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.


* It ain't over until it's over, unless it's already over
* Question of the day
* Fun with numbers
* Teamsters want fired IDOT workers spared
* Rahm reverses course, Voices backs wage hike
* Fracking regs to be released Friday
* Making the big banks pay
* Quinn vetoes another speed limit bill
* Missing the point
* Ballot initiatives are definitely a major national thing
* *** UPDATED x1 *** Callis unveils first TV ad, GOP says she's "lived a life of privilege"
* Inversion and off-shoring explained in just a few words
* 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

          
        * AnTuTu 5 update goes live on Google Play
        * Samsung’s New Gear S Smartwatch Features A Curved Screen And 3G Connectivity
        * LG G Watch R Will Offer A Circular Smartwatch With Android Wear In Q4 2014
        * Samsung Gear S unveiled: a Tizen watch that can stand solo
        * Samsung Gear S specs: peeking inside the 3G-supporting wristwatch
        * LG G Watch R specs: a truly powerful Android Wear watch
        * 'BioShock' for iOS Now Available Worldwide

        * Olympus PEN E-PL7 Takes Selfies To Next Level
        * Asus Smartwatch Teased In New ZenWatch Trailer (video)
        * Samsung’s Gear S smartwatch doesn’t need to constantly hang around a smartphone — it is one
        * Zotac ZBOX PI320 Pico Desktop PC System Unveiled For $199 (video)
        * Samsung Gear S Smartwatch Announced
        * 3D Printed Mac Pi
        * LG G Watch R, Full Details And Photos

        * Kluber miffed by post-review denial of warmup pitches
        * Abreu ups RBI total to 96 in White Sox victory
        * Danks hopes to go deep against Indians in finale
        * White Sox 3, Indians 2: Jose Abreu is up to the challenges
        * Abreu ups RBI total to 96 in White Sox victory
        * Review confirms play at plate in Indians' favor
        * Williams implores Chicago to denounce violence


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

        Archives
        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


        * O'Shea Steps Down..
        * Quinn Signs New Law To Protect Women..
        * Wayne's Words: If we don't pay for road work no.....
        * Plan to turn 311 into two-way street could help.....
        * Rauner broadens Ag Department patronage criticism..
        * Little League Win Lifts District Marred by Viol.....
        * Quinn & Rauner talk issues at agriculture round.....


        * Explosion at BP refinery, fire extinguished
        * Tripping seniors on purpose to stop future falls
        * Soler homers in debut for Cubs in 7-5 Reds loss
        * Reds overcome Soler's HR, beat Cubs 7-5
        * Chicago police commander accused of misconduct
        * Rauner broadens Ag Department patronage criticism
        * Chicagoan accused of defrauding Chinese
        * Still unclear how mortar shell ended up at plant
        * Chicago's Little League champs return as heroes
        * Vallas: Rauner plan would cost schools $4 billion

        * Renovation of Illinois Supreme Court building completed
        * Vallas: Rauner income tax rollback would cost schools $4 billion
        * Rauner: Department of Agriculture 'full of cronyism'
        * Durbin, Oberweis disagree over debate schedule
        * Concealed carry data botched by error
        * Teamsters vow to fight IDOT layoffs
        * Quinn vetoes bill raising speed limit to 70 mph on all interstates
        * Quinn vetoes bill increasing speed limit on all interstates
        * Quinn deputy staff chief going to private sector
        * Quinn signs law allow study of industrial hemp

        * State board approves pair of U of C Medicine projects
        * State board approves controversial Holy Cross psych unit
        * Baxter moving HQ from Illinois to Boston area: report
        * 49th Ward aldermanic fight off to a screaming start
        * Praise JRW Little Leaguers, but remember Hadiya Pendleton


        * Not so fast, say the grown-ups
        * CPD commander charged with official misconduct, aggravated battery
        * Explosion, fire at BP refinery in Whiting
        * JRW players celebrate with family at pizza party: ‘I’m feeling good — just happy’
        * City of Big Shoulders became the City of Big Smiles to celebrate JRW team
        * Cars expected to swarm tollway this Labor Day as gas prices drop
        * Emanuel super PAC makes move to elect friendlier aldermen
        * Pediatricians’ warning won’t force CPS to push back start times
        * Indiana same-sex marriage ban debated in appeals court
        * Jackie Robinson West fans line up for shirts


        * Firefighters battling extra-alarm blaze in Englewood
        * Durbin proposes 1 TV debate; Oberweis wants more
        * Indictment says Chicago man defrauded investors
        * Route 31 bypass opening moved to September
        * Elgin approves medical marijuana dispensary
        * Protesters march on West Side after fatal police-involved shooting
        * Gang member pleads guilty to role in conspiracy
        * Arrest warrant issued for Ex-Wheaton booster club president
        * Chicago Police commander charged with aggravated battery, misconduct
        * Woman dies following Northwest Side stabbing


        * Chicago police commander stripped of power, faces felony charges
        * Explosion at BP refinery, no injuries reported
        * Two neighbors, one big financial gap
        * In Wake Of Ferguson, Rally Planned In Springfield
        * Illinois Supreme Court Building Reveals $16 Million Improvement Project
        * Vallas: Rauner's Budget Plan "Insulting To Voters"
        * Teamsters Vow To Fight IDOT Layoffs
        * Congress Reevaluating Militarization Of Local Police
        * Lawyers fear speedy deportations harm minors
        * Chicago’s urban farms have yet to harvest sustainable jobs, better health


        * Our Opinion: Let the healing begin in Kincaid
        * Eugene Robinson: When mistakes become deadly
        * George Will: Navy with a mission in mind
        * Mark Mix: It’s Labor Day, not Union Day
        * Keith Kelleher: Was Harris v. Quinn a nail in the coffin or a shot in the arm?
        * Renovation of Illinois Supreme Court building completed
        * Bernard Schoenburg: IDOT ‘reorganization’ troubles ring a bell
        * Vallas: Rauner income tax rollback would cost schools $4 billion
        * Rauner: Department of Agriculture 'full of cronyism'
        * Our Opinion: Get off Facebook and talk to each other


        * State court: Workers' comp OK for kickball injury
        * Vermont bistro scolded for removing its bacon sign
        * Our view: School times
        * Open Line
        * Carbondale man arrested for armed robbery
        * Juanita Neunlist
        * Nelma Bremer
        * James Hope
        * Catherine Zoeckler
        * Shirley Dotson


        * 'The November Man' more James bomb than Bond
        * The players aren't the only ones tested on Opening Night
        * Late columnist's spy novel hits silver screen
        * Elgin marijuana dispensary crosses hurdle
        * Epstein explains why Soler was brought to the bigs early

        * Schakowsky Shadows Illinois Home Care Work...
        * Schakowsky: House GOP to blame for gridloc...
        * Dems urge CMS to ensure accurate nursing h...
        * Connie Bruck Whitewashes Schakowsky--and J...
        * Statement by Representative Jan Schakowsky...
        * Legislation proposes mandating 24/7 nursin...
        * Statement by Representative Jan Schakowsky...
        * Farm Antibiotic Restrictions Proposed - Al...
        * Jan Schakowsky: Tom Marino's Response to '...
        * Telling Nancy Pelosi to do research is sex...

        * Candidates Speak at Farm Event...
        * Candidates Speak at Farm Event...
        * Candidates Speak at Farm Event...
        * Candidates Speak at Farm Event...
        * Candidates Speak at Farm Event...

        * Group of Senators Call on Latin American P......
        * Council of Jewish Women backs call to prob......

        * IDOT Uses Zombie Video Series To Promote Safe Driving
        * Gay marriage holdouts? Or, where can one get a reliable ride home?
        * Suspect Arrested for Allegedly Setting Fires
        * Ashland Water Main Replacement Project - September Through December
        * Are Cell Phones Safe? The CDC Changes Its Mind
        * Chicago-Area Activists, Families Call On Holder To Investigate Shootings By Local Police
        * Karen Lewis, Chicago Community Groups To Launch New Education Campaign
        * Springfield Council Members To Take Up New Downtown TIF Project
        * CPS: 2014 Graduation Rate Hits A Record High
        * Police shooting protest 1


        * Governor Quinn Proclaims “Jackie Robinson West Championship Day” - Governor Celebrates with Team and Fans at Rally and Parades
        * State Department on Aging Recognizes Caseworkers & Ombudsmen at Adult Protection & Advocacy Conference - Award ceremony concludes the annual conference
        * IDOT, Law Enforcement Crack Down on Drunk Drivers Labor Day Weekend to Avoid Fatal Crashes - Safety Campaign Targets Impaired Drivers; Innovative New Digital Media Campaign Aims to Keep Illinois Motor Vehicle Injuries and Deaths on Decline
        * Eight Illinois Fire Departments Recognized For Their Fire Prevention Efforts - Award Recipients are an Example of Courage and Commitment to Saving Lives
        * Governor Quinn Signs Law to Stop Discrimination Against Pregnant Women in the Workplace - Governor Signs Landmark Legislation on Women’s Equality Day to Guarantee Women the Right to be Both Mothers and Employees




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