Important Update on Maryland Dealership Operations and Price Gouging

Dear WANADA Members,

As we mentioned earlier today, Gov. Larry Hogan of Maryland issued an executive order closing all "non-essential" businesses statewide as of 5 p.m. 

Upon reviewing the state's specific legal guidance, our opinion, in conjunction with MADA, is that Maryland dealers can continue sales on an appointment-only basis until instructed otherwise, while also adhering to the state's social distancing guidelines.

Please note that while dealerships in Maryland could continue sales until instructed otherwise, this statement is subject to change at any time.

Gov. Hogan also issued a separate executive order today designed to curb price gouging in response to COVID-19. Under Section I, item L, "motor vehicle parts and repairs" are specifically mentioned, and dealers are prohibited by law from increasing their overall profit margin by more than 10 percent on these goods and services during the state of emergency.

According to The Baltimore Sun, Gov. Hogan's executive order on non-essential business closures will follow the federal guidelines around "essential" businesses, which include auto repair facilities.  We believe that, at minimum, auto repair facilities will continue to be allowed to remain open throughout this ongoing pandemic, while also adhering to CDC guidelines around social distancing and OSHA regulations . 

Obviously, this is a very fluid situation, and in the absence of a list like the one Delaware produced that specifically outlines which business can and cannot continue to operate, we want our dealers to be able to continue serving the community as long as possible, while doing so in a way that prioritizes the safety of employees and customers. 

Please also refer to Maryland's COVID-19 business page for information on these regulations, along with information about Small Business Administration loans and various state grants that are available to impacted businesses.

We will continue updating you as we know more. Please reach out to me or Joe Koch ( [email protected]) at any time with questions you may have.

Sincerely,
  
John O'Donnell
WANADA President and CEO