FIADA 1940-2015
Y E A R S
SEPTEMBER 2015
www.FIADA.com
Information and Insight for Florida Used Car Dealers
FULTON, MO PERMIT NO. 38
PA I D PRST STD U.S. POSTAGE
www.fiada.com
September 2015 — Independent Dealer — 1
PAID ADVERTISING
2 — Independent Dealer —September 2015
www.fiada.com
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 Jim Winterick, Sr. President Paul Matton Senior Vice President Dino Mercurio Chairman of the Board Brad Joel Secretary Lisa Compagno Treasurer Scott Lanier Regional Vice President Christopher Leedom Regional Vice President Steve Marbais, CMD Regional Vice President Phil Risley Regional Vice President Govinda Romero Regional Vice President FIADA STAFF Lisette Mariner, CAE Executive Director Terry Myers Educational Instructor Jason Berthiaume Education and Marketing Coordinator Amelia Tillman Membership Director 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.
www.fiada.com
Contents September 2015
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 Jim Winterick, Sr.
6
Executive Director’s Message Lisette Mariner, CAE
8
What Do You Do When... Terry Myers shares an important resource for handling tricky title questions.
10
Member News
12
FIADA History The latest chapter in FIADA’s 75 year history.
14
FIADA 2015 Annual Convention and Trade Show The tentative schedule is out, and your chance to register for the 75th Anniversary Celebration is here.
18
Wage Reclassification is Coming Matthew Parker, Esq. warns of the Florida Department of Revenue’s increased efforts on reemployment tax audits and how to be prepared.
22
Doing What You’ve Always Done, Will Get You the Same Results What kind of attention do you pay to your detail department? Your answer may be holding your dealership back from being more successful.
26
A Look at Current Legal Issues Attorneys Tom Hudson and Nicole Munro recap recent federal and legal developments of interest to dealers.
30
Industry News
ABOUT THE COVER It’s Almost Here
The 2015 Annual Convention and Trade Show is almost here. Join FIADA in Orlando at the Hilton Lake Buena Vista October 22-24 as we celebrate 75 years of serving Florida’s used car dealers. The Convention will be one for the record books, so you don’t want to miss it. Get the details of the schedule, hotel information, sponsors and more starting on page 14! September 2015 — Independent Dealer — 3
FROM THE PRESIDENT
FIADA Celebrates Diamond Anniversary BY JIM WINTERICK, SR., FIADA PRESIDENT
T
he FIADA is 75 years old this year. That makes us the oldest Independent Dealer Association in the country, and since we were organized six years before the National Association, older than NIADA, too. This is our 75th year and we are doing it up right by awarding a diamond to one lucky dealer. All you have to do is register and attend the most dynamic convention your Florida association has ever conducted. I tried to put together some answers to the most frequently asked questions about convention: Where is this convention located? Orlando at Downtown Disney. How do register to attend? This magazine has the information, or you can go to the FIADA website and sign up. What all is going on? Check out all the excitement in this magazine, or go to www.FIADA.com for a tentative schedule of events. How much does it cost? There are savings for new registrants, current members, new members, and affiliates. Check the registration form on page 17 for pricing and discounts. What’s in it for me? The most informative business savvy group of presenters in the business today. The seminars planned include topics such as getting the most from your website; how to be a better more profitable dealer in this market; where to find financial companies interested in your business and doing business with FIADA members like you. We will also have updates on the current legislative agenda your Association is pursuing for the next session of the state legislature and from the NIADA on their legislative agenda in Washington and more about the great progress that has
4 — Independent Dealer —September 2015
been made in our pursuit of ending, “curbstoning.” You’ll get to hear presentations by the best BHPH/LHPH experts in our business today, auto auctions who have designated selling lanes and great numbers reserved only for FIADA members, and vendors interested in helping you become the best most profitable dealer you can be. Finally, you will be able to participate in the exchange of ideas with other FIADA members to improve your business. When Used Car Dealers get together the ideas from those who are doing it on a daily basis are often the best way to improve your bottom line. After all isn’t that what we are all working toward? Profit is not a bad word here. I cannot list at this time, all the pluses from your attending the convention. I can attest that from my first convention and every one since, my experience has been that I could not afford to not be there. The very existence and profitability of my dealership depends on up-to-the-minute information in this rapidly changing business marketplace we operate in. Anyone serious about making money and prospering in today’s challenging business climate must attend. I guarantee the expense you pay will easily be recovered in the first great idea you get—either in how to make more money or how to spend less doing it, or hopefully both. We are your Association. We represent the Independent Dealers of the state of Florida, the used car dealers. Help us to help you be the best, most profitable, well-informed, customer-preferred, dealer you can be. As the dollar bill says, “E Pluribus Unum,” or “out of many, One.” We owe it to each other to come together and be a great organization. See you at convention, Jim Winterick, Sr. FIADA President www.fiada.com
We’re hiring your new F&I manager. Find out when they start. Visit newFandImanager.com
Protective Asset Protection has been serving auto dealers of all sizes for 50 years. We know your job is tough – that’s why we’re in the process of getting you some help with your finance and insurance solutions. So, be on the lookout for your new addition. We’ll be making the big announcement soon.
PAID ADVERTISING
Protect Tomorrow. Embrace Today.™ Vehicle Protection Plans I GAP Coverage I Credit Insurance I Limited Warranty Products 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. Limited Warranty Products, Vehicle Protection Plans (VPPs) and GAP are backed by Lyndon Property Insurance Company in all states except NY. In NY, VPPs are backed by Old Republic Insurance Company, Limited Warranty Products are backed by Western General Insurance Company and GAP is not available. 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.
www.fiada.com
September 2015 — Independent Dealer — 5
EXECUTIVE DIREC TOR’S MESSAGE
Membership Has its Privileges BY LISET TE MARINER, CAE, EXECUTIVE DIRECTOR
D
id you just join yesterday or have you been a member for over 30 years? No matter when you join you receive many benefits. Don’t forget to use them. Everything from coupons, to education, networking and technical assistance, we have it all. Upon renewal you receive a member kit not only from the FIADA but NIADA too. Show your pride of being a member and use your benefits today. Fabulous benefits include: • COUPONS All FIADA members receive a coupon book with over $9,000 in discounts! There are $2,500.00 in auction buy/sell fees and over $7,000 in discounts on advertising, software, office supplies and other services. Visit www. FIADA.com, click on Membership and Why Join for a complete listing of coupons. • FREE TRAINING and networking opportunities at FIADA’s Quarterly Town Hall Meetings and Board of Directors Meetings. Discounted training is available for FIADA members at our Annual Convention. • TECHNICAL ASSISTANCE is available. All FIADA members have unlimited access to FIADA’s Technical Assistance Line – Call 800.237.0448 with your regulatory, legislative and legal questions to receive assistance from FIADA’s General Counsel. 6 — Independent Dealer —September 2015
•
•
•
•
•
LEGISLATIVE VOICE As an individual, it is difficult to tackle all the legislative issues affecting your dealership. That’s why FIADA has a Full-Time Lobbyist in Tallahassee and representation in Washington, D.C. looking out for your best interests. FREE ONLINE CONTINUING EDUCATION FIADA members receive 8 hours of C.E. every two years which is required to renew your dealer’s license. In addition to free Online C.E. courses, FIADA members receive discounts on in-person Continuing Education, and in-person and online Title & Registration classes. INDEPENDENT DEALER MAGAZINE All members receive a printed Monthly Subscription to FIADA’s Independent Dealer Magazine. ONLINE DEALER RESOURCES FIADA Members have access to 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. DEALER SERVICE PROVIDER DIRECTORY FIADA has an easyto-navigate online directory where you can find products and services for your business. Choose from
•
over 80 categories like Accounting, Attorneys, Auctions, Dealer Bonds, Finance Companies, GPS Services, Insurance, Websites and many more. NIADA MEMBERSHIP All FIADA members receive automatic membership to the National Independent Automobile Dealers Association (NIADA) and access to their benefits. Visit www.NIADA. com and click on Services, then Member Benefits and services for a complete list. New programs for dealers include Equifax Online Solutions for Independent Auto Dealer and AutoZone programs.
Don’t let this opportunity pass you by, use your benefits and register to attend the FIADA Convention. As a member you receive discounts for convention. Remember to sign in before you register to receive your benefits. Thank you to our sponsors AutoZone, Cox Automotive, the Leedom Group, ACE Motor Acceptance Corporation, ADESA, eBay Motors, Auto Data Direct, CoPart Dealer Services, Dealers Insurance Services, Diamond Warranty Corp, Protective Asset Protection, Smart Auction, Spireon GoldStar GPS and the many exhibitors. Without your support we could not maintain such low registration fees for convention. See you in Orlando!
www.fiada.com
September 2015 — Independent Dealer — 7
PAID ADVERTISING
www.fiada.com
BACK TO BASICS
What Do You Do When... BY TERRY MYERS
If you have a strange title question, good news, help is available. You can ask your tag office, or take a look at the Department’s website that includes a procedure manual to follow.
W
hat do you do with a 30-year-old car, that has a 27-year-old lien and the owner is deceased? If you were me with my dad’s car, you go to the tag office and say, “Help!” Their response would be: “No problem. There’s an App for that.” And, there is….. They went to http://www3.flhsmv. gov/DMV/Proc/index.html to access the Procedures Manual, Section 1: Titles and Liens. There are 70 topics. One even tells you what to do in circumstances such as this one. They checked on the bank of record. It was out of business and so was the bank they sold to. Once that was discovered, the procedure manual laid out the next set of steps. They created a letter to the bank of record and placed it into a sealed envelope. My job was to take it to the Post Office and mail it ‘Certified. Return Receipt Requested’. This had to be returned unopened at the time of application for the new title. In the meantime, HSMV
8 — Independent Dealer —September 2015
82040, Section 13, Release of Spouse or Heirs Interest needed signatures of the heirs listed in the Will. Other needed items: Certified copy of the Death Certificate. In this instance, Dad, Mom and my younger sister. A notarized document from each beneficiary stating they want the new title to include the word ‘OR’ as the connector. Once all required documents were accumulated and presented to the tag office, one new title with all beneficiary’s names was created within minutes.
the website above. Schedule at least 30 minutes each week to visit the site, look around and find at least one topic to explore. With electronic titles, this scenario may become a thing of the past. When an unusual event crosses your path, contact your local tag office and/ or Compliance Examiner and say, “Help.” Don’t ask the dealer down the street. This way, everyone wins. Terry LB Myers is an author, lecturer, FIADA instructor and FADS owner/instructor. Terry can be reached at (727) 804-7375 or tmyers@ floridaautodealerschool.com. Feedback is appreciated and encouraged. Copyright 2015.
If you have never been there, go visit
Give i Scan t a tr y. t with his code your devic m e to a obile the P c roced cess Man ual. ures
www.fiada.com
PAID ADVERTISING
www.fiada.com
September 2015 — Independent Dealer — 9
MEMBERSHIP NEWS
New Members
AUGUST 2015
ADVANCE AUTO PARTS Lakeland, Florida Joe Caruthers Sponsor: Lisette Mariner
COREY’S CARS Pompano Beach, Florida Corey Schwartz Sponsor: FIADA.com
PRONTO SALES Apopka, Florida Mike Brigance Sponsor: Kevin Scott
TRUECAR Austin, Texas Pete Ramirez Sponsor: NIADA
WELLBEING HYGIENE Gainesville, Georgia Carrie Eltringham Sponsor: Jason Berthiaume
ALL AMERICAN BONDS AND INSURANCE Winter Park, Florida Eric Link Sponsor: FIADA.com
ER AUTO SALES AND RENTALS INC Jacksonville, Florida Evelyn Wilkinson Sponsor: Manheim Auto Auction
RALPHS PLACE Fort Pierce, Florida Ralph Fogg Ralphs Place Sponsor: FIADA
VCFS Rockleigh, New Jersey Tony Nicolosi VCFS Sponsor: FIADA
WINNER AUTO WORLD Pensacola, Florida Linyang Li Sponsor: Terry Myers
BLACK COACH TRANSPORTATION SERVICES Wildwood, Florida Robert Dixon Sponsor: Kevin Scott
F T ACCEPTANCE CORPORATION Miami, Florida Barry Abramowitz Sponsor: Jason Berthiaume
REGIONAL WHOLESALE INC Haines City, Florida Josh Filmore Regional Wholesale Inc Sponsor: Equifax
Rejoining Members
BRAND AUTO FINANCE Lawrenceville, Georgia Diane McCarthy Sponsor: Paul Matton
HANKSTERS HOT RODS OF DAYTONA Daytona Beach, Florida Kevin Sergent Sponsor: FIADA.com
C MOTORS, INC. Miami, Florida Dan Caines Sponsor: FIADA
KELLY RUNYON Aventura, Florida Sponsor: FIADA STAY SECURE SYSTEMS LLC Fort Myers, Florida Dennis Hampton Sponsor: FIADA.com
PETE D VRYNIOS Tallahassee, Florida Pete Vrynios Sponsor: Terry Myers
Renewing Members
TRADEREV Toronto, Canada Sally Byun Sponsor: Lisette Mariner
AUGUST 2015
30+ Year Members Autorama Auto Sales Langston Motors Progressive Motors, Inc. 20+ Year Members Auto Brokers of Orlando Gulfstream Motor Credit Co. 10+ Year Members Dealers Auto Auction Dealers Insurance Services, LLC Frontier Motors, Inc. J & C Auto Sales Lighthouse Children Home, Inc. The Car Cabana of Melbourne Under 10 Year Members 700 Credit Andrew Thomas Motorcars Auto Express Enterprises, Inc. Auto Mart #1, LLC Automotive Financial of America, Inc. Car Today, Inc. 10 — Independent Dealer —September 2015
Fort Myers, FL Eustis, Florida Pompano Beach, Florida Orlando, Florida Miami, Florida Lake City, Florida Orlando, Florida Pensacola, Florida Naples, Florida Tallahassee, Florida Rockledge, Florida Southfield, Michigan Bradenton, Florida Orlando, Florida Pensacola, Florida Orlando, Florida Pinellas Park, Florida
AUGUST 2015
ADESA A/A OF SARASOTA Bradenton, Florida Jeff York Sponsor: Amelia Tillman
CARS.COM Chicago, Illinois Heidi Allen Sponsor: Amelia Tillman
ALL AMERICA TOWING Citra, Florida Sponsor: FIADA
ETS AUTOS Sanford, Florida Edwin Calderon Sponsor: Amelia Tillman
AUTO MART OF OCALA Ocala, Florida Jeff Payton Sponsor: Amelia Tillman
MASTER CAR INTERNATIONAL INC Pompano Beach, Florida Gary Weinsoff C & L MOTORS INC DBA AUTO- Sponsor: Amelia Tillman HOUSE Tampa, Florida Cibeles Salomon Sponsor: Amelia Tillman
Consumer Auto Credit Inc. Enterprise Rent A Car Evolution Auto FirstSun Financial, Inc. Globe Acceptance, Inc. Jeffs Auto Sales and Service, LLC Jimmie Wells Auto Sales, Inc. Lazydays Lovering Auto Sales Magna Auto Sales Marianna Motor Co National Auto Lenders, Inc. Nationwide Southeast LLC Next Car, Inc. Nice Car, Inc. P.A.C. Parkway Wrecker Service PassTime Sensible Auto Lending Valdo Auto Sales Corp. Value First Auto Sales, LLC Veneauto Cars
Tampa, Florida Coconut Creek, Florida Sanford, Florida Jacksonville, Florida West Des Moines, Iowa Port Charlotte, Florida Saint Augustine, Florida Seffner, Florida Lakeland, Florida Titusville, Florida Marianna, Florida Miami Lakes, Florida Chicago, Illinois Melbourne, Florida Hollywood, Florida Wakefield, Massachusetts Tallahassee, Florida Littleton, Colorado Old Saybrook, Connecticut Miami, Florida Saint Petersburg, Florida Gainesville, Florida www.fiada.com
PAID ADVERTISING
www.fiada.com
September 2015 — Independent Dealer — 11
The History of
fiada T
he world survived Y2K and was ready to move in to the new millennium without hesitation. For FIADA, it meant a change in leadership that would update the Association’s vision and personality. Steve Jordan, an independent dealer with association management experience, accepted the job of Executive Director for the FIADA and brought a new energy and enthusiasm. The Association tackled membership and attendance with great results. It also worked on an aggressive legislative agenda and found success with the first real attempt at fighting curbstoning. FIADA support of HB 631 in the 2010 Legislative Session helped get a new penalty of a $100 fine passed for curbstoners who were found illegally offering vehicles for sale. The passing of this law was not only a benefit for FIADA dealers, but for consumers as well.
2 0 02
a rw a e l Geor ge Baker, C
l vil n o s K a g il iery, Jack
Gr
eg
ch
Jim
2011-2
2010
Edw
a rd s , D
a ayton
Be
a
2005
e My t r Rick Potts, Fo
a
ke
2 0 09
e
pa am T , x D a vi d C o
l ca O , t t Don Sco
r Sta , l Larry Noege
2 0 08
2 0 04
2003
01 2
2
e coe Stev O , e M ar b a i s
2013
2
C o ei hrist ras k a r S o a pher Leedom, ndi Noegel, St
ta
te r
20 0 1
rs
Independent Dealer magazine continues its recap of the Association’s history, leading up to the 75th Anniversary this October.
2000-Present
Bra
LET US HEAR IT!
We want to invite you to share your memories and be a part of the 75th Anniversary Celebration. Help us compile a history of not only factual information, but also the stories and spirit that have shaped the FIADA for so many years. Post your favorite memories or photos on Facebook or twitter and use #FIADA75. 12 — Independent Dealer —September 2015
www.fiada.com
Din o
2007
an Orl , s Kellie Kee
Pa ul M
2014
ur sb r e Pet
g
do
2006
PAID ADVERTISING
With the country in the middle of an economic crisis heading into the decade starting with 2010, Florida’s independent dealers needed their Association more than ever. FIADA continued to provide resources and help to dealers who were trying to survive the bad economy. Instant online continuing education and quarterly town hall meetings were two ways that dealers could use their benefits to get the knowledge and ideas they needed to make it. In June 2011, Steve Jordan announced he would be leaving FIADA to work with the National Independent Automobile Dealers Association. After an exhaustive search, the Executive Committee and Board of Directors selected Lisette Mariner as his successor and ushered in the current era of FIADA.
atton, St.
2015
www.FIADA.com INFORMATION WHEN YOU NEED, WHEN YOU NEED IT!
o Mercurio,
iam Winterick, Sr., M
i
m
al tP s e W
Jim
WATCH IT! FIADA 1940- 2015
Y E A R S
Don’t forget about the video series about FIADA’s history and future. Check it out at www.youtube.com/yourfiada
www.fiada.com
Can’t find what you’re looking for? Call us at (800) 237-0448.
FIADA.com is the online hub for all your member benefits and services. Members can log-on any time to get education, information and current events. FIADA.com has a complete resource library available for dealers and their staff as well as helpful links, and virtual courses. September 2015 — Independent Dealer — 13
TRADE SHOW H CONTINUING ED WORKSHOPS H PRIZES H FOOD CE CREDITS 1940s DEALER LEGAL AVAILABLE SINCE 1940
THEMED
EVENTS
14 — Independent Dealer —September 2015
VENDOR
NETWORKING
UPDATE
AND Q&A
NEW DEALER
TRAINING
www.fiada.com
e v i t a t n e T SCHEDULE Thursday, Oct 22, 2015
SATURday, Oct 24, 2015
3:00 - 7:00PM 6:30 - 8:30PM
8:00 - 9:00AM 9:00 - 10:00AM
Registration Open Welcome Reception
FRIday, Oct 23, 2015 7:30 - 4:00PM 8:00 - 9:00AM 9:00 - 10:15AM 10:15 - 10:45AM 10:45 - 11:00AM 11:00 - 12:00PM 12:00 - 1:00PM 1:00 - 1:30PM 1:45 - 2:45PM 1:45 - 2:45PM 1:45 - 2:45PM 3:00 - 4:00PM 5:00 - 9:00PM
Registration Open Breakfast Opening Keynote “Good Business Never Goes Out of Style,”Pam Grimes, Proctor University Member Meeting/Elections Coffee Break Panel Discussion: Government 101: What You Need to Know Networking Lunch “Do You Know CPO?” Breakout Session A - Financing Your Inventory for Growth Breakout Session B - Auction Sourcing Breakout Session C - Buy Here, Pay Here Division of Motorist Services Update “Avoiding the Most Common Dealer Violations” Exhibit Hall Grand Opening, 1940’s Theme Party and Dinner
Breakfast with Exhibitors Breakout Session A: Payment Processing Protocols: What You Need to Know When Accepting Payments 9:00 - 10:00AM Breakout Session B: The Risk of Staying with the Status Quo 9:00 - 10:00AM Breakout Session C: Making Your Service Department More Profitable 10:15 - 11:45AM Keynote & Awards Ceremony: Comedian Kenn Kington 12:00 - 2:30PM Lunch with Exhibitors & Exhibitor Giveaways 2:45 - 3:45PM Breakout Session A: Online Selling and Marketing: How to Reach Today’s Buyers 2:45 - 3:45PM Breakout Session B: The Joys of Auction Arbitration 2:45 - 3:45PM Breakout Session C: Structuring Your Deals for Third Party Finance 4:00 - 5:30PM Legal Update - “Laws, Rules and Regulations That Can Cost You More Than Money,” Robert Sickles, Broad & Cassel 5:30 - 7:00PM Closing Reception
HOTEL:
Hilton Orlando Lake Buena Vista 1751 Hotel Plaza Blvd, Lake Buena Vista 1-800-HILTONS OR (1-800-445-8667) There is a FIADA Room Block at the Hilton Orlando Lake Buena Vista. You can reserve your room by calling the number above and mentioning group code “FIA”. You can also book your room through the FIADA Group Page, using the same code. Reservations must be made by September 20, 2015 in order to qualify for the group rate of $139 (plus tax).
www.fiada.com
September 2015 — Independent Dealer — 15
silver
Special thanks to our Convention Sponsors!
marquis
gold bronze
CONVENTION EXHIBITORS
Ace Motor Acceptance Corporation ADESA Ally SmartAuction American Credit Acceptance/ Spartan Financial Partners Americas Auto Auction Jacksonville A.R.A. GPS Systems, Inc. ASC Warranty Auction123.com Auto Data Direct, Inc. Automotive Finance Corporation (AFC) Autotrader Auto Use AutoZone Beverly Hills Jewelers Black Book Brand Auto Finance Copart Auto Auction DealerCenter Dealers Insurance Services, LLC Diamond Warranty Corp. eBay Motors F T Acceptance Corporation Go Auto Exchange Orlando GO Financial GPS Tracking USA, Inc. Insurance Auto Auctions 16 — Independent Dealer —September 2015
Check out this great group of vendors in the exhibit hall. Ituran, USA Kelley Blue Book Leedom Group Lobel Financial Manheim Microbilt Corporation Nationwide Southeast LLC NextGear Capital Protective Asset Protection Rent A Wreck Used Car Rental and Leasing Sensible Auto Lending Sheriffs Ranches Enterprises Spireon GoldStar GPS Stay Secure Systems LLC. Strategic Dealer Services Tax Refund Services, Inc. Title Technologies, Inc. TradeRev TrueCar United Acceptance, Inc. vAuto Warrantech Wayne Reaves Software WellBeing Hygiene Williams & Stazzone Insurance Agency, Inc.
Don’t Forget!
One lucky dealer is going to walk out of the Annual Convention and Trade Show with a certified 1 carat diamond valued at over $5,000!
www.fiada.com
2015 FIADA ANNUAL CONVENTION COMPANY INFORMATION
Company:___________________________________________________________________________________________________________ Address:__________________________________________________ City, State, Zip:_____________________________________________ Phone:___________________________________________________ Fax:______________________________________________________ E-mail:___________________________________________________ Website:__________________________________________________
REGISTRATION INFORMATION FIADA MEMBER DISCOUNTED REGISTRATION RATES
SINCE 1940
FULL ACCESS PASS Badge Name:___________________________________________________________
REGULAR (9/1 - 10/16)
ON-SITE (10/17 - 10/24)
[
] $299
[
] $349
Badge Name:___________________________________________________________
[
] $195
[
] $195
Badge Name:___________________________________________________________
[
] $195
[
] $195
[
] $100
[
] $100
[
] $124
[
] $149
Badge Name:___________________________________________________________
[
] $349
[
] $399
Badge Name:___________________________________________________________
[
] $195
[
] $195
Badge Name:___________________________________________________________
[
] $195
[
] $195
[
] $100
[
] $100
[
] $149
[
] $175
MEMBER
ADDITIONAL FULL ACCESS PASS (Available with purchase of Full Access Pass)
SPOUSE FULL ACCESS PASS (Available with purchase of Full Access Pass) Badge Name:___________________________________________________________ EDUCATION PASS (Does not include meals) Badge Name:___________________________________________________________
NON-MEMBER REGISTRATION RATES
FULL ACCESS PASS NON ADDITIONAL FULL ACCESS PASS (Available with purchase of Full Access Pass) MEMBER
SPOUSE FULL ACCESS PASS (Available with purchase of Full Access Pass) Badge Name:___________________________________________________________ EDUCATION PASS (Does not include meals) Badge Name:___________________________________________________________
FULL ACCESS AND SPOUSE FULL ACCESS PASSES includes all meal functions, seminars and exhibit hall access and is eligible for continuing education credit. Additional Full Access passes and Spouse pass are only available with a Full Access registration. Valid FIADA membership required for FIADA member registration rates. CHILD REGISTRATIONS AVAILABLE Contact FIADA at (800) 237-0448 for details and to register.
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 Monday, September 21, 2015, we will refund your registration fee. If cancellation is received between 9/22/15 and 10/11/15, we will refund your registration fee less a $25 processing fee. Fees cannot be refunded for registrations cancelled after 10/11/15 or for no-shows. PHOTO/VIDEO RELEASE: By registering for the 2015 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: Hilton Orlando Lake Buena Vista. Hotel stay is separate from convention registration. Reservations must be made BEFORE SEPTEMBER 20, 2015 to qualify for group discount of $139 per night (plus tax) For reservations call (800) HILTONS/(800) 445-8667.
Mail: FIADA, 1840 Fiddler Court, Tallahassee, FL 32308 www.fiada.com
Fax: (850) 385-3251
Online: www.FIADA.com
Call: (800) 237-0448
September 2015 — Independent Dealer — 17
S A L E S TA X
Wage Reclassification is Coming BY MAT THEW PARKER, ESQ.
The Florida Department of Revenue has increased its reemployment tax audit efforts. Reviewing the recent Tax Information Publication (TIP) about it is a good idea.
A
s you may or may not have noticed, the Florida Department of Revenue (FDOR) has increased its reemployment tax (RT) audit efforts. Besides specific RT audits, FDOR auditors conducting sales and use tax (SUT) audits have been providing questionnaires to taxpayers which shortcut the RT audit process and essentially ask for the same information in an abbreviated format. Despite the abbreviated nature, the FDOR most certainly passes this information on to the IRS. Along these same lines, the FDOR has issued a recent Tax Information Publication, TIP #1573B-01 (TIP), addressing reemployment tax gross wages to be reported. The TIP starts out by noting that shareholders who are employees of an S corporation or a limited liability company (LLC) who elected to be treated as an S corp. for federal income tax purposes may receive both wages and distributions. The TIP notes the S corp. might “misclassify” a majority of the amount provided to a shareholder/officer in order to reduce employment taxes via some or all of the following methods rather than reporting any amounts above as wages:
•
distributions of cash or property;
18 — Independent Dealer —September 2015
• • •
• •
draws as a business expense; business expenses for payments of personal expenses of the shareholder-employee; business expenses for use of business assets (although the shareholder-employee used some of the business assets for personal use); amounts paid to an independent contractor; or as a loan to the shareholder.
The TIP provides the amount of wages reported as paid to a shareholder-employee must be reasonable for the services being performed or the IRS (or FDOR) may reclassify any amounts listed above as wages. Internal Revenue Code (IRC) sections 3121(a) and 3306(b) generally define “wages” as all remuneration for employment. Citing sections from the Code of Federal Regulations, the TIP indicates the form of payment is immaterial. The TIP notes the IRC term “employee” includes an officer of an S corp. The TIP does note that the CFR provides an exception for officers who do not provide any services or provide only minor services and who neither receive nor are entitled to receive remuneration. To support this TIP, it then cites a services of court decisions that
held that the IRS has the authority and appropriately reclassified S corp. reported distributions as wages when shareholder-employee reported wages were considered unreasonably low. Included in this list is a Florida Administrative Code (FAC) rule addressing when wages are considered paid. In addressing the determination of an amount being considered unreasonable compensation, the TIP indicates “an amount of zero is unreasonable and a wage amount below minimum wage for the hours worked is unreasonable.” The TIP then cites to IRS fact sheet FS2008-25 Wage Compensation for S Corporation Officers (available at http://irs.gov/uac/WageCompensation-for-S-CorporationOfficers). The fact sheet quotes the instructions to Form 1120S that “distributions and other payments by an S corporation to a corporate officer must be treated as wages to the extent the amounts are reasonable compensation for services rendered to the corporation.” The fact sheet notes there are no specific guidelines for reasonable compensation in the Code or Regulations and that courts have ruled using determinations based on www.fiada.com
PAID ADVERTISING
www.fiada.com
September 2015 — Independent Dealer — 19
WAGE RECLASSIFICATION continued from Page 18
as wages for shareholder/officer who provided services for the corporation.
the facts and circumstances of each case. The fact sheet provides the following factors: • • • • • • • • •
training and experience; duties and responsibilities; time and effort devoted to the business; dividend history; payments to non-shareholder employees; timing and manner of paying bonuses to key people; what comparable businesses pay for similar services; compensation agreements; and use of a formula to determine compensation.
Additional guidance is available at http://www.irs.gov/Businesses/ Small-Businesses-&-Self-Employed/SCorporation-Compensation-andMedical-Insurance-Issues. The TIP also addresses a list of final orders issued to S corps. or LLCs treated as S corps. for federal tax purposes by the Department of Economic Opportunity (DEO) where a Special Deputy ruled the Department reclassified as wages amounts originally classified as dividends or otherwise similar to the list above. The listed cases included the following reclassifications: • • • •
•
dividends reclassified as wages; “draws”, K-1 income, and an expense were reclassified as wages; “draws” reclassified as wages where no wages were reported to the sole shareholder/officer; distributions reclassified as wages for shareholder/officer who provided services for the corporation; and K-1 ordinary income reclassified
20 — Independent Dealer —September 2015
(cases available at http://www. floridajobs.org/office-directory/ division-of-workforce-services/ reemployment-assistance-programs/ reemployment-assistance-tax-liabilityrate-and-reimbursement-final-orders) The TIP then concludes that “therefore, if the Department determines that the amount of gross wages reported on a RT-6 report is not reasonable compensation for the services provided, but the shareholder-employee received other amounts misclassified as dividends, draws, payment of personal expenses, loans to shareholders, etc., the Department may correct the misclassification of amounts to wages so that the wage amount represents reasonable compensation.” The TIP finishes by noting that in addition to the IRS guidelines already noted above to arrive at the amount of reasonable compensation for the shareholder-employee, the FDOR may review: •
• • • • •
State Occupational Employment and Wage Estimates by the Bureau of Labor Statistics, U.S. Department of Labor; Florida Occupational Employment and Wages by DEO; classified ads in websites online; classified ads in newspapers and in industry journals; and any other available resources, to estimate what amount of wages would be considered “reasonable compensation.”
RT tax is due only on the first $7,000 of wages each year ($8,000 for 20122014) but underreported wages potentially impacts a shareholder-
employee’s possible reemployment benefits, understates RT taxes if below the wage base, and may reduce shareholder-employee deductible pension contributions (as noted in the TIP). But, this TIP should be noted for its far-reaching potential. The TIP’s cite to the sources the FDOR “may” review to arrive at the reasonable compensation provides items which offer a broad base of “authority” that can allow it almost any base to reclassify amounts as wages. As noted above, the RT wage base is not significantly high meaning that the dollars might not be significant in many dollars (even possibly including Federal penalties and interest). But, any FDOR reclassification will undue any tax planning you and your client might have undertaken which could extend to other more significant arenas that look at or are based on taxable wages. We exclusively handle state tax controversies which include RT matters. We have handled these types of matters with local service centers all over the state. Please consider that if you have any questions regarding RT issues, including potential wage reclassification, when you face this type of issue with your client. Our free initial consultation will allow you the chance to help identify the issues involved and determine if additional assistance is needed. I hope that you don’t ever need that type of assistance, but in too many instances, the FDOR doesn’t give you a choice. Mr. Parker is a sales and use tax attorney and an associate in the law firm Moffa, Gainor, & Sutton, PA, based in the firm’s Tampa office. Contact the office or find other resources regarding sales tax law at www.floridasalestax.com. www.fiada.com
The Florida Department of Revenue is initiating a statewide audit campaign against Florida used car dealers, starting late summer 2014. The Department obtained DMV records of all used cars sold in Florida and is comparing these records against sales tax returns filed by used car dealers. Based on this information, the Department will estimate what taxable sales should have been for each used car dealer and initiate desk audits, full audits, and criminal investigations based on the level of estimated underreporting. These estimates can be erroneous and do not take into account financing charges, repossessions, sales to out of state residents, or other factors that can affect sales tax. Even worse, it only takes $301 of collected but not remitted sales tax to face felony charges and up to 5 years in jail under FL law.
PAID ADVERTISING
PAID ADVERTISING
The Law Offices of Moffa, Gainor, & Sutton, PA concentrate in the area of Florida sales and use tax controversy and we are qualified to assist used car dealers in a defense against the Florida Department of Revenue. Whether you have underreporting, you’re not sure whether your company is ready for a sales tax audit, or you simply have questions about which FL DOR forms to file (e.g. Form DR-123), then please contact our law offices today for a FREE INITIAL CONSULTATION.
www.fiada.com
September 2015 — Independent Dealer — 21
D E A L E R O P E R AT I O N S
•
Doing What You’ve Always Done, Will Get You the Same Results BY BUD ABRAHAM
Do you see your detail department as an important player on the team or a necessary evil of the business? Before you answer, here are a few things to consider.
M
any years ago, some wise sage coined this meaningful phrase, “if you do what you have always done, you will get what you always have...” Later, another wise sage stated it this way, “the definition of insanity is doing the same thing over and over again and expecting a different result.” At the risk of being offensive, I believe that many auto dealers ignore the wisdom of these wise sages with regard to auto detailing. For most dealers the detailing is a problem child; a dirty, messy, disorganized, and unsightly area staffed by undependable employees whose work habits result in low quality work that takes too long to complete. In general, detailing in-house is costly and troublesome. Labor, supply and chemical costs to cars detailed is far too high. Detailing with outside detail businesses is also a problem. Undependable service, poor quality work, taking too long to get the vehicles completed, even stolen items from the vehicle are all headaches that can be endured. So what does a dealer do? Well, if you keep doing what you have always 22 — Independent Dealer —September 2015
done with regard to detailing you will get what you have always got. At the risk of being presumptuous, I will offer my opinions on why some dealers are not successful with their detailing efforts: • • • •
•
•
• •
See detailing as an expense area See it as a necessary evil Give it little, or no, management time Provide little supervision of those doing the work in-house nor those doing the work on the outside If done in-house, they invest very little in technology to improve performance and production. As well, they do not find out what kind of technology the outside company has. Hire the same type of people they have always hired, “typical detailers” Deal with outside companies that hire “typical detailers.” Pay as little as possible for detail employees and/or to outside detail contractors If they perform detailing inhouse, they don’t hire a manager/ supervisor; usually get some warm body to do detailing.
•
Provide no formal or ongoing training nor do they determine how well trained the outsider contractor and their staff are trained. Allow an attitude to prevail in their operation that the detailing is the “lowest position in the organization.”
While not every dealer is guilty of all of these points, I can say with some confidence that quite a few are. And, it is usually enough to cause them to “get what they always have.” There are a few things you can do to change things up and get different results: Recognize that detailing is an “indemand” automotive service for the motorist and consider even selling the detail service to the public. At the least, you should look at detailing as a “profit center” even if you only do work for yourself. Operate the detail area on its own budget. Your own inhouse needs can be a very profitable customer for your detailing area, and if you sell to the public even moreso. Change your paradigm about detailing. See it as an important and critical part of the your dealership’s success. Make the decision to devote some of your valuable management time to the detailing part of your business. Let’s face it, you are the prime mover in your organization. Nothing gets done unless to push for it to be done and your attitudes are what shape the attitudes of your people. If they see you giving your time to insuring a successful and profitable department, it will be. Do not expect others to care any more about things than you do. The time and attention you give it is a clear reflection of this to all, especially to detail employees. Assign proper management. It is not critical that you personally supervise the detail area, but you must insure www.fiada.com
PAID ADVERTISING
www.fiada.com
September 2015 — Independent Dealer — 23
DEVELOPING YOUR DETAIL CENTER continued from Page 22
that a competent managementlevel person is assigned to the area. This person should be setting and monitoring performance goals and standards. Without this supervision, how can you expect anything more than what you’ve always got? Explore technology and innovations in the field. Whether you realize it or not, there is a lot of advanced technology available that will increase productivity, maximize labor, improve quality, and reduce the time to process a vehicle. You must search this technology out for your in-house department and be sure that if you contract out detailing that the organization you contract with has the latest technology. If using an outside vendor, both you and they must be willing to invest more than a few dollars for a shop vacuum, a portable extractor, and squeeze and spray bottles. Search for the right personnel. Probably the biggest problem dealers have with in-house detailing departments is the people they hire. For all the criticism I hear about the detail personnel, dealers persist in hiring the same type of people. If anything is clear evidence of “doing what you have always done and getting what you always have” it is the hiring of “typical detailers.” Typical detailers are the “type” of people who are not looking for a longterm job, but are looking for work. They are transient in nature and their entire work history reflects this. They have had a great many jobs in a short period, move around a lot, have bad driving records, no driver’s license and many “social” problems. So why do dealers persist on hiring these types of people? The answer lies partly in some of the other points already mentioned. For example, if you do not see the detailing area as something 24 — Independent Dealer —September 2015
worthy of anyone’s time, why would you hire better people? And, if your pay scale is low you are building in constant turn-over. Be willing to pay for quality. Low pay is a direct reflection of your attitude about the importance of detailing and its importance to your company. For example, what if you paid the detailing area supervisor a salary of $40,000 plus bonus per year? If a detailing technician received $12.00 per hour, plus benefits? It would be clear to everyone in your company that this is an important part of the business. I am not saying that the detailing area can justify these pay scales, but paying low does send a message to the employees themselves, as well as others in your company as to what you think about the department. It would be worth your time to find out how the outside company with whom you might do business pays their employees, as well. Just as it would in-house, the wages paid to outside detailers will dramatically effect the quality and speed of the work you get from them. In the two freestanding professional detail centers that I personally operated on an absentee-owner basis, the pay (30 years ago) for the manager was a minimum of $30,000 plus bonus and benefits. Full-time employees were paid a minimum of $10.00 per hour. The point of this example is to let you know that detailing can justify these kind of pay scales and the type of personnel that are deserving of these salaries. You need a competent person in the detail area whether you have one person or four. You need someone who understands production, profitability, motivation, etc. The skills for this person are not whether they have detailing skills, but whether
they have good values. They can be taught the detailing skills. Does a new car dealer hire a mechanic as their Service Manager? Probably not. However, almost without exception in dealerships you find a detailer assigned as the manager/supervisor. Most, I have found, have absolutely no management or people skills. All they can do, at best, is detail a car. And that is even questionable because they have had no formal training, which leads to the next point. Be willing to invest in the department. With all of the problems you and other dealers have with detailing, few, if any, make the effort to provide their detail personnel any formal training to perform their job better. And don’t kid yourself, the detail employee knows very well that they are not afforded any training or way to improve themselves and that you don’t particularly care. Why don’t you offer your team any training? Afraid they will quit? They probably will if you treat them like a “Cinderfella” by paying them low wages and not showing them they are an important part of your dealership. If you want to eliminate the problems you have with the detailing area you must do most or all of the abovementioned things. Which should help to eliminate the attitude that most in your company have, that the detailing department is “the lowest of the low.” Bud Abraham, is president of DETAIL PLUS Car Appearance Systems, a manufacturer of auto detailing systems, and a 35+ year veteran of the car wash and detail industries. He writes on the subject of detailing in several trade publications and conducts detailing seminars and training sessions all over the world. He was the founder of the INTERNATIONAL DETAILING ASSOCIATION and it’s first executive director. You can contact Bud at buda@detailplus.com www.fiada.com
SUPPORT THE FIADA FIADA PAC FUND! POLITICAL ACTION COMMITTEE
Your PAC Contribution helps spread awareness and gain support of issues affecting independent dealers in the state’s capitol. CONTRIBUTION INFORMATION Contributor’s Name:
Dealership/Company:
Street Address, City, State, Zip: q Check q Credit Card (one time contribution) q Monthly Credit Card Contribution (until cancel) q $500
q $250
q $100
q $50
q $25
q _________
PAYMENT INFORMATION Credit Card Information:
q Visa
q MasterCard
q American Express
q Discover
Name on Card:
Card number:
Exp Date:
Sec. Code:
Billing Phone:
Billing Address
Mail completed form to: FIADA 1840 Fiddler Court Tallahassee, FL 32308 Fax to: (850) 385-3251 www.fiada.com
SINCE 1940
PAID ADVERTISING
Authorized Signature
September 2015 — Independent Dealer — 25
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. COMPLIANCE TIP Are your employees who deal with car buyers doing so in compliance with all federal and state laws? How do you know whether they are or not? Consider “mystery shopping” your own dealership, with a shopper who has been briefed by your counsel on what to say and how to behave. Perhaps you’ll discover some pleasant surprises. Or not. FEDERAL DEVELOPMENTS Protecting Our Servicemembers On July 22, the DoD published its final Military Lending Act Rule. The rule expands MLA protections to installment loans, unsecured openend lines of credit, deposit advance loans, and credit cards. It continues to apply to payday loans, vehicle title loans, and refund anticipation loans, and continues to exclude residential mortgages and credit extended to finance the purchase of, and secured by, personal property such as vehicles. The regulation provides several significant protections to active duty servicemembers and their families, including a 36 percent Annual Percentage Rate limit, which covers all interest and fees associated with the loan. This limit now includes charges for some ancillary “add-on” products such as credit default insurance and debt suspension plans. The MLA also prohibits creditors from, among other things, requiring servicemembers to submit to mandatory arbitration and onerous legal notice requirements, waive their rights under the Servicemembers Civil Relief Act, or provide an allotment as a condition 26 — Independent Dealer —September 2015
of obtaining credit (with some exceptions). The rule, effective October 1, 2015, has staggered compliance dates. Auto finance companies and dealers should be concerned that these restrictions will be extended to cover them. Wanna Buy Some Hot Leads? On July 22, the FTC announced a workshop on October 30, 2015 to discuss consumer protection issues arising from online lead generation in various industries, including consumer lending. The Washington, D.C. workshop is free and open to the public. The FTC is seeking research, suggested discussion topics, and panelists for the workshop. Allotting Time for Advertisement Review. On July 20, the CFPB announced that it sent letters to several companies that sell retail goods to military servicemembers, warning them that certain ads that allow servicemembers to pay by allotment may violate federal consumer financial protection laws and that they should review their advertising and business practices related to military allotments. The allotment system lets servicemembers direct part of their paychecks to pay for certain goods. Last year, the DoD announced changes to the system that prohibit new allotments to buy, lease, or rent personal property such as vehicles, appliances, and consumer electronics. The Bureau noted that misleading servicemembers about payment options and allowing them to pay by allotment when prohibited by the DoD’s regulations could violate the
Dodd-Frank Act’s prohibition against unfair, deceptive, or abusive acts or practices. BHPH Collectors, Attention! On July 17, the FTC announced that it will host two additional “dialogues” to discuss issues related to the debt collection industry. The events are scheduled for Dallas on September 29 and Atlanta on November 18. Participants will discuss enforcement actions, consumer complaints, compliance issues, and industry best practices. The events are free and open to the public. BHPH dealers should pay attention to this topic. Checked the CFPB’s Complaint Database Lately? On July 16, the CFPB released its first monthly complaint report, highlighting trends in the data the CFPB receives through its Consumer Complaint Database. The monthly report includes complaint data on certain companies, overall complaint volume, complaint volume by state, and other data trends. The monthly report will spotlight complaints about a particular issue and complaints from a particular geographic location. This month’s report featured debt collection complaints from Milwaukee, where the Bureau held a field hearing in May. Curbing Dealer Finance Charge Rate Discretion. On July 14, the CFPB and the Department of Justice resolved an action with American Honda Finance Corporation that will put new measures in place to address discretionary auto financing pricing www.fiada.com
Dealer Software & Websites Used Car Dealer Software
Outside Finance Buy Here Pay Here Related Finance Cash & Wholesale
Secure Online Credit Application Route One Integration
WAYNE REAVES Your One-Stop Solution
Internet Based Multi-Location PAID ADVERTISING
Websites & Mobile App
Repair Shop Program Title Pawn Program
Grow Your Business With Us • • • •
Online Credit App Process Credit Reports Route One Integration Online Payments
• • • •
Social Media Set-Up Online Marketing Search Engine Optimization Email & Texting Features
• • • •
QuickBooks Integration Built-in Contact Manager Third-Party Integration Certified Plain Paper Forms
CALL NOW! 800-701-8082 Wayne Reaves Software | WayneReaves.com
DEALER MANAGEMENT SOFTWARE | WEBSITES & MOBILE APP | REPAIR SHOP PROGRAM TITLE PAWN PROGRAM September 2015| — Independent Dealer — 27 www.fiada.com
28 — Independent Dealer —September 2015
www.fiada.com
FTC Continues to Hammer Dealer Ads. On June 29, the FTC announced a proposed consent order with two Las Vegas dealerships that allegedly used deceptive ads in connection with the sale and leasing of vehicles. Among other charges, the FTC alleged that the dealerships’ ads violated the FTC Act, the Consumer Leasing Act, and the Truth in Lending Act by misrepresenting the purchase price or leasing offer, failing to disclose required lease terms, and misrepresenting the down payment amount. A Shot Across the CFPB’s Bow. On Also on July 29, the House Financial Services Committee voted 47 to 10 to rescind the CFPB’s March 2013 fair credit guidance to indirect auto creditors require the CFPB, when proposing and issuing future guidance related to indirect auto financing, to take basic procedural steps to ensure the guidance is both transparent and informed. These steps include providing for public notice and comment, making publicly available the methodologies and other information the CFPB relied upon in developing the guidance, coordinating with the FRB, FTC, and DOJ, and studying the cost and impact of the guidance on consumers as well as small, women-owned, and minorityowned businesses. Tom (thudson@hudco.com) and Nikki (nmunro@hudco.com) are partners in the law firm of Hudson Cook, LLC. (410) 865-5411 or www. counselorlibrary.com. www.fiada.com
Don’t Gamble On Your GPS. We’ll Deal You A Winning Hand. Best Price - Best User Interface - Best Features Your choice of cellular network providers. Customize the solution that fits your business model.
Impound Notification Repo Button Top Stops 4 Hour Heartbeat Unlimited Use 3 Year Warranty
For Live Demo, Call 770-871-0051. PAID ADVERTISING
and compensation practices. The CFPB claimed that Honda’s practices resulted in African-American, Hispanic, and Asian and Pacific Islander consumers paying higher rates than white consumers for auto financing, without regard to their creditworthiness. Under the order, Honda will change its pricing and compensation system to substantially reduce dealer discretion and will pay $24 million in restitution to affected consumers.
PAID ADVERTISING
LEGAL ROUND-UP continued from Page 26
www.aragps.com
It’s time to change your approach to F&I compliance
WITH THIS SPECIAL OFFER... Subscribe to Spot Delivery and, at no additional charge, we will send you a copy of your choice of any of our legal compliance books, CARLAW, CARLAW II Street Legal or CARLAW III Reloaded.
To order, visit us at www.counselorlibrary.com/offer/spot or call us at 877-464-8326. Also follow us on:
SINCE 1940
FIADA is your number one source for advice and information. Technical questions, legal questions, regulatory questions...bring them on! Our network of industry veterans, professionals and consultants can help you find the answers you are looking for. Members can call us anytime at (800) 237-0448 or access our online resources 24/7 at www.FIADA.com. It pays to be a member! September 2015 — Independent Dealer — 29
INDUSTRY NEWS
High Five for Luke
ADESA Tampa Wins Safety Award
Former FIADA member and dealer, Steve Cavasini had to sell his dealership, Dixie Motors in Del Ray, FL a few years ago because his son got sick. Luke Cavasini has a very rare disease called Pearson’s Syndrome. Though this is often fatal in infants, Luke is now six years old. Since the disease is so rare and only afflicts 100 others worldwide, the treatment is typically experimental and often not covered by insurance. A fundraising account was established to help the family defray some of the medical costs. If you can help out a fellow dealer by donating or sharing the information within your circles, it would be greatly appreciated. Get more information about helping the Cavasini family and start following Luke’s story at https://www.youcaring.com/lucas-cavasini-all-in-forluke-382447.
In 1987 Wayne DeLoach, Tommy Childs, and Danny Williams purchased a small auction in Statesboro, GA. In 1997, the auction was relocated to Savannah where it still operates today. On Wednesday, August 26th Southeastern Auto Auction of Savannah held its 19th Anniversary Sale. The sale offered a large consignment featuring a variety of vehicles from new car dealers, independent dealers and institutional accounts. These were offered to a record breaking number of dealers both in the auction lanes and online via Simulcast. The anniversary celebration was all month long with prize giveaways at every sale. Dealers in the lanes each week had a chance to win a diamond plated shrimp and oyster steamer while dealers online had a chance to win an i-pad mini. To end the anniversary month with a bang, the anniversary sale included free Georgia BBQ and over $15,000 in cash and prizes. Adding to an already great day, a donation was given to Shriners Hospital for Children which came from money raised through a 50/50 drawing.
FIADA Senior Vice President Paul Matton (left) and ADESA Tampa General Manager Curt Farris (right) accept an award for safety. This is the third consecutive year the auction has won this award.
Broad and Cassel Names Sickles Managing Partner Statewide law firm Broad and Cassel is pleased to announce that Robert “Rob” Sickles has joined the firm’s Tampa office as managing partner. His experience includes: • Consumer Finance Litigation • Automotive Industry Representation • Class Action Defense • Complex Litigation Sickles is the FIADA Outisde General Counsel and offers legal advice and consultation as a member benefit. Contact FIADA at (800) 237-0448 if you have a question that needs his advice.
Southeastern Auto Auction Celebrates 19 Years in Savannah
30 — Independent Dealer —September 2015
FIADA Announces 2015-16 Officers At the July Board of Directors meeting, the FIADA Nominating Committee put forth the following dealers for offices on the 201516 Executive Committee. The Executive Committee elections will be held during the General Membership Meeting at the Annual Convention, on Friday, Oct. 23. All FIADA members are invited and encouraged to attend and vote.
Chairman President Senior Vice President Treasurer Secretary Regional VP Regional VP Regional VP Regional VP Regional VP
Jim Winterick, Sr Paul Matton Lisa Compagno Scott Lanier Govinda Romero Brad Joel Steve Marbais Chris Leedom Phil Risley Brandi Noegel www.fiada.com
2014-2015 FIADA EXECUTIVE COMMITTEE:
JIM WINTERICK, SR. President Gulfstream Motor Credit Miami, FL (305) 253-2335
PAUL MATTON Senior Vice President Park Auto Mall Pinellas Park, FL (727) 639-1112
DINO MERCURIO Chairman of the Board Independent Credit, Inc. West Palm Beach, FL (561) 686-8673
LISA COMPAGNO Treasurer Palm Tree Auto Sales Stuart, FL (772) 288-2099
BRAD JOEL Secretary Splish Splash Auto Sales Princeton, FL 33032 (305) 258-1191
www.fiada.com
September 2015 — Independent Dealer — 31
PAID ADVERTISING
PAID ADVERTISING
SCOTT LANIER GOVINDA ROMERO PHIL RISLEY CHRISTOPHER LEEDOM STEVE MARBAIS, CMD Regional Vice President Regional Vice President Regional Vice President Regional Vice President Regional Vice President Autoflex LLC Credit Cars Marbais Enterprises, Inc. Cars & Credit of Jacksonville AutoMaxx Gainesville, FL Orlando, FL 32808 Ocoee, FL Jacksonville, FL Sarasota, FL (407) 468-9974 (407) 295-6211 (407) 877-7422 (904) 616-4074 (941) 309-1111
MANHEIM FLORIDA ALWAYS NEARBY.
Manheim Daytona Beach 1305 Indian Lake Road Daytona Beach, FL 32124 386.255.2500 Sale: Wed 3 PM Total Resource Auction every Wed 2:30 PM Manheim Fort Lauderdale 5353 S State Road 7 Davie, FL 33314 954.791.3520 Sale: Fri 9 AM Total Resource Auction Tue 9 AM Ford Open Sale every other Fri Manheim Fort Myers 2100 Rockfill Rd Fort Myers, FL 33916 239.476.9800 Sale: Wed 4 PM Total Resource Auction every other Wed 3 PM Specialty Sale last Wed monthly 2 PM Galloway Direct Off Site Sale 2nd & 4th Tues 12 PM Manheim Jacksonville 10817 New Kings Rd Jacksonville, FL 32219 904.768.9981 Sale: Thurs 1 PM Total Resource Auction every Thurs 12:40 PM Manheim Lakeland 8025 N State Road 33 Lakeland, FL 33809 863.984.1551 Sale: Wed 2 PM Specialty RV/Boat Sale 1st Wed monthly 9 AM
Manheim Orlando 11801 W Colonial Dr Ocoee, FL 34761 Sale: Tues 9 AM Highline Exotic Sale Kicks off every 4th Tues 11 AM with Mercedes & BMW Chrysler Closed Factory Sale bi-weekly on Mon 12:30 PM GM Closed Sales bi-weekly on Mon 1 PM Nissan Infiniti Closed Sale 1st Wed monthly 9 AM Manheim Palm Beach 600 Sansbury Way West Palm Beach, FL 33411 561.790.1200 Sale: Thursday 9 AM Exotic Highline Sale every 4th Wed 9:30 AM Manheim St Pete 14950 Roosevelt Blvd Clearwater, FL 33762 727.531.7717 Sale: Thurs Weekly 2:30 PM inops Regular Sale 3 PM Manheim Tampa 401 S 50th St Tampa, FL 33619 813.247.1666 Sale: Thursday 9 AM Total Resource Auction Mon 9:30 AM at Cone Road location Ford Factory Sale every other Wed 10 AM Manheim Caribbean 1050 Carretera 865 KM 4.7 Bo. Candelaria Toa Baja, PR 00949 787.261.7300 Sale: Thurs 12 PM Salvage Sale Thurs 11 AM
32 — Independent Dealer —September 2015
PAID ADVERTISING
Manheim Central Florida 9800 Bachman Rd Orlando, FL 32824 407.438.1000 Sale: Wed 9 AM Total Resource Auction Wed 8:30 AM “Manheim Imperial Nights” Sale Tues 4 PM Specialty Heavy Truck & Equipment Sale Second Thurs Monthly at 10 AM
www.fiada.com