Every dealer knows the feeling of a customer finding something on the paperwork they don't remember agreeing to. Those moments are exactly what regulators have been watching, and this week's news shows how the government's approach is changing.
The FTC changed its tactics this week. Its priorities stayed the same.
FTC Dismisses Asbury Complaint: Timeline of the Case
August 2024: The FTC filed an administrative complaint against Asbury Automotive Group, three of its North Texas stores (David McDavid Ford Fort Worth, David McDavid Honda of Frisco, and David McDavid Honda of Irving), and a general manager. It alleged customers were charged for add-ons they didn't agree to, and that Black and Latino customers paid additional amounts for add-ons.
Late 2024: Asbury denied the allegations and sued in federal court in Texas, challenging the FTC's structure and procedures. The administrative case was put on hold.
August 2026: The FTC moved to withdraw the matter from adjudication.
This week: The FTC dismissed the case, saying it faced years of litigation and needed to consider "the deployment of its limited agency resources."
"Based on the totality of the circumstances, we have come to the difficult conclusion that the public interest requires that this litigation no longer be continued." FTC order of dismissal
In the same order, the FTC reaffirmed its commitment to price transparency, specifically including auto dealers, and pointed to its recent warning letters and federal court cases.
What the Asbury Dismissal Means for Dealer Price Transparency
The allegations in this case were serious, and Asbury denied them. A defendant challenging how a case is brought is part of how the legal system stays honest, especially when agency processes are rushed.
But this isn't a reason for any dealer to relax. KPA's Adam Crowell expects the FTC to skip in-house administrative actions and take dealers straight to federal court instead. Combined with California's CARS Act taking effect this month, the message is clear: pricing and add-on practices are under a brighter spotlight than ever.
Now is the time to review your advertised prices, your add-on disclosures, and how your team presents optional products.
Transparent pricing is the best compliance plan, and it's good business too.
We unpack the FTC's decision on today's episode of the Automotive State of the Union.
