BSM Prevails in Establishing Dealer Association Standing
In January of 2020, BSM filed a lawsuit against Ford on behalf of the New Jersey Coalition of Automobile Retailers arguing that Ford’s Lincoln Commitment Program (“LCP”) violated the New Jersey Franchise Practices Act. The LCP provides dealers participating in the Program with a per vehicle incentive not available to dealers who choose not to participate in the Program. Accordingly, NJCAR contends that the LCP violates New Jersey’s requirement that a manufacturer sell vehicles to all dealers at the same price with no differential in discounts, bonuses, etc.
In 2022, the trial court entered an order granting Ford’s Motion for Summary Judgment on the grounds that NJCAR did not have standing to bring legal claims against Ford on behalf of its Lincoln members. NJCAR appealed the trial court’s order. BSM partner, Kirby Bissell, argued the appeal before the Superior Court of New Jersey – Appellate Division, on March 6, 2024.
On April 4, 2024, the Appellate Division ruled in favor of NJCAR overturning the trial court’s order granting Ford’s Motion for Summary Judgment. The Appellate Division found that NJCAR met New Jersey’s standing requirements for an association to bring legal claims on behalf of its members. The case will now proceed before the trial court.