or visit www.FIADA.com and click on the legislative tab. Have a great month and see you at an FIADA event soon!

Support the FIADA PAC Fund! Your PAC Contribution helps spread awareness and gain support of issues affecting independent dealers in the state’s capitol. Contributor’s Name:_________________________________________________________________________ Dealership/Company:________________________________________________________________________ Street Address, City, State, Zip:____________________________________________________________________

Check q

$500

Credit Card (one time contribution) q q

$250

$100

$50

Monthly Credit Card Contribution (until cancel) q

$25

_________

Credit Card Information: Name on Card: Card number: Exp Date:

Sec. Code:

Billing Phone:

Billing Address Make your check payable to FIADA-PAC and mail to: FIADA • 1840 Fidler Court • Tallahassee, FL 32808 If making payment via credit card, you may fax your contribution form to 850.385.3251 4 — Independent Dealer — August 2013

www.fiada.com

We offer more than products. We offer solutions.

When you work with Protective you offer customers more than products; you offer solutions – solutions that allow people to embrace all today has to offer by protecting their tomorrow.

Protective provides F&I solutions that simplify the selling process with easy to understand products, advanced training and reliable customer care and claims service. We are committed to your profitability by serving the increasing number of car buyers that are unprotected from the costs of future mechanical expenses.

Like you, we believe in doing the right thing for the customer. Help your customers protect tomorrow and embrace today with F&I solutions from Protective Asset Protection.

Learn more at protectiveassetprotection.com/brand

PAID ADVERTISING

Protect Tomorrow. Embrace Today.™ Vehicle Service Contracts I GAP Coverage I Credit Insurance I Lifetime Engine Warranty Limited Warranty I Dealer Participation Programs I F&I Training I Advanced F&I Technology

Contact Protective’s Florida representative, Chris Behrens at 866 452 7335 A “National Corporate Partner” has met stringent NIADA criteria demonstrating that it can provide valuable products and services to NIADA members. No legal partnership has been created by the granting of this status, but NIADA does receive compensation from Protective. Lifetime Engine Warranty, Limited Warranty, Vehicle Service Contracts (VSCs) and GAP are backed by Lyndon Property Insurance Company in all states except NY. In NY, VSCs are backed by Old Republic Insurance Company. GAP, Lifetime Engine Warranty and Limited Warranty are not available in NY. Credit Insurance is backed by Protective Life Insurance Company in all states except NY, where it is backed by Protective Life and Annuity Insurance Company.

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August 2013 — Independent Dealer — 5

EXECUTIVE DIREC TOR’S MESSAGE

What You Don’t Know Can Cost You BY LISET TE MARINER, EXECUTIVE DIREC TOR

ne of our instructors, Terry Myers, always reminds his students: “What you know makes you money! What you don’t know costs you a fortune!” As FIADA members, you have some amazing discounts and benefits. It’s hard to put a dollar amount on the value of the your membership. How do you measure the amount of advice exchanged at our [free] Town Hall Meetings? How do you calculate the value of being able to pick up the phone and speak with an attorney about a situation at your dealership? FIADA Membership isn’t a “cost”—it’s an investment. What’s the difference? A cost is an equal exchange between money and a product. My lunch costs $7.00, and I’m not going to get that money back. An investment is something that is worth buying because it produces MORE value in the future. As a dealer, you make responsible investments all the time: • Investing in a fresh coat of paint increases the value of a car on your lot, • Investing in a new sign makes your dealership more visible from the road, • Investing in marketing materials results in more potential customers, • Investing in Dealer Management Software gives you more peace of mind, and • Investing in a coffee pot may even help your staff act be friendlier to customers… you get the idea! Each of those investments results in better business. There’s an initial cost up front, but the investment ends up paying for itself it in the long run. Your $325.00

FIADA Membership investment gives you so much in return: Knowledge Being knowledgeable about the changing laws and regulations is an important component of running a dealership. We’re always looking out for your best interests and advocating on your behalf in Tallahassee and Washington, D.C. because we want all of our dealers to be informed and compliant. Educating our FIADA members about new legislation that affects your business is a top priority – that’s why we offer free Continuing Education, e-newsletters, and monthly magazines to all of our members. Have a question? Members are encouraged to call FIADA to speak with an attorney, instructor, or knowledgeable staff member. Resources Looking for a Finance Floorplan company? What about a service contract, warranty, insurance provider, DMS, or attorney? Instead of searching the web for each of these services, FIADA has an easy-to-navigate online Dealer Service Provider Directory. Choose from over 80 categories in our pulldown menu: Accounting, Attorney, Auction, Bank, Collection Software, Compliance, Dealer Bond, GPS Service, Web Design, etc. FIADA Members also have access to online Dealer Training School Manuals, Red Flags Rule Templates, Safeguards Rule Information, and archived issues of our Independent Dealer magazines which are packed full of articles. Can’t find what you’re looking for? Just call our FIADA office and we’ll point you in the right direction. Coupons Each year, every FIADA member receives a coupon book with over $6,000 in discounts on Continued on Page 8.

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Y 28 DA T FLOA

SIMUL C AVAIL AST ABLE

check out our websites:

WWW.YOURAUCTIONTAMPABAY.COM 1-800-675-4444 WWW.YOURAUCTIONFTMYERS.COM 1-866-924-7070 WWW.YOURAUCTIONPASCO.COM 1-855-255-4111 WWW.YOURMOBILEAUCTION.COM 1-866-924-7070

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EXECUTIVE DIRECTOR continued from Page 6.

advertising, software, office supplies and other services. Want a free onehour consultation with a certified public accountant? What about a free website set up? FIADA members also receive major discounts in auction buy/sell fees in Tallahassee, St. Pete, Pensacola, Lakeland, Jacksonville, Fort Lauderdale, Daytona Beach, Orlando, and Gainesville. We update our coupon book every year, so if there’s a particular service you’re looking for, just ask! Training When it comes to running a dealership, you may know it all, but dealer laws and requirements are always changing. That’s why FIADA offers opportunities to share and learn from industry experts and other dealers at our FREE training and networking opportunities. FIADA hosts Quarterly Town Hall Meetings, Board of Directors Meetings, and Annual Conventions all over the state. Members also receive free state-required Continuing Education and discounted rates on Title & Registration classes. Have an idea for

a new class that FIADA should offer? Contact Nicole by email at Nicole@ FIADA.com. In addition to those Florida benefits, your FIADA Membership includes membership in the National Independent Automobile Dealers Association. NIADA offers even more nationwide discounts and services including: • Accounting Tools • Auction Technology Services • Business Management Services • Business Supply Services • Credit Card Services • Dealer Education • Financing Solutions • Franchise Opportunities • Fuel Cards • Hotel Savings • Insurance Products • Internet and Search Engine Applications • Parts and Service Discounts • Retirement Program • Sales Training

• Shipping Services Savings • Telecommunications Discounts • Uniform & Site Services • Vehicle History Reporting • Vehicle Pricing Guide Discounts • Vehicle Repair Diagnostic Services • Vehicle Title/Registrations • Wireless Services Sometimes we get into the habit of renewing our membership or investing in a particular product without really considering the value of that transaction. After you renew your FIADA membership this year, take a moment to review the benefits and see if there are opportunities that you are not taking advantage of to their full potential. If you know a Florida independent dealer who isn’t a FIADA member yet, invite them to join. Through our Members, Vendors, Partners program, you can receive $50.00 for every new member you sign up!

top fiada member benefits Membership in FIADA is an investment. Here are some of the top returns dealers receive when they join and/or renew: A coupon book with over $1,000 in discounts in auction buy/ sell fees and over $6000 in discounts on advertising, software, office supplies and other services.

FREE Online Continuing Education – 8 hours required every two years to renew your dealer’s license. Monthly Subscription to FIADA’s Independent Dealer Magazine.

FREE training and networking opportunities at FIADA’s Quarterly Town Hall Meetings and Board of Directors Meetings. Unlimited Access to FIADA’s Technical Assistance Line – Call 800.237.0448 with your regulatory, legislative and legal questions and receive assistance from FIADA’s General Counsel. Full-Time Lobbyist in Tallahassee and representation in Washington, D.C. looking out for your best interests.

Online Members’ Only Resources including the Dealer Training School Manual, Repossession Manual, Red Flags Rule Templates, Safeguards Rule Information, Archived Issues of Independent Dealer Magazine and more. Automatic Membership in the National Independent Automobile Dealers Association (NIADA) which includes a vast array of benefits too.

ACCESS ALL OF THESE BENEfITS AND MORE AT www.fiada.com 8 — Independent Dealer — August 2013

www.fiada.com

PEOPLE ARE NOT SCORES .

Experience the MarkOne Financial difference.

At MarkOne Financial there is more to approving a deal than just a number. In fact, credit scores aren’t even used in our programs. Our team of experts evaluate each deal on its own merit because ever y person has a unique life stor y. We work with our dealers and don’t lose sight of the value of an individual customer. Just one of many examples of how MarkOne does non- and sub-prime a little differently. Instead of rigid computer systems and credit scores, experience the full impact of our People Buying People ® philosophy. At MarkOne Financial, our only goal is to say, “If the deal makes sense, You’re Good to Go! ®”

You’re good to GO! PAID ADVERTISING www.fiada.com

MarkOne Financial is the Eastern United States subsidiar y of MarkOne Holdings.

June July 2013 — Independent Dealer — 9

Our Town Hall Session and Board Meeting in Jacksonville was a success, with great information shared with the dealers in attendance. We also blitzed the area over the weekend, recruiting new members

ike Samaan on Scott, M D f o m a te w The Car Blitz ais (back row) with ne rb a s. M le a e v S and Ste f Tony’s Auto o l a b Iq y n o member T

A welco ming ha nd of Capit ol Motor shake with Edu s in Jac ksonville ardo Medina . 10 — Independent Dealer — August 2013

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MEMBERSHIP NEWS

New Members American Classic Car Sales Sarasota, AL Douglas Page Atl Group LLC Miami Gardens, FL Igor Zhuravlev Sponsor: FIADA.com Capitol Motors Jacksonville, FL Eduardo Medina Sponsor: July Car Blitz Car-Ware Inc Mineral Springs, NC Lynn Dooney Sponsor: Jim Mitchell - CIADA Everyday Classic Cars Inc Hollywood, FL Clifford Glansen Sponsor: Kevin Scott Jackandsons, Enterprises, Inc Jacksonville, FL Wallace Mills Sponsor: Kevin Scott Jax Auto Wholesale, Inc. Jacksonville, FL Salim Jamil Sponsor: Frank Fuzy Job Motors Inc Highland City, FL Matthew Job Sponsor: FIADA.com Miami International Autos Miami, FL Edmundo Rosenberg Sponsor: Amelia Tillman (FIADA)

J U LY 2 0 1 3 Patriot Auto Sales Jacksonville, FL Tim Dees Sponsor: Frank Fuzy RFJ Enterprises LLC Monticello, FL Mohamed Juman Sponsor: Sarah Langley (FIADA) RPF Sales Jacksonville, FL Ralph Franklin Sponsor: Amelia Tillman (FIADA) Sam Auto Sales Miami, FL Shahab Kalam Sponsor: Kevin Scott Startz Auto Sales Fort Myers, FL Tanya Smith Sponsor: Dave McClamm Tampa Bay Auto Finance Tampa, FL Max Ganchev Sponsor: Lisette Mariner (FIADA) The Car Stop Tampa, FL Donnie Biedrzycki, Jr. Sponsor: NIADA Thrifty Car Sales Clearwater, FL Mike Kastrenakes Sponsor: Sarah Langley (FIADA) Tony’s Auto Sales of Jacksonville Jacksonville, FL Tony Iqbal Sponsor: July CarBlitz

Rejoining Members Apex Auto, Inc. Tony Rossi Apopka, FL Sponsor: Amelia Tillman (FIADA) Autowise Buying Service Dan Dhein Tallahassee, FL Sponsor: Amelia Tillman (FIADA)

Renewing Members 30+ Year Members Chuck Carlson Auto Sales, Inc. E.J.’s Auto World Mike Kashtan’s Superior A/S Richard Bell Auto Sales

J U LY 2 0 1 3 Pompano Beach, FL Panama City, FL Pinellas Park, FL Deland, FL

20+ Year Members Auto Brokers of Orlando Edison Bridge Auto Sales Lash Auto Sales

Orlando, FL Fort Myers, FL Lakeland, FL

10+ Year Members Cox Motors, L.L.C. Gulfstream Motor Credit Co. J & J Auto Sales Splish Splash Auto Sales, Inc. The Car Cabana of Melbourne World Imports USA, Inc.

Lakeland, FL Miami, FL Ft. Pierce, FL Princeton, FL Rockledge, FL Jacksonville, FL

Under 10 Year Members Auto Express Enterprises, Inc. CarBuyCo Cars Unlimited Classic Cars of Florida, LLC Coastline Motor Company Dealer Funding, LLC Direct Auto Exchange, LLC FirstSun Financial, Inc. Francis Motor Sports, Inc. G & D Auto Sales Corporation High Tech Locksmiths Hometown Auto Mart, Inc. Killgore, Pearlman, Stamp, Ornstein & Squires, P.A Knighton’s Auto Brokers LLC Liberty Financing, Inc. McKinna Auto Sales MJC Classic Cars LLC PassTime Port Motors Incorporated Value First Auto Sales, LLC Woodall Auto Wholesale, Inc.

Orlando, FL Charlotte, NC Tampa, FL Fort Myers, FL Shalimar, FL Atlanta, GA Tallahassee, FL Jacksonville, FL Fort Myers, FL Tampa, FL Miami, FL Dunnellon, FL Orlando, FL West Palm Beach, FL Hollywood, FL Brunswick, GA Lakeland, FL Littleton, CO West Palm Beach, FL Saint Petersburg, FL Ocoee, FL

J U LY 2 0 1 3

Florida Auto Exchange & Remarketing LLC. Kevin Medeiros Tampa, FL Sponsor: Lisette Mariner (FIADA) Haims Motors Inc Oded Haims Hollywood, FL Sponsor: Sarah Langley (FIADA)

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Hual’s Bikes to Custom Trikes Denise Hual Cantonment, FL Sponsor: Amelia Tillman (FIADA)

Wheeler Cycles Robert Rhodes Fruitland Park, FL Sponsor: Amelia Tillman (FIADA)

Lee Co Funding, Inc. Pete Soom Fort Myers, FL Sponsor: Nicole Lee (FIADA)

Wing Motors Automobile Corp Juan Srur Miami, FL Sponsor: Amelia Tillman (FIADA) www.fiada.com

PAID ADVERTISING

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July 2013 — Independent Dealer — 13

COMPLIANCE ISSUES

than 24 hours after the vehicle’s initial disablement.

States Regulate Payment Assurance Devices

While the new law imposes requirements on dealers, it could have been much worse. As originally introduced, the bill would have completely banned the use of starter interrupt and GPS tracking technology in vehicle financing. What followed the bill’s introduction, however, is an example of the type of result the industry is capable of if it keeps abreast of proposed legislation, actively engages legislators about concerns with legislation, and works with interested parties in creating a law that provides the desired consumer protection in a context that is fair and workable to the industry.

As California passes legislation putting disclosure restrictions on payment assurance technology, other states begin to follow. Could Florida be next? By Daniel J. Laudicina, Hudson Cook, LLP

ayment assurance devices, in the form of GPS and so-called “starter interrupt” devices, are not new to our industry. Dealers and other creditors have been relying on payment assurance technology to reduce risk, bolster sales, and assist in asset recovery for the better part of the last decade. And, with only a handful of exceptions, states have avoided direct regulation of the devices, choosing instead to regulate their use through existing laws (including right to cure, privacy, and unfair and deceptive acts and practices laws). However, there has been an increased focus on consumer financial regulation in response to the financial crisis of 2008, a crisis that was largely blamed on ineffective government oversight of consumer credit transactions (primarily in the mortgage market). That increased focus resulted in the creation of a federal watchdog – the Consumer Financial Protection Bureau – and a sharper focus by state legislatures on consumer credit financial regulation and practices those legislatures believe are ripe for abusive or unfair practices. Recently, that attention has turned to the payment assurance technology industry. For instance, on September 29, 2012, California Governor Jerry Brown signed into law AB 1447. The California law, effective on January 1, 2013, was designed to provide 14 — Independent Dealer — August 2013

new industry standards in response to several articles published in the Los Angeles Times alleging bad practices by buy-here, pay-here dealers. With respect to payment assurance technology, the bill prohibits a BHPH dealer from, after the sale of the vehicle, tracking the vehicle using electronic tracking devices and disabling the vehicle with starter interrupt technology unless the dealer satisfies certain disclosure requirements. Specifically, the law provides that a dealer may not disable a vehicle by using starter interrupt technology unless: (A) the dealer notifies the buyer in writing at the time of the sale that the vehicle is equipped with starter interrupt technology, which the BHPH dealer can use to shut down the vehicle remotely; (B) the written disclosure provided to the buyer at the time of the sale informs the buyer that a warning will be provided no less than 48 hours before the use of the starter interrupt technology to shut down the vehicle remotely and discloses the manner and method in which that warning will occur. The dealer must offer the buyer a choice of warning methods, including warning from the device, telephone call, email, or text message, if available, provided that the warning method does not violate applicable state or federal law; and (C) in the event of an emergency, the buyer will be provided with the ability to start a dealer-disabled vehicle for no less

Many industry members, including member companies of the Payment Assurance Technology Association, voiced objections over provisions in the original bill and engaged in a strong effort to push the bill toward a version that, if adopted, would not outlaw the devices. Some members of PATA, for instance, joined together and provided the necessary funding to engage a California lobbying firm to represent PATA’s interests in the legislation. The bill that was ultimately enacted largely represented agreements among many interested parties, including the bill’s author, PATA, the American Civil Liberties Union, the Electronic Frontier Foundation, the Privacy Rights Clearinghouse, and Consumers for Automobile Reliability. (The ACLU, EFF, and PRC all had concerns about privacy as it relates to the use of the tracking technology.) Thus, while the California bill creates new obligations on dealers and creditors who use payment assurance technology, the industry scored a victory by working with those who initially proposed to ban the technology to reach a compromise that was acceptable to those involved in the process. www.fiada.com

In any event, we can expect other states to follow California’s lead in regulating payment assurance devices. In fact, two states introduced bills in the current legislative session. Virginia House Bill 1981, signed by the governor on March 16, 2013, generally

prohibits any person from installing or placing, or causing to be installed or placed, an electronic tracking device in a vehicle “through intentionally deceptive means and without consent” and using the device to track the vehicle’s location. This bill will require full disclo-sure to the consumer and his or her agreement to installation and use of a payment assurance device in order to avoid claims of deceit.

We expect that other states will begin to more directly regulate payment assurance technology in the coming years. Dealers and creditors can go a long way in preparing themselves for state regulation by providing written disclosures and obtaining agreements from consumers regarding installation and use of the devices – a “best practice” already in widespread use in the industry.

Similarly, Illinois HB 1199 provides that a person or entity may not use an electronic tracking device to determine the location or movement of a person but exempts situations where the registered owner, lessor, or lessee of a vehicle has consented to the use of the electronic tracking device. Again, dealers or creditors can insulate themselves from liability by making full disclosure and obtaining consumers’ agreements to use of the devices and tracking technology.

However, those who provide and use payment assurance technology will need to be flexible in order to respond to unique state laws, such as the California law requiring a warning prior to disabling a vehicle’s starter. But, ultimately, perhaps the best lesson to come from the recent California legislation is that the industry has a strong voice in the legislative process and can, with the proper diligence and effort, affect the way states regulate its business.

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Notably, HB 1447 was not the only California legislation that would have regulated BHPH dealers. At the same time he signed AB 1447, Governor Brown vetoed SB 956. In his veto message, the governor stated that he had already signed two BHPH consumer protection bills that session, and “[i] f consumers need added protection once those bills are implemented, [his] administration will work with the Legislature to find appropriate, measured solutions.” Accordingly, it appears that California lawmakers remain open to additional regulation of BHPH dealers and, perhaps, the payment assurance industry.

REGISTRATION is now open for the 2013 event! Platinum gold bronze

16 — Independent Dealer — August 2013

Use the registration form on page 18 or go online to WWW.FIADA.COM and click on Events.

Florida Dealers!

Our First-Class Trade Show features vendors like: Adesa Auto Auctions • ARA GPS • Auction123.com Auto Data Direct, Inc. • AutoStar Solutions Automotive Capital Resources • AutoRaptor CRM AutoTrader.com • Carmax • Dealer Funding eBay Motors • GM OnStar • GoldStar GPS GWC Warranty • Manheim Auto Auctions Mark-One Financial • Sensible Auto Lending Tax Refund Services • Title Technologies United Acceptance • Wayne Reaves Software

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ur Get Yo RS of

Thursday, October 17, 2013 6:30-9:30pm

Welcome Reception

Friday, October 18, 2013 9-10:15am

Opening Keynote: Beyond Good Enough, Fred Moore 10-10:15am Coffee Break and Book Signing 10:15-10:45am Member Meeting/Elections 1 0:45-11:45am Legislative Keynote: Sen. Jeff Brandes and House/Senate Leadership (invited) 12-1:15pm Networking Lunch 1:15-2:15pm Choose Your Workshop: Financial Workshop Jorge Martinez, Martinez & Associates Lease Here Pay Here 101 Chris Leedom, Leedom Group 2:30-3:30pm Choose Your Workshop: Sales Training Workshop Paul Webb

Buy Here Pay Here Training David Brotherton, Leedom Group 3:45-5pm Legal Panel Robert Sickles, Hinshaw & Culbertson, LLP Lewis Kuhl, Kurkin, Forehand, Brandes, LLP Bill Denius, Killgore, Pearlman, Stamp, Ornstein & Squires P.A. Dennis LeVine, Dennis LeVine & Associates, P.A.

8 HOU ING NU CONTI N (CE) TIO EDUCA edit! 6-9pm 9pm-midnight

Exhibit Hall Opening/ Dinner with Exhibitors Hospitality Suite, sponsored by Williams & Stazzone

Saturday, October 19, 2013 8am-2:30pm 8-9:30am 9:30-10:30am

Exhibit Hall/Registration Desk Open Breakfast with Exhibitors Choose Your Workshop:

Legal Workshop Rob Sickles, Hinshaw & Culbertson, LLP Solutions to More Profitability Joe Lescota, NIADA Director of Dealer Development 10:45-11:45am Choose Your Workshop: Tips to Curb Costs when Reconditioning a Vehicle Panel

Affordable Care Act Panel 12-2:30pm Lunch with Exhibitors and Exhibitor Giveaways 2:30-3:30pm Choose Your Workshop: How to Successfully Market your Dealership on Social Media Kathi Kruse

How to Reach the Hispanic Market, Mauricio Espinosa 3:45-5pm Division of Motorist Services Update 6:30-9pm Awards Banquet Gala with entertainment by The Land Sharks

HOTEL ACCOMMODATIONS:

Disney’s Coronado Springs Resort

Room Rate is $139 per night/plus tax. Reservations must be made by 9/17/13 to receive group rate. Space is limited. Call (407) 939-4686 to book your room.

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July 2013 — Independent Dealer — 17

2013 FIADA ANNUAL CONVENTION REGISTRATION FORM COMPANY INFORMATION Company:_____________________________________________________________________________________________________ Address:__________________________________________________ City, State, Zip:_______________________________________ Phone:____________________________________________________ Fax:_______________________________________________ E-mail:___________________________________________________ Website:____________________________________________

REGISTRATION INFORMATION FULL ACCESS PASS

EARLY BIRD (through 8/31/13)

Includes all Meal Functions, Seminars and Exhibit Hall Access and is eligible for Continuing Education Credit. Discounted passes are available for additional full access registrations.

MEMBER

[

REGULAR (9/1/13 - 10/11/13)

NON-MEMBER

] $249 [

] $299

ON-SITE (10/12/13 - 10/20/13)

MEMBER NON-MEMBER

[

] $299 [

MEMBER NON-MEMBER

] $349

[

] $349 [

] $399

EDUCATION PASS Includes all Seminars, Exhibit Hall Access and is eligible for Continuing Education Credit. **Does Not Include Meal Functions**

MEMBER

MEMBER NON-MEMBER

NON-MEMBER

MEMBER NON-MEMBER

[

] $99 [

] $124

[

] $124 [

] $149

[

] $149 [

] $175

[

] $99 [

] $124

[

] $124 [

] $149

[

] $149 [

] $175

Additional Full-Access Options: SPOUSE FULL ACCESS PASS

ADDITIONAL FULL ACCESS PASSES

This pass is only available with a Full Access Registration purchase. Includes all Meal Functions, Seminars and Exhibit Hall Access and is eligible for Continuing Education Credit

Includes all Meal Functions, Seminars and Exhibit Hall Access and is eligible for Continuing Education Credit.

[ CHILDREN Includes all Meal Functions and Exhibit Hall Access

12 & UNDER

] $100

[

] $195

13-17

[

] $195

[

] FREE [

] $100

[

] $195

[

] FREE [

] $100

[

] $195

For Children 18 and over who wish to attend all events, please purchase an additional full access pass. Individual meal tickets are also available for purchase.

TOTAL:

PAYMENT METHOD [

] I have enclosed a check made payable to FIADA

[

] I will be using a credit card

Name (as it appears on card):_______________________________________ Company:_______________________________________ Credit Card Billing Address:________________________________________________________________________________________ Credit Card Number:_____________________________________________ Exp Date:_______________________________________ Authorized Signature:_________________________________________________________________ CC Security Code:_____________ CANCELLATION POLICY: If cancellations are received in writing before 5pm on Tuesday, September 17, 2013, we will refund your registration fee. If cancellation is received between 9/18/13 and 9/30/13, we will refund your registration fee less a $25 processing fee. Fees cannot be refunded for registrations cancelled after 10/1/13 or for no-shows. Photo/Video Release: By registering for the 2013 FIADA Annual Convention, I hereby grant permission to use any and all photographic imagery and video footage taken of me at this event and activities pertaining to this event, without payment or any other consideration. I understand that such materials may be published electronically or in print, or used in presentations or exhibitions.

HOTEL INFORMATION: Disney’s Coronado Springs Resort. Hotel stay is separate from convention registration. Reservations must be made BEFORE SEPTEMBER 17, 2013 to qualify for group discount of $139 per night (plus tax) For reservations call (407) 939-4686. Mail/Fax/ONLINE registration: FIADA, 1840 Fiddler Court, Tallahassee, FL 32308 FAX 850.385.3251 www.FIADA.com 18 — Independent Dealer — August 2013

www.fiada.com

CONVENTION KEYNOTE

Do you have what it takes to implement the best social media strategy? by KATHI KRUSE

ow prolific are you when it comes to knowing the best route to take for your business’ Social Media marketing? Sadly, I see many dealerships and other businesses floundering or totally missing the mark with their Social Media. What you’re about to read will help you decipher if you have what it takes to flourish and if you find that you don’t, what you can do about it. I’m inspired to write this because I keep getting messages from dealership employees that say, “The boss asked me to take over the Facebook page and I don’t know where to start.” I’ve had a run of those emails lately and frankly, I get surprised by every single one. This case of the blind leading the blind has to stop. Would you put a greenpea salesperson on the floor without any training? Would you let an apprentice replace the master cylinder in your customer’s vehicle? Then why would you leave your store’s marketing

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message and sales funnel to just anyone or some outside company to do it for you?

your business – before, during and after the sale. You need to be there ready to engage.

Three things I know for sure:

The most effective route to take with automotive dealership Social Media is to designate a dedicated Social Media manager and provide training to support their success. Just this week a gal reached out to me who has four dealerships’ Social Media to manage. She said, “I just can’t dedicate the time it takes to do all the research and post everyday.” She believes that and there is a solution. With expert guidance, once you’ve got a solid marketing strategy in place, you do actually have the time it takes. It’s about working smarter not harder.

1. What you don’t know about Social Media causes damage to your brand and costs you sales. 2. Letting someone outside your company post irrelevant content for you causes damage to your brand and costs you sales. 3. Appointing a marketing novice who’s only claim to fame on Facebook is they know how to talk to their friends causes damage to your brand and costs you sales. Are you seeing the pattern here? There is no time anymore for limping along on Social Media. It’s where customers go to talk about their intended purchases and their experience with

She needs someone to show her where the rocks are so she can walk on water with the boss. However, from the boss’ point of view, she’s still doing her job and the store is still selling cars so, Continued on Page 20. August 2013 — Independent Dealer — 19

SOCIAL MEDIA STRATEGY continued from Page 19.

why would he make a move and spend money? This is the biggest challenge I have as someone who wants dealers to succeed in Social Media. Social Media has moved into its own powerhouse for leads and sales. If you’ve got a novice handling your marketing then you’ll get novice results. If you have a well-trained Community Manager who knows her way around the marketing aspect (ie: campaigns) and also facilitates content creation through customer and employee interaction, then you’ll see outstanding results. Yes, it takes a defined budget to generate leads and sales on Social Media.

It’s not free, only the real estate is. Social Media is a platform just like TV, radio, billboards and print and you have budget and best practices for those mediums down pat. The more you know about Social Media the more you see the expertise, time, effort and budget it takes to succeed. So tell me, do you have what it takes? Join me at the FIADA Annual Convention on October 19th and we’ll answer that question. We’ll also give you specific strategies to take back to your dealership and implement immediately.

The Social Media Checklist Here’s what it takes now to succeed today on Social Media. How many of these do you have in place?:

Marketing expertise to set clear goals and objectives. Great design aesthetics. Solid content strategy (what you’re going to post on your profiles). Promotion strategy (how you’re going to continually increase your fan base). Engagement strategy (how you’ll respond to fans and build community). Conversion strategy (how you’ll turn your fans into customers). Track and measure to tie results back to objectives (ROI) A budget to do all this correctly.

20 — Independent Dealer — August 2013

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CONVENTION KEYNOTE

Take Action on Your Goals Back to the G.A.M.E. Plan; it’s time to move into action. by fRED MOORE

re you a goal setting type of person or are you one of those people that sit around “wishing” something would happen?” Being a business owner and operator, my guess is you are a “doer” and not a “wisher”. After all in order for you to get where you are right now you’ve had to set some pretty big goals and take some huge steps to make them happen. I know that it took a lot of work, effort, blood, sweat & tears, but all the worthwhile goals usually do! If it was easy then everybody would be doing it right? My goal is to help you get what you want out of your business and live a little easier than before. We started things in the previous issue and we’ll continue on this month and next. All leading up to the Keynote presentation at the FIADA convention & expo delivered by yours truly! In last month’s article we discussed the importance of a clearly defined, deadline specific goal. Its part of what I like to call a G.A.M.E. plan, an acronym for: Goal, Action, Motivation & Evaluation. Whenever you have a task you want done, an objective, a quota or outcome in mind, using the G.A.M.E. plan will help you get there a lot quicker. Since we’ve already covered the Goal part (if you haven’t read last month’s article, go dig it up, I’ll wait…) let’s get started on the next step in the plan: Action! It’s not enough to have a goal statement like: “As of December 31 I

22 22 — — Independent Independent Dealer Dealer —August — August2013 2013

have increased sales by 30% and am now rolling in the dough.” That’s a great first step and it’s usually where most people stop. They set the goal; they write it down and are really excited about it! But they don’t do anything about it, they don’t take action. They don’t start working towards this goal they’ve set, they forget about it and move on with their lives. Sure maybe from time to time they revisit this goal and think “oh yeah, I forgot about this.” They have every good intention to get back to it or even start on it but they don’t. There are two main reasons why this happens; they don’t know what to do to start on this goal and they haven’t really committed themselves to the goal. Let’s tackle the first one; they don’t know what to do and because they haven’t a clue where to start…they never take action. That’s usually the case when people state their goal like “I want to increase sales,” but you’re different. You have a very specific goal in mind and you know exactly when it’s going to be completed…you’ve set a deadline. A great way to figure out what steps to take to complete your goal is to start brainstorming. Sit down with a piece of paper and pen and start making a list of 50 ways to accomplish your goal and don’t stop until you’ve got at least 50 ways. Why 50 ways you ask? You can probably easily come up with 10 or 20 ways to increase sales, to gain new

customers or to reduce the cost of reconditioning your inventory for sale. But when you set a target of 50 ways you’ll start to think outside of the box. You’ll come up with ideas you never thought of before, crazy ideas, weird ideas and probably some innovative ideas. Not all of these ideas will be gold, some of them won’t work at all and others will have a huge impact on your goal. Plus you’ll get more specific with the ideas, you have to come up with 50, and you’ll know exactly what it is you need to do. Instead of “advertise more” to gain new customers you’ll really define it like; advertise on TV during primetime, start a Google ad words campaign or create a commercial with hot girls in it sitting on a sports car. (remember, they’re not all gold!). By pushing yourself to come up with at least 50 ways to complete your goal you have now created an action list of things to do, ways to get your goal and get the result that you want. Put the list aside for a day or two and come back to it to review. Get rid of the ideas that just don’t make sense or don’t fit with your goal. Then look at what’s left, hopefully you’ll have a good list of ideas that you can implement right away. Prioritize these actions in two different ways; first figure out which ones will give you best “bang” for your buck, which ones will give you the biggest return on investment. Which ones will give you the least amount, the ones that won’t yield much of a result yet still may be worth pursuing? Of course the rest will all fall within the middle ground of effectiveness. Next prioritize these actions steps by how hard and how easy they are to do. Which ones can you get started on right away and which ones will take a little more effort to get going? This is great for those busy days when you’ve www.fiada.com

got tons of customers all begging to buy a car (wish those were everyday!) and yet you still want to get some work done on your goals. Just pick out an easy action step to do and get it done!

because they’re not really committed to them. It sounds crazy doesn’t it, why wouldn’t they be committed to this goal? They’re the ones who set the goal!

Now you will combine the two prioritized lists and see where and when you can schedule a time to implement these steps into your busy schedule. I like to take Sunday evenings to do this; I’ll look at my coming week with what I have scheduled and find out where I can utilize these steps.

Maybe the goal is a good idea, but it’s not going to be fun getting it accomplished. It’s like going to the dentist; we know it’ll be good for us, but we really, really hate to go! Perhaps this goal is not your goal in the first place, but a goal that’s been handed down to you from the powers that be…your boss or spouse (this is so true when you’re giving your sales staff a quota to meet). That’s why you’re not really committed to it in the first place; it wasn’t even your idea!

Think about it, with this list you now don’t have any excuses for why you’re not getting your goals completed. There’s no more “I don’t know what to do” because you’ve got a whole list of things to do! The second reason people don’t take any action towards their goals is

It’s helpful to discover what the purpose of this goal is and it’s usually not what you think. A sales goals purpose is not to make more money

(what!)—that is only a result. The true purpose of the sales goal is to obtain the feelings a person gets when they have more money. The feeling of security, of being able to provide for your family, of having the things that you want and to be able to do the things you want to do (fishing, traveling, dub-stepping). You want to be able to afford the luxuries in life like food & mortgage payments! Once you find out the true purpose of your goal then you can determine how to commit to it until you get what you want…the completion of the goal! When you reach that sales goal you know you will be able to pay off your debts, buy that new 143 inch flat-screen and finally not be yelled at by the “powers that be.” Find out what is in it for you to complete this goal and why you will Continued on Page 25

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August 2013 — Independent Dealer — 23

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TAKE ACTION continued from Page 23.

be totally committed to seeing it completed. Then take some actions towards your goals, get some momentum going and keep pushing yourself until you get the results that you want. Next month’s article we’ll be covering the last two steps in the G.A.M.E. plan and finding out why most people never do get what they want with their goals. Fred Moore is a speaker, entertainer and author who has traveled the world sharing his message in over 30 countries. He’ll be presenting his Keynote presentation “Beyond Good Enough: Taking your business to the next level” at the upcoming FIADA convention & expo in October. To find out more about Fred go to: www. MooreFred.com.

DHSMV Will Send Out Garage Liability Reminders Most Garage Liability Insurance Policies do not cover the same period as the dealer’s licensing period. To make sure these dealers maintain the required coverage during their licensing period, the Department is lending a hand. They are sending reminder notices to dealers 30 days prior to expiration of their policy that their GLI is about to expire. If Dealers do not comply timely, a request will be forwarded to the Department’s General Counsel for further action against their license for failure to maintain required GLI coverage. The Department encourages dealers to ensure their garage liability insurance policies remain current to protect the status of their dealer’s license thus avoiding any halts in their business in the State of Florida.

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August 2013 — Independent Dealer — 25

HR CORNER

Surfing Employee Social Media Sites Understanding what is acceptable, and what’s not, when it comes to monitoring employee social media pages. by Eileen Hess, PHR

he use of social media sites is a largely utilized media for individuals to stay in touch with family, friends, and to network with a vast number of individuals and companies. It is not unusual to see pictures of pets, family members, parties, or personal comments ranging from everyday life, marriages and divorces, to world events. Many employers are well aware of the type of information they may find

by browsing personal social media sites. Most even have their own sites, both personal and professional, with similar content. In recent years, some employers are requesting/requiring employees and applicants to provide the names of their social media sites, user names, and passwords in order to view the content of the sites. I imagine the

thought behind this process is to gain added knowledge of character traits or hidden weaknesses, maybe even espionage! Not surprisingly, this practice has been met with mounting criticism and strong legislative reaction. “What you don’t know can’t hurt you” could be the mantra of employer’s quest for greater knowledge via the web. Accessing private employee accounts or accessing public employee accounts may offer more information than an employer bargained for, such as age, race, religion, national origin, marital status, disability, genetic information, or other protected characteristics and information. There is no way to block this information from appearing during a search; you cannot un-see it! There are a multitude of areas in employment relations where having knowledge of this information could be called into question. Was the basis for making a hiring decision related to any of the protected information? What about employee advancements, disciplinary measures, layoffs, pay increases or terminations? Many states have already passed acts limiting employer’s access to social media sites. According to the National Conference of State Legislatures, six states — California, Delaware, Illinois, Maryland, Michigan and New Jersey — enacted legislation in 2012 that prohibits requesting or requiring an employee, student or applicant to disclose a user name or password for a personal social media account. California, Illinois, Maryland, and Michigan laws apply to employers. California, Delaware, Michigan and New Jersey

26 — Independent Dealer — August 2013

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have laws that apply to academic institutions. In all, fourteen states introduced legislation in 2012 that would restrict employers from requesting access to social networking usernames and passwords of applicants, students or employees. When is too much information a liability to the employer and a threat to private communications of the employee? Before too long it may be a matter of law instead of employer discretion. In addition to the many states jumping on this particular bandwagon and passing applicable legislation, federal legislative efforts have sponsored the Social Networking Online Protection Act.

Before freely pursuing this line of questioning, check with your HR manager or employment attorney to ensure you are not in violation and surfing in dangerous waters.

Eileen carries out the role of Human Resources Manager for Landrum Professional Employer Services in Pensacola Florida, serving clients in multiple states. Eileen has over 20 years of human resources experience in the corporate, healthcare, and manufacturing environments, and certified as a Professional in Human Resources (PHR) through the Human Resource Certification Institute and the Society for Human Resource Management. www.fiada.com

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LEGAL ROUND-UP

A Look At Current Legal Issues BY Thomas B. Hudson and Nicole Frush Munro, Hudson Cook, LLC

A monthly collection of selected legislative and regulatory highlights, and a recap of some of the many auto sale and financing lawsuits followed each month. Federal Law Bureau Moves to Protect Servicemembers. The Consumer Financial Protection Bureau announced that it has obtained an order against U.S. Bank and its nonbank partner, Dealers’ Financial Services, resolving allegations that the companies failed to properly disclose allotment fees charged to participants in the Military Installment Loan and Education Services (MILES) program, as well as the timing of the allotment payments. The companies also allegedly misrepresented to servicemembers the cost and material terms of add-on products financed along with vehicle purchases. Under the order, U.S. Bank and DFS have agreed to: stop deceptive practices in connection with the MILES program or similar programs; pay about $6.5 million in restitution to servicemembers; provide refunds or credits to affected servicemembers without any further action on their part; modify the MILES program so that servicemembers are not required to use allotments in order to participate; improve disclosures regarding add-on products; and submit a redress plan that must be approved by the Bureau and provide reports to the Bureau to demonstrate compliance with the order. Stalking “Nonbanks. The CFPB has issued a final rule establishing procedures to bring under its supervisory authority certain “nonbanks” when the CFPB has reasonable cause to determine that a nonbank is engaging, or has engaged, in conduct that poses risks to consumers with respect to the offering or provision of consumer financial products or services. Nonbanks subject to the rule are entities that offer or provide consumer financial protection products or services but do not have a bank, thrift, or credit union charter. According to the CFPB’s release, it must base such reasonable cause on complaints it collected or on information from other sources, such as judicial opinions and administrative decisions. Are You Behaving Nicely? The Bureau has issued a bulletin informing entities subject to its enforcement authority about the types of activities that constitute “responsible conduct” in enforcement investigations. The CFPB noted that it considers many factors when exercising its enforcement discretion, and this bulletin provides guidance about the activities businesses can engage in that the CFPB may favorably consider in exercising such discretion. Specifically, the CFPB noted that “a party may proactively self-police for potential violations, 28 — Independent Dealer — August 2013

promptly self-report to the Bureau when it identifies potential violations, quickly and completely remediate the harm resulting from violations, and affirmatively cooperate with any Bureau investigation above and beyond what is required.” If the party engages in this type of “responsible conduct,” the CFPB will take that activity into account when conducting its enforcement investigation. Beginning to Define “Abusive.” On May 30, the CFPB filed its first action enforcing the Dodd-Frank Act’s prohibition on abusive acts or practices in connection with the provision of consumer financial products or services. The CFPB filed a complaint against a Florida-based company, American Debt Settlement Solutions, Inc., alleging that the company violated the FTC’s Telemarketing Sales Rule and the DoddFrank Act by charging illegal up-front fees and making misrepresentations to consumers about its debt relief services. Specifically, the complaint alleged that the debt relief company: misled consumers by falsely promising them it would begin to settle their debts within three to six months when, in reality, services rarely materialized; enrolled consumers despite knowing that their income level made it highly unlikely that they could complete the debt relief programs; collected up-front enrollment fees from consumers who the company knew could not afford the monthly payments required by the debt relief programs; and failed to settle the consumers’ debts within the promised time frame. Waving the Flag, Again. On June 12, the Federal Trade Commission issued revised guidance on its Red Flags Rule, which requires financial institutions and certain other businesses to have a written identity theft prevention program. The guidance outlines which businesses are covered by the rule, provides frequently asked questions, and includes a detailed 4-step process on how to comply with the rule. LITIGATION Arbitration Provision Not Signed by Dealer Is Enforceable: Individuals entered into a contract to buy a 2008 GMC from a dealership via the Internet. The contract provided that the buyers bought the GMC “as is,” along with the rest of the limited factory warranty, and that the contract was not binding unless signed by the seller’s officer or manager. The buyers signed the contract, but the seller did not. The contract contained an arbitration agreement. The buyers had www.fiada.com

significant problems with the vehicle and were unsuccessful in getting it repaired. They sued, and the defendants moved to compel arbitration. The buyers argued, among other things, that the arbitration agreement was not enforceable because the contract had not been signed by the seller’s officer or manager. The trial court denied the request for arbitration on the grounds that the contract lacked mutuality because the dealership failed to sign it. The defendants appealed. The Court of Appeals of Arkansas reversed, finding that the seller’s signature was not needed to establish mutuality since assent was otherwise established by the buyers’ acceptance of benefits under the contract and partial performance of the contract. See Asbury Automotive Group, Inc. v. Floyd, 2013 Ark. App. LEXIS 359 (Ark. App. May 22, 2013). Creditor Required to Send Notice of Disposition but Need Not Prove Notice Was Received: A finance company sued car buyers for a deficiency judgment on amounts due under a retail installment contract. The trial court entered judgment for the buyers, finding that a deficiency judgment was not warranted because the buyers claimed they did not receive a notice of disposition of collateral by certified mail and the finance company did not prove receipt through a copy of a return receipt card signed by the buyers. The Court of Appeals of Ohio reversed. It found that Section 1317.16(B) of the Ohio Retail Installment Sales Act requires that the creditor send the debtor a notice of disposition by certified mail, return receipt requested, but does not require the creditor to prove that the notice of disposition was actually received. See SAC Finance, Inc. v. Deaton, 2013 Ohio App. LEXIS 2025 (Ohio App. May 24, 2013). This column does not offer legal advice. Consult your dealership lawyer with any legal questions. Tom (thudson@hudco. com) and Nikki (nmunro@hudco.com) are partners in the law firm of Hudson Cook, LLC. www.fiada.com

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Processing title paperwork correctly translates into faster processing by the tax collector’s office, helping dealers complete deals quickly and efficiently. FIADA’s Title & Registration Training seminar students will use a manual, examples and case studies to help clarify ownership transfer starting with the MCO, ‘new’ title through the ‘used’ title. Training is hands on and students will get the opportunity to complete their own sample title paperwork.

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To register, call (800) 237-0448 or go to www.FIADA.com August 2013 — Independent Dealer — 29

INDUSTRY NEWS AFS Acceptance secures $20 million and Increases Credit Facility to $75 million AFS Acceptance, LLC (www.AFSAcceptance.com), a full-service auto finance company serving the subprime financing needs of franchise and independent car dealers, has secured $20 million in subordinate debt to support expansion of its business. The injection of liquidity supports AFS’ initiatives to provide robust products and services for both franchise and independent dealers across the country. AFS is also pleased to broaden its long-standing relationship with Capital One, the agent of the credit line, and add Wells Fargo as a lender to the newly-syndicated $75 million facility. Anita Kennedy, Senior Vice President of Capital One, commented, “We have worked closely with AFS for almost 10 years and have watched them evolve and transform into the company they are today. It’s an exciting time for them and Capital One is pleased to be a part of their success.” Tom Murphy, Executive Vice President and Head of Wells Fargo Preferred Capital, added: “After watching AFS from the sidelines for a few years, we felt the management team was in place to take their company to the next level. The timing was right to partner with them and we are excited to work with AFS for a long time.” FalconBridge Capital Markets, LLC, acted as exclusive advisor to AFS regarding the new capital raise, which gives AFS the flexibility to penetrate new markets and increase market share in the states they do business in today. “We are delighted to have assisted AFS Acceptance,” said Bennett Cole, President of FalconBridge Capital Markets, which facilitated the deal. “Dov Szapiro and his management team at AFS have built an outstanding financial services platform, and we look forward to working with the company as they continue to emerge as one of the country’s leading subprime auto finance companies.” The closing of the deals marks AFS’ transition from a small, local operation to a professionally managed organization. Dov Szapiro, CEO of the Ft. Lauderdale based company, noted, “This is a big day in the history of AFS Acceptance. When we started AFS, my brother Uri and I always envisioned working with companies of this caliber and we are grateful for their support and guidance. We would like to thank FalconBridge and Wells Fargo for their support of our expansion plans. Additionally, Capital One has been a true partner over the past decade, without them and the hard work of our great employees, none of this would have been possible.” 30 — Independent Dealer — August 2013

American Auto Auction Group Helps Emergency Responders In Wake of Superstorm Sandy Last October the Eastern Seaboard was rocked by one of the largest disasters to hit our country in the last decade, and at the forefront of the recovery effort are the emergency responders who risked their lives and have worked tirelessly to help the various communities return to normalcy. In appreciation of the continued courage and commitment that the fire fighters of Brooklyn, NY have shown in the wake of Superstorm Sandy the American Auto Auction Group has donated a 15 passenger van to the Friends of Firefighters located in Brooklyn, NY. The Friends of Firefighters is a nonprofit organization which was started in the aftermath of September 11th Attacks, with their goal being to support active and retired fire fighters. The fire fighters of New York City were instrumental in the evacuation and rescue efforts during the storm and the resulting relief efforts; the Friends of Firefighters set up numerous distribution centers to support not only the firemen, but also their families, which allowed the firemen to provide the great level of support to the effected communities which they did. A 2010 Ford E-350 fifteen passenger van was donated to the Friends of Firefighters by the American Auto Auction Group and its member auctions; Auctions in Motion, Badger State Auto Auction, Charleston Auto Auction, Mid-South Auto Auction, Texas Lone Star Auto Auction and the Your Auction Auto Auctions. For more information about the American Auto Auction Group please visit www.AmericanAAG.com. Don’t forget to Like us on Facebook! Check out our page and follow our timeline at www.facebook.com/FLIndAutoDealersAssoc Send your news to us at memberservices@fiada.com www.fiada.com

2012-2013 FIADA EXECUTIVE COMMITTEE:

CHRISTOPHER LEEDOM DINO MERCURIO BRANDI NOEGEL President Senior Vice President Chairman of the Board AutoMaxx Independent Credit, Inc. Noegel’s Auto Sales Sarasota, FL West Palm Beach, FL Starke, FL (941) 309-1111 (561) 686-8673 (904) 964-6461

FRANK FUZY Regional Vice President Century Motors of S. FL Pompano Beach, FL (954) 785-0369

DAVID COX, CMD Secretary Cox Motors, L.L.C. Lakeland, FL (863) 686-9300

PAUL MATTON Treasurer Park Auto Mall Pinellas Park, FL (727) 639-1112

JIM WINTERICK, JR. STEVE MARBAIS GEORGE HICKEY JIM WINTERICK, SR. Regional Vice President Regional Vice President Regional Vice President Regional Vice President Marbais Enterprises, Inc. Gulfstream Motor Credit Gulfstream Motor Credit Bond Auto Sales Ocoee, FL Miami, FL Miami, FL Tampa, FL (407) 877-7422 (305) 253-2335 (305) 253-2335 (813) 238-7478

It has been recently brought to the attention of the Department that numerous vehicles that were flood damaged as a result of hurricane Sandy from out of state had clear titles. The Compliance Examiners from the Department who inspected the rebuilt vehicles for “Flood Damaged Rebuildable,” verified the brand status with the National Insurance Crime Bureau (NICB) and found that innovative solution theAnflood status was not in the NICB system and the titles provider since 2003 being presented were “clear” with no brands. The Department contacted NICB who advised that the insurance companies provided them with pertinent information so that the flood status is entered into the NICB system. However, since the correct brand status was not available to the Compliance Examiners on the flood GPS Does your current damaged vehicles sold at the auctions, the Department

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32 — Independent Dealer — August 2013