LaMalfa, Pappas lead bipartisan call for FTC to reopen comment period on proposed motor vehicle dealers trade regulation rule

Congressman Doug LaMalfa and Congressman Chris Pappas led their colleagues in calling on the Federal Trade Commission to reopen the comment period on the proposed Motor Vehicle Dealers Trade Regulation Rule.

The FTC failed to issue an advance notice of the proposed rulemaking in accordance with Section 1.10 of the Commission’s procedural rules, issued the proposed rule on July 13, 2022, and closed the public comment period on Sept. 12, 2022.

In the letter, the lawmakers wrote, “Since the commission regrettably failed to issue an advance notice of the proposed rulemaking in accordance with Section 1.10 of the commission’s procedural rules, the extensive set of questions included in the proposed rule should have preceded the issuance of the proposed rule itself … Recognizing the importance of the matter and supporting the commission in its efforts to protect customers and honest dealers from retail sales fraud practices by making the automotive buying process clearer and more competitive, we request the FTC to reopen the deadline for comments to be submitted on the proposed rule for an additional 60 to 90 days.”

“The commission failed to issue an advanced notice of this proposed rulemaking, as they’re required to do so.” LaMalfa said. “They unfairly denied those who would be most impacted by this new rule an opportunity to comment. I’m urging the commission to reopen the public comment period and give the people the opportunity to make their voice heard.”