Arkansas dealers,

As many of you know, on March 13, 2026, the Federal Trade Commission (FTC) announced it was sending letters to 97 auto groups nationwide, warning them of potential violations of federal advertising laws — that the prices they advertise must be the total price, including all mandatory fees, which consumers will be required to pay. The FTC did not disclose which dealerships received the letters.

The FTC letters encourage dealers to review their advertising and pricing practices, including ensuring advertised prices include all fees consumers will be required to pay when buying a vehicle. At a minimum, this includes evaluating advertised prices to ensure they match actual prices charged to consumers. The letters state that the FTC will continue to monitor the marketplace and will take additional action as warranted to ensure compliance with the FTC Act and other rules the Commission enforces.

This latest FTC action should serve as a reminder to all Arkansas dealers that our industry is always being closely monitored by regulators at both the federal and state levels. It is also a reminder of the critical importance that AADA, as well as NADA, serves in advocating and educating dealers on these regulatory expectations.

At the state level, the Motor Vehicle Commission enforces Rule 3 on dealer advertising. Interestingly, each of the FTC warnings in the letters sent to dealers across the country are specifically addressed in this advertising rule. These FTC warnings that are also listed in Commission Rule 3 include:

• The most prominent price in all ads must be the all-in price (everything except for governmental fees). This must be the out-the-door price at which any consumer can purchase the vehicle.
• The FTC is not regulating the amount of doc fees, but doc fees still must be included in the all-in price.
• Other information can be in the ad provided it is truthful, less prominent, properly and clearly qualified, and does not confuse ordinary consumers.

These latest actions will likely be just the beginning as the FTC stressed that its announcement furthers the administration’s imperative of transparent pricing in the marketplace, and warned that dealers should expect FTC enforcement actions (which are nonpublic) to follow.

AADA is strongly recommending that dealers take a very close look at their advertisements and advertising practices. The path forward is clear when it comes to advertisements: Be transparent, be proactive and get compliant!