Auto Distribution: Current Issues & Future Trends

9:00 am

Opening Remarks

• FTC Chairwoman Edith Ramirez
• Professor Francine Lafontaine, University of Michigan (former Director, Bureau of Economics, FTC)

State Regulation of Dealer Networks

Most states closely regulate the ability of automobile manufacturers to add new dealerships, shut down existing dealerships or move dealerships to new locations. This panel will explore the purpose and effect of these laws from the perspective of both market participants and consumers. On balance, do these laws benefit or harm consumers and competition?

Panelists:

• Jim Anderson, Founder, President & CEO, Urban Science
• Carl Chiappa, Partner, Hogan Lovells
• Aaron Jacoby, Partner, Arent Fox
• Joseph Roesner, President, Fontana Group
• Professor Henry Schneider, Cornell University

Moderators:

• James Frost, Office of Policy & Coordination, FTC
• Patrick Roach, Office of Policy Planning, FTC

11:00 am

Warranty Reimbursement Regulation

When dealers repair vehicles covered by a manufacturer warranty, manufacturers reimburse the dealer for the cost of the labor and parts used to effectuate the repair. Many states directly regulate this reimbursement process, establishing detailed formulas for calculating reimbursement rates. This panel will discuss both the benefits and drawbacks of state regulation in this area, with a particular focus on consumer welfare considerations.

Panelists:

• James Appleton, President, New Jersey Coalition of Automotive Retailers
• Daniel L. Goldberg, Partner, Morgan, Lewis & Bockius
• Professor David Sappington, University of Florida
• Richard Sox, Partner, Bass Sox Mercer

Moderator:

• Nathan Wilson, Bureau of Economics, FTC
• James Frost, Office of Policy & Coordination, FTC

12:30 pm

1:45 pm

Professor Dennis Carlton, University of Chicago

Direct Distribution

Some states restrict the ability of car makers to sell their vehicles directly to the ultimate consumer, mandating the use of independent, franchised dealers. Several new entrants into automobile manufacturing have sought to bypass or overturn these restrictions and deal directly with the public. Are restrictions on direct distribution in this industry in the public interest? This panel will include experts on both sides of this contentious issue.

Panelists:

• Professor Dan Crane, University of Michigan
• Maryann Keller, Managing Partner, Maryann Keller & Associates
• Todd Maron, General Counsel, Tesla Motors
• Steven McKelvey, Partner, Nelson Mullins
• Paul Norman, Partner, Boardman & Clark
• Joel Sheltrown, Vice President of Government Affairs, Elio Motors

Moderators:

• Patrick Roach, Office of Policy Planning, FTC
• Paolo Ramezzana, Bureau of Economics, FTC

3:45 pm

Future Trends

If current press reports are accurate, big changes may be coming soon to the ways people use automobiles. As new technologies such as autonomous vehicles, connected cars and car sharing services become more prevalent, how might existing regulatory structures need to change? What will these new ways of using automobiles mean for the traditional, franchised distribution system in place today? How should the interests of competition and consumers be protected?

Panelists:

• Avery Ash, Director of Federal Relations, American Automobile Association
• Ashwini Chhabra, Head of Policy Development, Uber Technologies
• Robbie Diamond, Founder, President and CEO, Securing America’s Future Energy
• Professor Fiona Scott Morton, Yale University
• Professor Bryant Walker Smith, University of South Carolina
• Peter Welch, President, National Automobile Dealers Association

Moderators:

• Ellen Connelly, Office of Policy Planning, FTC
• Patrick Roach, Office of Policy Planning, FTC

5:25 pm

James Frost, Office of Policy & Coordination, FTC