Predicting what any industry will do in 2017 is a challenge. We have to consider Brexit, a new President, NAFTA is up in the air … and all this coming after a robust year of sales in 2016. But, this is an Automotive Industry Blog, so predict 2017 we will. Here we go:
- With years of higher sales, more and more vehicles are on the roads. This means more warranty claims. More warranty claims means increasing costs, which means companies within the automotive supply chain arguing over who should pay those costs. Therefore, especially when one considers that sales cannot keep going up forever, brace for a tighter market between automotive companies, and possibly more disputes.
- Between 2006-2016, U.S. Criminal Antitrust cases doubled. The new administration is expected to apply its resources differently. And what of Brexit? E.U. competition policy may be forced to change, or to include more actors.
- The Automotive Industry is very international. Where is your labor force from? Companies should expect stricter immigration enforcement and review, and delays on the availability of non-U.S. labor in the near future. This could cause the labor pool to shrink domestically.
- Compliance! Does any U.S. company not recoil at the mere mention of FCPA, OFAC, and any number of other government enforcement acronyms? With the new administration more protectionist, companies operating beyond U.S. borders should be ready for continued strong enforcement in the form of financial penalties and prosecutions.
New years and new governments always offer the prospect of change. There is every reason to think that the Automotive Industry is more at risk for more substantial changes in 2017. But don’t just trust this blog post, dig deeper. Explore the issues discussed here and many others in Foley’s annual white paper, “Top Legal Issues Facing the Automotive Industry in 2017“.
We have been thinking about these issues. We will continue to in a series of posts focused on individual areas over the next few weeks. Stay tuned!
Disclaimer
This blog is made available by Foley & Lardner LLP (“Foley” or “the Firm”) for informational purposes only. It is not meant to convey the Firm’s legal position on behalf of any client, nor is it intended to convey specific legal advice. Any opinions expressed in this article do not necessarily reflect the views of Foley & Lardner LLP, its partners, or its clients. Accordingly, do not act upon this information without seeking counsel from a licensed attorney. This blog is not intended to create, and receipt of it does not constitute, an attorney-client relationship. Communicating with Foley through this website by email, blog post, or otherwise, does not create an attorney-client relationship for any legal matter. Therefore, any communication or material you transmit to Foley through this blog, whether by email, blog post or any other manner, will not be treated as confidential or proprietary. The information on this blog is published “AS IS” and is not guaranteed to be complete, accurate, and or up-to-date. Foley makes no representations or warranties of any kind, express or implied, as to the operation or content of the site. Foley expressly disclaims all other guarantees, warranties, conditions and representations of any kind, either express or implied, whether arising under any statute, law, commercial use or otherwise, including implied warranties of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Foley or any of its partners, officers, employees, agents or affiliates be liable, directly or indirectly, under any theory of law (contract, tort, negligence or otherwise), to you or anyone else, for any claims, losses or damages, direct, indirect special, incidental, punitive or consequential, resulting from or occasioned by the creation, use of or reliance on this site (including information and other content) or any third party websites or the information, resources or material accessed through any such websites. In some jurisdictions, the contents of this blog may be considered Attorney Advertising. If applicable, please note that prior results do not guarantee a similar outcome. Photographs are for dramatization purposes only and may include models. Likenesses do not necessarily imply current client, partnership or employee status.
Author(s)
Related Insights
20 December 2024
Health Care Law Today
GLP-1 Drugs: FDA “Re-Confirms” Decision Removing Tirzepatide from the Drug Shortage List
On December 19, 2024, the U.S. Food and Drug Administration (FDA) issued a Declaratory Order reevaluating and re-confirming that the tirzepatide drug shortage has been resolved. This order revoked and replaced FDA’s October 2, 2024, decision on tirzepatide.
20 December 2024
Manufacturing Industry Advisor
Christmas Came Early: Justice Delivered in Supplier Dispute Over Unjust Enrichment
The AirBoss saga continues… This holiday season, AirBoss Flexible Products Co. received a monumental legal victory, righting a costly wrong in MSSC, Inc. v. AirBoss.
19 December 2024
Health Care Law Today
HIPAA Reproductive Health Care Amendments: Compliance in an Uncertain Enforcement Landscape
The amendments to the HIPAA Privacy Rule designed to protect reproductive health care information are under legal challenge as the compliance date quickly approaches.