Most state legislatures have adjourned their 2025 regular sessions. While there has been a lot of activity this year, there’s still more on the horizon. For example, the California legislature is in the process of finalizing CA SB 766 and it’s expected that the Governor will sign it in the Fall.
The Bill will require changes to dealer advertising and sales practices beginning in October 2026. Among other things, this Bill prohibits dealers from misrepresenting material information to customers, implements new disclosure requirements in advertisements and written communications, and requires dealers to offer customers a 3-day right to return the vehicle for certain used vehicle transactions.
Between what has already passed, what is expected to pass in the near future, and the unknown of next year, it’s more important than ever for dealers to ensure their F&I documents are in order and up to the standards necessary to help protect their business from lawsuits and government regulators.
Below you’ll find a quick roundup of a few select legislative and regulatory highlights from the around the country that affect the automotive industry. Once you’re done, consider clicking the F&I Document Review button to contact an experienced consultant to receive a free review of your F&I documents.
Colorado – House Bill 1090
Effective: Effective January 1, 2026
Hot topic: Deceptive Pricing
Highlights of the bill include:
Connecticut – Senate Bill 1357
Effective: Effective October 1, 2025
Hot topic: Junk Fees
Highlights of the bill include:
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Requirement that dealers include, among other things, any fee, charge, or cost when advertising the price of a motor vehicle
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Inclusion of font size and additional language requirements for advertisements
Idaho – Senate Bill 1027
Effective: Effective July 1, 2025
Hot topic: Discrimination
Highlights of the bill include:
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Prohibits discrimination in the provision of financial services by financial institutions
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Prohibits the use of a “social credit score” to directly or indirectly decline to provide full and equal service based on a variety of factors, including religion, refusal to submit diversity disclosures, or participation in activities involving knives or firearms
Maine – Legislative Document 1727
Effective: Effective September 24, 2025
Hot topic: Misrepresentation, Artificial Intelligence (AI)
Highlights of the bill include:
Massachusetts – 940 CMR 38
Effective: Effective September 2, 2025
Hot topic: Junk Fees
Highlights of the bill include:
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Provides State Attorney General definitions on a range of topics, including certain unfair and deceptive acts
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Focuses on acts or practices related to advertising and marketing