The Governor signed legislation that will clarify the process for remote deliveries of motor vehicles. Public Act 102-392 provides that a dealer may obtain electronic signatures via the internet from a purchaser and deliver a vehicle at a location the purchaser requests in writing, provided that the dealership verifies the customer’s identity at the time of delivery.
The legislation provides that if a customer signs documents that still require a wet ink signature by law at the time and place of delivery, the sale will be considered to have been completed at the dealership location. P.A. 102-392 also clarifies that the date on which the application for title is signed by the purchaser is the date of sale for a vehicle that is delivered to a purchaser at a location other than the dealer’s established place of business. Finally, P.A. 102-392 authorizes the Secretary of State to adopt administrative rules regulating vehicle deliveries, which is the first step toward permitting e-signatures on title applications and secure power of attorney forms. Public Act 102-392 takes effect January 1, 2024.
Processing Expedited Title Transactions? Wondering if they can be done? Or maybe one was submitted and then turned over to regular processing and you aren't sure why?
The Illinois SOS (Secretary of State) provides a list of transaction types that cannot be requested for Expedited Processing. If the transaction with title and corresponding paperwork falls into any of the categories listed below, the title cannot be requested for Expedited Processing.
T20 Dealer Titles are now $20. However, this only qualifies when the following requirements are met:
Please note, if there are usable title reassignments but the dealer wants to have the title in the dealership's name (including out-of-state titles), the price is $165.
Ford has issued an “Amended and Restated Consumer Data Agreement” (“Revised Agreement”) to Ford and Lincoln dealers that updates the current Consumer Data Agreement. The Revised Agreement addresses state omnibus privacy laws and adds several important contract terms regarding data security that are required under the revised FTC Safeguards Rule.
Dealers have faced massive uncertainty over the past few years regarding compliance with the requirements of the revised Safeguards Rule. One important question has been the scope of the applicability of the Rule to contracts with OEMs. This is a complicated and fact specific issue, but what is clear is that data security is a dealer focus and that any third party (including a manufacturer) that obtains sensitive customer data from dealers must agree, by contract, to certain data security requirements with respect to that data.
Ford, through its dealer council, worked with NADA to address dealer compliance concerns related to the Safeguards Rule in the existing Ford Consumer Data Agreement. After a number of conversations, Ford agreed to issue the Revised Agreement to specifically address these (and other) concerns. Ford also worked with NADA in addressing a series of FAQs about the Revised Agreement. That document is helpful, and dealers (as well as their legal counsel and IT professionals) should review it and the Revised Agreement carefully.
As noted, the revised Safeguards Rule is not always clear, it is untested in the courts, and the FTC has not issued clear guidance on exactly what contract language is required, so it is exceedingly difficult to fully ensure compliance. However, the Revised Agreement includes provisions that are intended to meet both the data security and monitoring requirements of the Safeguards Rule.
The Revised Agreement may not be perfect, and every dealer must make its own decision about this or any other agreement. However, NADA does believe the added Safeguards provisions and other language in the Revised Agreement are positive for Ford and Ford/Lincoln dealers. NADA would like to express its appreciation to Ford for its efforts in amending this agreement to address this important compliance concern, for its continued willingness to work with NADA on this and other data sharing and compliance efforts, and for taking the additional steps necessary to protect Ford customer data and privacy.
REGISTER NOW!
Join us for an afternoon of insightful discussion with leading industry experts providing insights and advice on setting up your business for success in the ever-changing EV market.
Overview
Join fellow CATA dealers for an EV workshop and informative conversations with industry experts on a range of topics including:
Agenda
*Schedule subject to change
Please feel free to add other personnel from your dealership who should be in the EV know. All CATA members are welcome and encouraged to attend!
CLICK HERE TO REGISTER!
The Chicago Auto Trade Association has partnered with the NADA and Financial Renaissance to offer a new benefit its 400 dealer members and their employees. Dubbed the CATA Retirement Program, the 401(k) offering combines the power of the National Auto Dealers Association’s “NADA Retirement from Empower” program and the local expertise of Chicago companies, Financial Renaissance and Correll Co.
“This partnership brings the ‘best of breed’ retirement plan solutions to all CATA dealer members,” said Joseph Orlando, CEO of Financial Renaissance. “This new model combines the power and voice of the NADA with its 16,000 members, the award-winning technology of Empower -- the 2nd largest 401(k) provider in the country and marries it with Financial Renaissance -- a Chicago-based financial services company, as the exclusive broker on the plan.”
“The power of the NADA and Empower combined with the soft, service-based, touch of local partners is a powerful advantage,” said CATA Member Benefits Committee Chairman Dan Marquardt. “These strengths, combined with enhanced 3(38) fiduciary protection and low mutual fund fees, allow the CATA members access to protections they currently may not have or may not have been eligible for in their current retirement plans.”
“Many small business owners don’t fully understand the exposure and liability their company 401(k) plans thrust upon them. We wanted to address that problem and relieve of some of that burden,” said Orlando. “That is the ingredient Correll Co. brings to the partnership.”
CATA dealers interested in learning more or seeking to schedule a plan comparison can do so by calling Joseph Orlando at 312-404-3232.
Brain tumors are responsible for more pediatric cancer deaths than any other type. Last year, this disease took the life of my three-year-old daughter Violet. In response, my wife and I started the Violet Foundation for Pediatric Brain Cancer in her name. The goal of this charity is to raise badly needed money for brain-cancer research and to support local families who have a child undergoing treatment at Lurie Children’s Hospital.
This October, as Violet would have turned 5 years old, a new initiative is launching called Dealerships United Against Pediatric Brain Cancer. Each Napleton store will make a donation to the Violet Foundation for every car sold and I would personally like to invite CATA members join us. It is our belief that by forming a large coalition, our collective efforts can make a huge impact in pediatric brain cancer research. The foundation has no paid employees, so 100% of funds raised go the grant recipients.
The details and signup form can be found here: https://www.violet-foundation.org/dealerships-united, and includes purchasing tickets to Violet’s Walk in the Park, a fundraising event in Hinsdale on Sept. 30. Participating stores would receive showroom material to display during October, showing your customers and your employees what you are supporting. Participants will also be publicized via press release and on social media channels. Together we can make a real difference for these kids and their families, thank you for considering joining in!
The United States Citizenship and Immigration Services (USCIS) released a revised Form I-9, Employment Eligibility Verification, which employers are required to complete for each new employee within three days of beginning employment. The revised Form I-9 can be found at http://www.uscis.gov/i-9.
Starting Nov. 1, 2023, all employers must use the new Form I-9 (edition date 08/01/23). Employers can use the new form or the current Form I-9 (edition date 10/21/19) through Oct. 31, 2023. The new form has several revisions to streamline employment verification and reduce the burden on employers and employees. The basic Form I-9 reporting, data input and retention rules remain unchanged. The changes are outlined by the USCIS here.
Go deeper: For guidance on completing the Form I-9, see USCIS’s website and FAQs. As a reminder, upon completion of Form I-9, the dealership must also retain copies of the Form I-9 documents for three years after the date of hire, or one year after the date employment ends, whichever is later.
On Aug. 30, the IRS announced that the form used by businesses to report cash payments exceeding $10,000 will need to be submitted electronically beginning January 1, 2024. (IR 2023-157)
This pertains to Form 8300, Report of Cash Payments Over $10,000 in a Trade or Business, which is filed by applicable individuals, companies, corporations, partnerships, associations, and trusts or estates as part of the IRS's and the Financial Crimes Enforcement Network's efforts to crack down on money laundering. The reporting requirement triggers when a taxpayer receives cash over $10,000 in a single transaction or in related transactions conducted in any of the 50 U.S. states, as well as Washington, D.C., and U.S. territories.
"The new requirement for e-filing Forms 8300 applies to businesses mandated to e-file certain other information returns, such as Forms 1099 series and Forms W-2," the IRS explained in the announcement. "Electronic filing and communication options will be simpler and will make it easier to interact with the IRS. Beginning with calendar year 2024, businesses must e-file all Forms 8300 (and other certain types of information returns required to be filed in a given calendar year) if they're required to file at least 10 information returns other than Form 8300."
Businesses can submit a Form 8508, Application for a Waiver from Electronic Filing of Information Returns, but the IRS clarified that if a waiver is granted, it applies to all information returns for a calendar year. Waiver requests cannot be submitted only for Forms 8300.
The IRS warned that e-filing confirmation emails by themselves are not enough to satisfy the new record keeping requirement. "When e-filing, filers must also save a copy of the form prior to finalizing the form submission," according to the release. "They should associate the confirmation number with the saved copy. Prior to finalizing the form for submission, businesses should save a copy of the form electronically or print a copy of the form." Copies of each Form 8300 e-filed and any supporting documents need to be kept for five years from the filing date.
CATA HR and employee relations Approved Partner, SESCO, has published its bi-monthly newsletter. In its July/August Edition, SESCO addresses the following:
As an approved partner, SESCO provides complimentary HR and employee relations support to CATA members. Questions? Contact Jamie Hasty at jamie@sescomgt.com or 804-931-6281.
Chicago Automobile Trade Association18W200 Butterfield Rd. Oakbrook Terrace, IL 60181 (630) 495-2282
EMAIL US
Copyright © Chicago Automobile Trade Association.