More TRUECar Controversy around FTC

[ryan.leslie]

This hit automotive news yesterday afternoon. Refresh was the host of one of the more constructive, if not lively, discussions about TRUECar's reverse auction and DMS data usage. Did anyone get the FTC letter?

http://www.autonews.com/article/201...r&utm_content=buffer8b335&utm_medium=twitter#

It seems to me that this is an incredibly slippery slope for the FTC to "investigate" based on public information found in an industry forum. That is hardly collusion since it is NOT secretive or illegal.

What do you make of this? Lord knows I've often wished that the FTC would investigate some of the false advertising that goes on around faked review content, but I never expected them to investigate dealers for publicly sharing an opinion of a Vendor's business model.

Very Interesting...

 

[Jeff Kershner]

Re: More TRUECar Controversy

"Painter said TrueCar knew nothing about the action until the company was served an FTC letter this week seeking documents.

"I want to make this clear: We didn't ask for it (the investigation), and we knew nothing about it," Painter said."

Hummmm

 

[Alex Snyder]

Re: More TRUECar Controversy

TrueCar says now it has been in compliance in all states for several months and has rebuilt its network of participating dealers to 6,500 franchises from about 3,200 in 2012 during dealer defections.

Read more: http://www.autonews.com/article/201...of-dealers-that-opposed-truecar#ixzz2emrK61u3
Follow us: @Automotive_News on Twitter | AutoNews on Facebook​

Is he saying they've added 3,300 dealers in a year?​

 

[ryanabbott]

Re: More TRUECar Controversy

Cue Jerry in 3..2...1...

 

[Jonathan Conn]

Re: More TRUECar Controversy

For fear of investigations, I will not be commenting on this story. I plead the fifth!

 

[Jerry Thibeau]

Re: More TRUECar Controversy

Sorry I have not responded sooner, but I've had a very busy travel schedule lately.

When Joe Webb wrote his article a few weeks back, I am sure the folks at TrueCar were a little nervous since they did not want a repeat of 2011/2012. They have learned a lot since those days and they have made all the right political moves since. Sponsoring anyone who invited them to be a sponsor, playing nice with dealers. They were simply executing their strategy and have done so very cunningly. With deep pocketed financial backing and the revenue they are extracting from dealers, they have a lot of clout right now. I would not be surprised if they have made some political contributions to a certain politician, or politicians who are returning some favors. I am sure the right people in politics have leverage to use watch dog agencies like the FTC to do their dirty work. My money is on TrueCar being 100% behind this investigation. They have some high powered legal staff on retainer that specialize in this type of behavior. Damn right they are behind this, I'll put my money on it.

I have not been home in a while, so I am not sure if I got a letter or not. I have talked to others who have received their letters. I'll find out if I have one on Monday and will keep you all posted.

KILL THE BEAST!

 

[Eley Duke]

Re: More TRUECar Controversy

My money is Damn right they are behind this, I'll put my money on it.

I have not been home in a while, so I am not sure if I got a letter or not. I have talked to others who have received their letters. I'll find out if I have one on Monday and will keep you all posted.

KILL THE BEAST!

And y'all wait till Jerry gets a few Red Bulls and followed by a couple of Budweiser's in him, look out Truecar!

 

[TomLaPointe]

Is FTC REALLY looking at car dealers regarding TrueCar situation????!!!!

Automotive News posted last night that dealers who dropped TrueCar "may have left themselves open to "charges of anticompetitive collusion to increase vehicle transaction prices" from the Federal Trade Commission - http://www.autonews.com/article/20130916/RETAIL07/309169943.

Apparently this goes back to the LAST TrueCar rebellion in 2011 and 2012 when the business model was being scrutinized. but the message here is if you are a dealer thinking (AGAIN) about dropping their service, don't tell anyone, because you might upset Big Brother. Holy heavy-handed regulation, Batman!

TrueCar CEO Scott Painter denies any knowledge or influence regarding the investigation. Then how did it come to the attention of the FTC????




EDIT by Alex Snyder: This was a new thread that has been merged into this thread. Just trying to keep a singular line on this topic without adding the confusion of multiple threads saying/asking the same things.