SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
FTC: State’s Sunday car sales ban could lead to higher prices

Friday, Mar 28, 2014

* State Sen. Jim Oberweis asked the Federal Trade Commission to comment on his legislation to repeal the Sunday car sales ban. After a vote by the FTC, the Federal Trade Commission’s Office of Policy Planning, Bureau of Competition, and Bureau of Economics responded

The existing Code provisions effectively ban the sale or long-term lease of both new and used automobiles (except private sales) on Sunday throughout Illinois. They therefore eliminate the possibility of competition among dealers to determine the hours of operation on Sunday that might be most responsive to consumer preferences and most beneficial to automobile dealers.

Further, because automobile dealers also provide repair services and sell replacement parts, the probable effects of mandatory Sunday closing laws extend beyond vehicle sales. The principal harms to competition from such laws likely include:

    (1) increased consumer search costs that impede comparison shopping;

    (2) a market that is unresponsive to consumer preferences for hours of operation; and

    (3) diminished competition among dealers for both automobile sales and a range of related services.

Collectively, these effects may lead to higher prices and reduced output for sales of new and used automobiles and related automobile services than would otherwise be the case.

* From Oberweis

“Since 1983, car dealerships in Illinois have been forbidden to be open on Sundays under penalty of a $1500 fine,” Oberweis said. “A majority of states allow automobile sales on Sundays, and car dealers in Illinois should be free to choose whether they wish to be open or closed on Sundays without government interference.” […]

“This analysis and recommendations from the FTC bolster the argument for repealing this ban. Senate Bill 2629 should not be bottled up in committee. It should be sent to the Senate for full, public legislative debate,” Oberweis said. “We need to rethink the weak argument that car dealers should be closed Sundays to give their employees a day off and keep costs down. Plenty of other employers and stores set their hours – with full consideration of what their competition is doing – without input from the government.”

- Posted by Rich Miller        


31 Comments
  1. - Just Observing - Friday, Mar 28, 14 @ 2:19 pm:

    Oberweis is dead-on-right. I can’t believe this is even an issue for debate.


  2. - He Makes Ryan Look Like a Saint - Friday, Mar 28, 14 @ 2:29 pm:

    I know a handful of Automobile Dealers, they are not in favor of this. Many believe they get a lot of business from people coming on Sunday to look at cars without being bothered.

    What’s next keeping them open for 24 hours?


  3. - Rich Miller - Friday, Mar 28, 14 @ 2:31 pm:

    ===What’s next keeping them open for 24 hours? ===

    You are confusing the proposed repeal of a state-mandated closing day with state-mandated opening hours. It’s not a sound argument. Please, don’t do that again.


  4. - Wumpus - Friday, Mar 28, 14 @ 2:33 pm:

    Two times ina row obwerweis makes sense. HMRLLaS, are you just impulsively antiOberweis? It makes perfect sense as a lot of people are off the weekends and can take the day off.


  5. - Cabildero - Friday, Mar 28, 14 @ 2:33 pm:

    Don’t they still sell cars on sunday, just not on their own lot? Like a sunday tent sale. Or do they technically fill out the paperwork the next day?


  6. - Norseman - Friday, Mar 28, 14 @ 2:35 pm:

    This is one of those times when the business guys want government regulation so they don’t have to do the heavy lifting. I see no reason for the state to interfere with Sunday sales. That being said, the Solons won’t buck the business guys on this. Another loser for the milkman.


  7. - G'kar - Friday, Mar 28, 14 @ 2:35 pm:

    I agree with the first part of what He makes… Had to say. Whenever I start looking for a car, I go visit lots on Sunday so I can compare in peace. That being said, I really do not care if they repeal the law or not.


  8. - Left Leaner - Friday, Mar 28, 14 @ 2:38 pm:

    Everything else is sold on Sundays. Why not cars? Why is this even a debate?


  9. - Stuff happens - Friday, Mar 28, 14 @ 2:39 pm:

    Personally, I hate shopping for cars. When I need one I go visit the lots on Sunday to avoid the pressure and hassle of salespeople. I’ll talk to the salesperson once I have an idea about what I want.

    I also have a brother-in-law who sells cars. He hates the idea — it will mean more hours per week without an increase in pay. People aren’t buying fewer cars because a dealership is closed; they just wait until Monday.


  10. - Stuff happens - Friday, Mar 28, 14 @ 2:42 pm:

    And so I don’t draw Rich’s ire, I understand that the dealerships aren’t being forced to open. But when the big dealership down the street decides to do it, other dealerships will have to follow suit to remain competitive.


  11. - Stuff happens - Friday, Mar 28, 14 @ 2:44 pm:

    Last comment; I’m spamming the boards. :)

    So my input is purely ‘how I feel’. From a legal standpoint, it doesn’t make sense to close dealerships on Sunday.

    But the fact that they’re changing things makes me really glad that I don’t sell cars for a living.


  12. - gesquire - Friday, Mar 28, 14 @ 2:47 pm:

    It’s to promote the quality of family life for salespeople who want to be with their families on Sundays. I think dealers are probably split on the issue, with large dealerships in favor of being open.


  13. - Commonsense in Illinois - Friday, Mar 28, 14 @ 2:48 pm:

    I was present in 1983 when the bill effectively banning Sunday sales was passed. Proponents pointed to the fact that there had been some problems with obtaining financing approval on Sundays and in some instances people had purchased cars, driven off the lot and the financing had not gone through on Monday morning, leaving the dealer with a (now) used car - if they got the car back at all. Proponents also said that some dealers who wanted to close on Sunday were at a competitive disadvantage to other dealers who chose to remain open. Since there was really no opposition to the bill that I can recall, I think the thing sailed out of both the House and Senate and was signed by Governor Jim Thompson. I’m not saying it was the right thing to do…just the history.


  14. - Westward - Friday, Mar 28, 14 @ 2:49 pm:

    More hours without an increase in pay? Your bro in law must not be a very good salesman.


  15. - John A Logan - Friday, Mar 28, 14 @ 2:51 pm:

    Leave well enough alone.


  16. - OneMan - Friday, Mar 28, 14 @ 2:55 pm:

    Would be curious how the new car dealers trade group here in Illinois comes down on this..

    Heck purchased a car once from a dealer further away because the closer dealer had closed for the day.


  17. - Rich Miller - Friday, Mar 28, 14 @ 3:04 pm:

    ===curious how the new car dealers trade group here in Illinois comes down on this===

    They passed the law in the first place.


  18. - OneMan - Friday, Mar 28, 14 @ 3:06 pm:

    == They passed the law in the first place. ==

    Yeah but opinions change over 20 years… The financing issue is likely gone since I suspect it isn’t humans making that call anymore but machines.


  19. - Dozer - Friday, Mar 28, 14 @ 3:07 pm:

    Jim and I agree on this


  20. - Walker - Friday, Mar 28, 14 @ 3:09 pm:

    No Brainer.

    Why even ask the FTC, it’s simple market dynamics? I thought Republicans understood market economics.


  21. - Yellow Dog Democrat - Friday, Mar 28, 14 @ 3:09 pm:

    You go Jim! You’re still only getting 42% in the General.


  22. - Rich Miller - Friday, Mar 28, 14 @ 3:10 pm:

    ===Yeah but opinions change over 20 year===

    Um, no. It’s why the bill hasn’t moved an inch since Obie-wan introduced it.


  23. - DuPage - Friday, Mar 28, 14 @ 3:11 pm:

    The last new car I bought was just across the border in Wisconsin, but it had NOTHING to do with hours of operation.(It was a Thursday evening.) It had EVERYTHING to do with price. About 12% lower then the lowest price I was quoted locally.


  24. - Norseman - Friday, Mar 28, 14 @ 3:19 pm:

    My intent was not to comment again, but I need to respond to the salesmen issue. I’m not insensitive to the overwork concerns of the sales force, but there are other folks are similarly situated and I’m aware of the state forcing the closure of their employers. I believe that State policy needs to be consistently applied to all.


  25. - Stones - Friday, Mar 28, 14 @ 3:27 pm:

    I never really understood dealerships being closed on Sundays. I would venture to guess that the weekends are when most consumers are available to car shop. Can someone enlighten me as to the original reasoning for the legislation? Is it to level the playing field and allowing dealers to close one day per week or was there some other agenda?


  26. - Norseman - Friday, Mar 28, 14 @ 3:34 pm:

    === Yeah but opinions change over 20 years… The financing issue is likely gone since I suspect it isn’t humans making that call anymore but machines. ===

    Changing opinions is verboten in Springfield, it’s called flip flopping. :)


  27. - Noper - Friday, Mar 28, 14 @ 3:36 pm:

    When the law passed during another recession 30 years ago, it was a way for car dealers to reduce overhead without being put at a disadvantage compared to the competition. It was a law passed to help out a struggling industry as a whole, at the dealers’ behest.
    Repealing the law probably benefits the big dealerships, and ultimately may reduce competition if the added cost of being open on Sunday contributes to the demise of some dealerships.


  28. - OneMan - Friday, Mar 28, 14 @ 3:59 pm:

    == Um, no. It’s why the bill hasn’t moved an inch since Obie-wan introduced it. ==

    Asked and answered then… :-)

    As for blue laws in general, grew up next to South Holland who had a ton of them and they still had nicer retail and more car dealerships than other towns nearby.


  29. - VanillaMan - Monday, Mar 31, 14 @ 9:33 am:

    I prefer Oberweis making these kinds of proposals to an Oberweis making bizarre kinds of proposals.


  30. - Car Guy - Monday, Mar 31, 14 @ 6:39 pm:

    I Like To Rest On The Sabbath, And Also Attend
    Church And Be With My Family. So Many Big Problems
    For Him To Focus On This?


  31. - Car Guy - Tuesday, Apr 1, 14 @ 2:53 pm:

    How Many Cars Do People Buy In A 5 Year Or 7 TO
    10 Year Time Frame? Do You Think Its To Much
    To Ask Them To Find The Time To Buy Monday To Sat In One Of Those 5 To 10Years ? What About Real
    Issues. Like Caterpillar Avoided 2.4 Billion
    Dollars Because of Loopholes In The Tax Law Or
    General Electric Paid No Tax, Or Medicaid Fraud
    Foreign Aid To Nations That Hate The USA. O By The
    Way Jim Soc Sec Is Going Broke. Flood Ins.Your Focus Car Dealers Should Be Open On The Sabbath


Sorry, comments for this post are now closed.


* Um, wow
* Tuesday puppy blogging
* A very tough problem to deal with
* Budget stuff
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * HotelTonight Adds New Features For Deeper, Location-Specific Discounts
        * Lockitron Introduces New $99 App-Enabled Smart Deadbolt Lock 'Bolt'
        * Podcast: We all love free stuff
        * Google Fiber expanding to four more cities
        * Twitter gets native video capture, group messaging
        * Apple TV Updated with Sports Illustrated's New 120 SPORTS Channel
        * Apple Tops Smartphone Shipments In China For The First Time, Says Canalys

        * What I Learned About Dealing with People From Playing Games Online
        * Google Fiber coming to four more cities
        * T-Mobile Super Bowl ad entreats us to “Save The Data”
        * What to Expect From Facebook Earnings? Lots and Lots of Mobile Ads.
        * How to Stay Motivated to Keep Brown-Bagging Your Lunch
        * Twitter tries to up its game with group messages and native video
        * Facebook Takes Blame for Service Outages, Which Hit Wider Web

        * White Sox marketing waits for White Sox baseball to cooperate
        * Gillaspie open to whatever role team needs
        * Podcast: MLB pace of play problem
        * 2015 Prospect Watch: Top 10 second basemen
        * Following up: Inside Toronto's failed pursuit of Kenny Williams
        * Trimmer Garcia ready to take off in 2015
        * SoxFest concludes with high hopes for 2015

        ...............


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        January 2015
        December 2014
        November 2014
        October 2014
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * Rauner Says Illinois Going Broke..
        * WATCH: Candidates to meet for Chicago mayoral d.....
        * Rauner Making Himself At Home In Springfield..
        * Governor Rauner to Visit Decatur..
        * Righter seeks changes in Workman’s comp & emplo.....
        * Rauner gets prison deal extension..
        * Rauner: Quinn left state budget in disrepair..
        * Outgoing Illinois Gov. Issues Medical Marijuana.....


        * Time may be running out for Sycamore's penny parking meters
        * Sentencing day for Chicago twins who turned on cartel
        * Longtime Naperville mayor gives last State of City address
        * More than 300 flights canceled at Chicago airports
        * Caterpillar 4Q results mixed, 2015 outlook disappoints
        * Sen. Dick Durbin honors Ernie Banks on Senate Floor
        * Illinois woman steers bus to safety after driver collapses
        * Documents: Quinn had marijuana recommendations, didn't act
        * Rauner replaces appointee who helped give job to Quinn aide
        * Apparent marijuana permit winners want process to proceed

        * Proposed Logan County medical marijuana growing site gets high score
        * Illinois pays millions to keep inmates who can't find homes
        * Proposed Logan County growing site gets high score
        * Rauner replaces appointee who helped give job to Quinn aide
        * Frerichs announces firm will review Treasurer's office
        * State lawmakers consider police reform key issue for General Assembly
        * Statehouse Insider: Gov. Rauner sounding a lot like primary candidate Rauner
        * Veterans voice opinions about future of Oak Ridge war memorial site
        * 85,000 temporary driver's licenses issued to immigrants
        * Proposed Illinois legislation would ban powdered alcohol

        * Caterpillar forecast suffers from falling oil, copper prices
        * Watch McDonald's Super Bowl teaser
        * Walgreens names Boots exec CFO as Pessina tightens grip
        * Mesirow buys Denver insurance firm
        * Rauner lifts spending freeze for road work


          * Google to police: Waze can't track officers' movements
          * City lists 45 'problem landlords'
          * Emanuel, mayoral challengers to face off for first time
          * For second day, thousands of flights canceled, including hundreds in Chicago
          * Sentencing today for twins who flipped on 'El Chapo'
          * Arlington Heights police called many times before woman's hatchet slaying
          * Police warn of robberies in Logan Square
          * Visitation and memorial services set for Ernie Banks
          * Two shot in separate shootings Monday night
          * Boy, 14, shot to death in south suburban Riverdale


          * Political Football With Sports Facilities Agency
          * Governor Unhurt In Chicago Car Accident
          * Hoogland Show Brings Irving Berlin To The Stage
          * Could Rauner's Spending Hold Derail New Train Routes?
          * Ousted State Public Health Director Off To Washington
          * Interview: Combating Systemic Racism In Springfield
          * Proposal Would Ban Conversion Therapy For Minors
          * How food gets the 'Non-GMO' label
          * Quinn had marijuana recommendations, didn't act
          * Lock of Lincoln's Hair Sold For More than $800K


          * Quote of the Day: Tuesday, Jan. 27, 2015
          * Proposed Logan County medical marijuana growing site gets high score
          * Illinois pays millions to keep inmates who can't find homes
          * Rauner replaces appointee who helped give job to Quinn aide
          * Frerichs announces firm will review Treasurer's office
          * U.S. Dick Durbin and U.S. Rep. Aaron Schock: Online sales tax loophole hurting local businesses
          * Quote of the Day: Monday, Jan. 26, 2015
          * State lawmakers consider police reform key issue for General Assembly
          * Our Opinion: Vision should be a key theme in Springfield mayor's race
          * Bernard Schoenburg: Campaign contribution gets them talking in Ward 7


          * City of Murphysboro cancels boil order
          * Plan to downgrade pot punishment being pushed in Springfield
          * Chenoa lifts boil order
          * Davenport police warn of fraudulent camera ticket collection phone scam
          * Davenport police warn of fraudulent camera ticket collection scam
          * Sales tax increase to appear on Franklin County ballot
          * Heaton-Akina
          * Smoke in Alcoa building leads to small evacuation
          * Icy roads wreak havoc
          * American Airlines soaring year removed from bankruptcy


          * Native American TV network gets $6M to expand
          * Amtrak resumes limited service as storm conditions ease
          * Caterpillar 4Q results mixed, 2015 outlook disappoints
          * US stocks slide on weak company earnings, US economic data
          * Sentencing day for Chicago twins who turned on cartel

          * Pro-Amnesty House Republican To Deliver Sp...
          * Former congressman, Northwestern alum Schn...
          * House Passes DHS Funding Bill That Prohibi...
          * House votes to block Obama’s immigration a...
          * Rep. Bob Dold on Congress’ return to work
          * Incumbent spent more than winner in Illino...
          * Dold outspent by $1M, but still won in Ill...
          * Incumbent spent more than winner in Illino...
          * Rep. Bob Dold
          * U.S. reps from suburbs sound off on Obama'...

          * 1st, 2nd Ward Candidates to Debate This Week...
          * Senate's swing-state Republicans break ranks...
          * Durbin lauds 'Mr. Cub' in Senate commemora......

          * Top Democrat tries to slow Iran sanctions ......
          * Democrats say they won't support Iran sanc......
          * Senate's swing-state Republicans break ranks...
          * Iran Wins Sanctions Relief Despite March T......
          * Ranking Democrat on banking panel tries to......

          * Kinzinger blasts Obama Administration's terrorist policy on Fox & Friends
          * The [Tuesday] Papers
          * Human Rights Hotspots: Middle East [video]
          * Human Rights Hotspots: Asia [video]
          * Saving Congress from Itself: Emancipating the States and Empowering their People
          * Illinois Watchdog Radio - Live on IR
          * Legal Marijuana Fastest Growing Industry - and Tax Source - In The U.S.
          * DNA Info: Alderman Wants to Bring Coffee Shops, Bars to Desolate State St. Stretch
          * DCP 9th ward candidates forum...
          * State Rep. Ives Files Legislation in Response to COD President Buyout Deal


          * Rauner announces “Turnaround Team” - Stellar team to help turn Illinois around
          * Commerce Department to Review Proposals for Enterprise Zones - Program Promotes Job Growth in Communities Across the State
          * Governor Rauner signs Executive Order for Minority and Veteran Empowerment
          * Governor Rauner Announces Second Round of Appointments
          * Representative Duckworth, US Army Iraq Veteran Honored With The Abraham Lincoln Veteran Champion Award




              Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller