CHICAGO — CDK Global Inc. asked a federal judge last week not to dismiss counterclaims against at least two U.S. auto dealers who have charged the company with antitrust violations, Law360 reports. In a brief, attorneys argued those dealers allowed unauthorized third parties to connect with CDK’s network, offering access to “highly sensitive” data.
Dealer attorneys argued that CDK has stated “hostile data extractors” who were “agents” of the dealers — not referring to F&I agents — accessed CDK’s systems, thus absolving their clients of liability.
“Besides grossly misreading the allegations in the counterclaims, the dealership counter-defendants’ argument is impossible to square with the court’s Authenticom order,” CDK’s attorneys argued in the brief, in part. “In moving to dismiss CDK’s counterclaims against it, Authenticom also contended that it was accessing CDK’s [dealer management system] as the authorized ‘agent’ of the dealers. The court squarely rejected that contention. As the court held, ‘CDK’s allegations do not establish that Authenticom actually was an agent of the dealers. In fact, the facts alleged suggest that the contrary is true.’”
To read the Law360 article, click here.
Originally posted on Auto Dealer Today