Firm Suing TrueCar Adds to Litigation Team
Bellavia Blatt & Crossett has added Thomas Williams, Esq., to its litigation team prosecuting TrueCar for false advertising.
MINEOLA, N.Y. — On April 22, the law firm Bellavia Blatt & Crossett announced an alliance with Lanham Act expert Thomas Williams, Esq.,partner of the firm Ulmer & Berne LLP, in prosecuting its lawsuit against TrueCar. The suit alleges that TrueCar engaged in false advertising in violation of the Lanham Act, the primary federal truth in advertising statute in the United States.
Williams is the author of “False Advertising and the Lanham Act: Litigating Section 43(a)(1)(B),” the leading treatise about the Lanham Act. He specializes in false advertising, trademark and unfair competition litigation, as well as trademark prosecution and counseling.
Currently, there are approximately 150 non-subscribing TrueCar dealers and an equal number of TrueCar-subscribing dealer plaintiffs participating in two separate lawsuits against TrueCar, a number that is expected to increase as the suits progress, according to the firm.
The lawsuit alleges that TrueCar's “no haggle” promise is untrue and its advertising misleads consumers into believing that the vehicle they are interested in purchasing is in stock; that they also are qualified to receive all available manufacturer rebates — a virtual impossibility; and for using the term “below invoice” to imply that it will be sold below dealer cost.
Additionally, the lawsuit alleges that TrueCar advertising fails to disclose that the $299 fee the dealer must pay for each transaction adds to the cost of the vehicle. These allegedly false claims affect not only the consumer, but both subscribing and non-subscribing TrueCar dealers by creating an unsatisfactory sales experience for the purchaser and lost sales to the dealers, law firm officials said.
"Having Tom Williams, the premier Lanham Act expert in the country, join this lawsuit validates our false advertising allegations against TrueCar," said Bellavia Blatt Senior Partner Leonard Bellavia. "We are pleased that an attorney at this level of expertise in Lanham Act litigation will help to right the wrongs we allege that TrueCar has committed against automobile dealers and consumers nationwide."
"Bellavia Blatt has long been a proponent of the rights of automobile dealers and this lawsuit on their behalf demonstrates that commitment," said Williams. "Our firm looks forward to working with Bellavia Blatt on behalf of thousands of dealers in promoting truth in advertising and to achieving a successful outcome for our clients."
More Compliance

Dueling Banjos in the Car Biz
Reports and accounts at variance show auto dealers’ trust profiles have risen in many consumers’ minds but that there remains a need for greater transparency by some.
Read More →
NADA and the Miracle on 34th Street
Automotive dealers should follow the National Automobile Dealers Association's consumer-friendly guidelines in order to minimize their legal risks.
Read More →
Another Look at a Recent Data Breach
Get caught up on the most pressing legal and regulatory matters facing dealers and F&I professionals, including data security, shotgun purchases, and inconsistent payment quotes.
Read More →

The Best Thing a Dealer Can Do to Avoid Legal Problems
Citing the issue is a strategy borrowed from the legal field itself.
Read More →
Fines of the Times
Civil penalties for noncompliance with federal auto retail and finance rules and regulations can add up quickly. Use this checklist to cover your bases.
Read More →
Goodwill and Car Dealers
A dealer goodwill tale is a cautionary tale worth paying attention to.
Read More →
The Regulatory Empire Is Striking Back
President Trump - entropist and corporate disruptor in consumer law
Read More →
How to Clear a Red Flag
Refine and enforce your dealership’s FTC-mandated ID theft-prevention program to ensure no transaction goes awry.
Read More →
