We ended last month’s update noting that the Federal Trade Commission (FTC) had finalized its Combating Auto Retail Scams (CARS) Rule. Shortly following the Final Rule’s publication, the National Automobile Dealers Association and the Texas Automobile Dealers Association challenged the legality of the Rule in the Fifth Circuit, and seeking a stay of the rule while the challenge was pending. In the face of this challenge, this month the Commission chose to stay the effective date of the Rule.
As the final versions of the dozens of proposed rulemakings the FTC has disseminated trickle in, we can expect to see more such challenges to the FTC’s regulatory reach, and, likely, more indefinite stays. While nothing is certain, it seems only a matter of time before one or more of these challenges winds its way to the Supreme Court.
Also in January, the FTC issued its Notice of Proposed Rulemaking on updates to its Energy Labeling Rule. While the Energy Labeling Rule’s Advanced Notice of Proposed Rulemaking asked some broad, overarching questions, comments from and tailored to specific industries within and around the energy sector were clearly influential in shaping the direction of significant aspects of the Proposed Rule. We’ve said it before, but it bears repeating: comments matter.
To view the previous FTC Regulation Tracker updates, please see below:
FTC Regulation Tracker—December 2023
FTC Regulation Tracker—November 2023
FTC Regulation Tracker—October 2023
FTC Regulation Tracker—August 2023
FTC Regulation Tracker—July 2023
FTC Regulation Tracker—June 2023
FTC Regulation Tracker—May 2023
FTC Regulation Tracker—April 2023