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.


* Good morning!
* 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

          
        * Android Wear update comes to LG G Watch
        * How to fix the four most annoying quirks of Yosemite
        * 6 easy ways to show off your best photos
        * Amazon accepting pre-orders for HTC accessories for Nexus 9
        * Review: Photoshop Elements 13 gets Photomerge and content-aware fill
        * Sony sales target lowered once again
        * SensorCore and Lumia: My Experience

        * Microsoft Windows 10 Technical Preview Update Released
        * Sony A7000 Could Be The NEX-7′s Successor [Rumor]
        * Congress Shuts Down FBI Director’s Decryption Law Proposal
        * Raspberry Pi Touch Screen Unveiled By Eben Upton (video)
        * Touching Story Reveals How Siri Came To Be An Autistic Boy’s Best Friend
        * What Are Some Things That Are Legal, But People Think Are Illegal?
        * Alpine Headphones Literally Let You Feel The Music (video)

        * 23 potential MLB free agents as SkyMall items
        * World Series Game 1: Notes and discussion
        * The e-gus off-season plan
        * Reading Room: A wild card of a World Series
        * Following same path as '59 White Sox, KC eyes title
        * larry's Offseason Plan
        * Abreu wins Sporting News' AL Rookie of the Year honors


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

        Archives
        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


        * Haine calls on Gov. Quinn to deny clemency to c.....
        * Attorneys due in court for Quinn hiring lawsuit.....
        * Attorneys expected in court for lawsuit over hi.....
        * Gov. Quinn announces almost $1M in funds for Pa.....
        * A ‘Closing Argument,’ Brought to You by the Koc.....
        * Only a Few 2014 Legislative Races Are Competitive..
        * The Clintons, the Democrats' 2014 super surrogates..
        * Illinois' top educator: Funding problems to remain..


        * Self, Weber expected at Wayne McClain funeral
        * Durbin, Oberweis to meet in 1st US Senate debate
        * Attorneys due in court for Quinn hiring lawsuit
        * Vice President Joe Biden to campaign in Illinois
        * Man convicted in officer's killings paroled
        * No trick: Across US, Halloween bumped for football
        * Family, friends remember women slain in Indiana
        * Indiana man was violent long before 7 killings
        * Family, friends remember women slain in Indiana
        * Indiana man was violent long before 7 killings

        * Rep. Raymond Poe to undergo stem cell transplant
        * Bill Clinton campaigns for Quinn, Durbin
        * Quinn, Rauner spar over jobs, taxes
        * Election 2014: Learn about all the candidates
        * What to watch for in third governor debate tonight
        * U of I sees turning point as election nears
        * Chicago Sun-Times endorses Rauner for governor
        * Sun-Times, Belleville, Champaign, Peoria newspapers endorse Rauner for governor
        * Bill Clinton to address workers at pro-Quinn rally
        * Body camera use concerns Illinois police officers

        * What's next for Tribune, Sun-Times in burb paper deal
        * Chicago heating bills will be significantly lower (if winter cooperates)
        * Chicago heating bills will be far lower (if winter cooperates)
        * Walgreen seeks to seal parts of former CFO's lawsuit
        * Big-biz group a big Mike Madigan donor


        * Sparse crowd at CPS HQ before Board of Ed vote on Hancock school
        * Indiana officials identify fourth body found after arrest of suspected serial killer
        * Jail guard smuggled weed in sandwiches, feds say
        * Father Bob Botthof, teacher who became priest after losing wife, dies at 85
        * Back to the past with mayor’s move
        * Court officials suggest ISIS wannabe could be released from jail on bond
        * Tentative deal at U of I hospital averts threatened nurses’ strike, union says
        * Unemployment rates fall in 31 states, including Illinois
        * Dr. Lawrence Solomon: Renowned dermatologist, book collector loved a mystery
        * Emanuel’s cable tax hike to cost average consumer $28.80 a year


        * Fire fighters battle blaze in Logan Square
        * Woman killed in Park Manor car crash
        * Two injured in Warrenville car crash
        * Public weighs in on Museum Campus plan
        * Waukegan schools remain closed Wednesday
        * 2 from Liberia screened for Ebola in Chicago after falling ill
        * At least 5 people wounded in shootings since Tuesday evening
        * Man dies 5 months after Southwest Side shooting
        * Naperville police ask for help locating "person of interest"
        * Inquiry broadens into suspect in Indiana serial killings


        * Business Report: Former Restaurant Near Statehouse Up For Auction; Downtown Springfield Inc. Update
        * 13th Dist. Candidates Talk NAFTA, Ebola During Springfield Debate
        * Lincoln Legacy Lecture Series To Focus On "Lincoln's Funeral"
        * Small Campaign Contributions Amount To Chump Change
        * Civic Fed: Lawmakers Once Again Taking Illinois Down Bad Budget Path
        * Cheddar's Leaves Springfield WUIS-SJR Business Report
        * Area Cub Scouts Burned In Explosion
        * Notes On The Final Governor Debate
        * Task Force Hopes To Help Turn Students Into Good Citizens
        * Digging up the history of a Civil War camp on Chicago's South Side


        * Our Opinion: Choice for Illinois comptroller comes down to experience
        * Rep. Raymond Poe to undergo stem cell transplant
        * Bill Clinton campaigns for Quinn, Durbin
        * Joanna McQuillan Weeks: Cheese balls deserve more respect
        * Our Opinion: White, Madigan for another term
        * Quinn, Rauner spar over jobs, taxes
        * Our Opinion: Say yes to Magro’s project
        * John Schick: Letter confirmed aggression toward bicyclists
        * Election 2014: Learn about all the candidates
        * U of I sees turning point as election nears


        * Photographic memories
        * Off the beat: Band’s tour bus ransacked outside popular St. Louis restaurant
        * Upcoming Services (Oct. 22, 2014)
        * Area Calendar 10/22/14
        * A preview of Randolph County election races
        * Race preview: 15th Congressional district
        * Candidate interview: John Shimkus
        * Candidate interview: Eric Thorsland
        * Top of the Morning, Oct. 22, 2014
        * Reservations due for Palms dinner programs


        * Women from Arlington Heights, Elk Grove Village, Geneva and Wheaton to compete in Cook of the Week Challenge cook-off
        * Dawn Patrol: 2 passengers into O'Hare monitored; Biden in Vernon Hills
        * Improvements coming to Lombard Prairie Path crossing
        * Durbin, Oberweis interested in finding O'Hare noise solutions
        * Two historic downtown Des Plaines buildings up for auction

        * Patrick Cannon defense strategy rare but n...
        * Feds fine Jesse Jackson Jr.'s campaign com...
        * Ex-Congressman Jesse Jackson Jr. faces sen...
        * Representative Jan Schakowsky Sends Letter...
        * Rep. candidate pushes to uphold marriage b...
        * Reps. Schakowsky and Waxman Introduce Bill...
        * Statement by Representative Jan Schakowsky...
        * U.S. House Passes Resolution Condemning An...
        * FAA Rejects Call For New O'Hare Noise Stud...
        * Representatives Quigley, Duckworth, Schako...

        * Defense firms prefer GOP, but spread campa......
        * Early voting; HRC scores congress; alderma......
        * Early voting; HRC scores congress; alderma......
        * Senate Candidates to Debate...
        * Senate Candidates to Debate...

        * Online Marketplace for Sex Led Indiana Ser......
        * Alleged Serial Killer Used Online Advertis......
        * Chicago Innovation Exchange opens flagship......

        * Pumpkin Carving Contest At Buena Beach Bar & Grill This Thursday
        * Early Voting Taking Place Now
        * Rauner’s Neely talk not as first seems
        * Because it was awesome.
        * Waukegan’s school board president speaks. Crazy talk.
        * New Bost ad hits Illinois 12th Congressional District [video]
        * Batinick says Dunn's desperate campaign charges are "ridiculous"
        * Topinka says reducing income tax would cause a heart attack to the state
        * Early Voting Halted in Winnebago County, Illinois Due to Ballot Mistake
        * Illinois Supreme Court Candidate Exposes Members of Shadowy Political Group


        * New TV Ad: Endorsed
        * Governor Quinn Statement on Positive Economic News - Illinois Led the Midwest in Job Creation in September and Had Second Best Growth in Nation; Unemployment Rate Has Dropped More Than Any Other State in the Last Year
        * Rauner Campaign Statement on Final Debate
        * What They’re Saying About Pat Quinn
        * What They’re Saying About Bruce Rauner




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