Tag Archives: OEM

Managing Warranty, Regulatory, and Commercial Litigation Risks

Elevated warranty expenses for Original Equipment Manufacturers (OEMs) are expected to continue in 2018, and automotive suppliers can expect to continue paying a greater per-vehicle share of these expenses. Because OEM purchase orders and corresponding terms and conditions contain highly OEM-favorable language, exceptions and limitations to supplier warranties are difficult to negotiate.… Continue reading this entry

Is Congress Finally Getting Serious About Curtailing Design Patents in the Auto Industry?

In recent years, OEMs have been growing their design patent portfolios at a rapid pace.  Specifically, OEMs have been securing patent protection on replacement parts, including bumpers, fascias, light fixtures, mirrors, hoods, and trunks, providing them with additional leverage over suppliers and aftermarket competitors for the entire 15 year life of a design patent.… Continue reading this entry

What the Supreme Court’s Latest Patent Decision Means for Automotive Suppliers

Although U.S. patent law has long-established limits on enforcement after a patented product has been sold, the technological innovations may put a bulls-eye on the automotive industry for patent litigation.  However, when suppliers patent components sold to other downstream suppliers or to OEMs, the list of potential patent infringers may have just gotten a lot … Continue reading this entry

New Administration Ramps up Enforcement Efforts

Suppliers Get Ready For Your Recalls
The Trump administration has vowed to bring jobs back to the states. One of the methods it appears it’ll take advantage of is continued, aggressive enforcement of U.S. laws governing exports and international conduct.… Continue reading this entry

Commercial Contract Risk in 2017

OESA Sees Sunny Skies for Auto Industry
Coming off a record year in car sales, it’s expected that warranty and recall costs will continue to be on the rise. With that in mind, it’s vital that OEMs and suppliers have both their foreign and domestic contracts in line.… Continue reading this entry

Warranty Issues in 2017

While the jury is out on whether 2017 will be a peak year for new vehicle sales, elevated OEM warranty and recall costs are likely to continue. OEMs, likely will continue to pay the largest share of these expenses, but suppliers can expect to pay a greater per-vehicle share.… Continue reading this entry

Navigating Connected Cars in 2017: Data Protection

It’s a fact: today’s marketplace has given connected cars the green light. As an OEM or supplier accelerating to create products to meet industry demand, what challenges can you anticipate in 2017? Here is the second installment (following up our post on IP Protection) describing where we believe your attention should be focused during the … Continue reading this entry

What Will Car Companies Look Like in the Future?

As we have written about before, what is an “automotive” company is changing. We have also written how companies like Uber, Lyft may disrupt the automotive industry. We have even considered what might be the focus of OEM’s going forward. But, we may be underselling just how disruptive things are within the industry. Morgan Stanley posits that … Continue reading this entry

Role of Talent in Site Selection for Automotive Manufacturers

One of the leading challenges facing many manufacturers in the U.S. automotive industry is the attraction and retention of talent. At the same time, many U.S. states (particularly in the South and Southeast) are throwing attractive incentive packages at manufacturers to lure them to move to their states. At the recently concluded 2015 National Directors … Continue reading this entry

Top 2016 Litigation Issues Facing the Auto Supply Chain

Nobody likes a fight. Well, almost nobody. Trial lawyers, boxers, and MMA fighters might be the only ones. But, in business, the occasional fight is pretty much inevitable. What fights do we foresee for those in the auto industry in 2016? Well, we see the potential for some in the supply chain in one form … Continue reading this entry

A Perfect Storm for Automotive Patent Disputes?

As the automotive industry rebounds from its recessionary levels to an all time record level of spending on vehicles and healthy profitability, one of the key drivers of the increased vehicles sales has been increased innovation and major redesigns of vehicles. The number of new products in 2014 increased nearly 50% compared to the preceding … Continue reading this entry

Just How "American-Made" is Your Car?

OSHA Turns Its Sights on Auto Suppliers
We think that we know where our car is made. Turns out, we might not be so right. The more globalized the automotive industry becomes with each passing day, the harder it is to identify an “American-Made” car. Cars.com has tried with its 2015 American-Made Index. Cars.com considers a vehicle American-Made if it has at least 75 percent … Continue reading this entry

A Study of Recall Completion Rates

This post was written by special guest authors Neil Steinkamp, Managing Director, and  Jake Reed, Manager, from Stout Risius Ross. There has been much attention recently regarding the efforts made to complete recalls in a timely and effective manner. Significant, high-profile recalls have garnered media attention as well as regulatory scrutiny as OEMs have faced challenges … Continue reading this entry

Navigating Product Recalls

Recalls are in the news as much as ever. The number of units recalled in 2014 eclipsed the total from 2010-2013, combined. Takata’s recall is expanding to 34 million vehicles as the company enters a Consent Decree with NHTSA. Thus, 2015 will likely exceed 2014. Companies throughout the automotive supply chain face more challenges than ever before in … Continue reading this entry

Is Your Company a Federal Government Contractor?

Suppliers Get Ready For Your Recalls
Many automotive suppliers do not consider themselves federal government contractors because they only sell goods and services to the major OEMs and not directly to the federal government. However, purchase orders with OEMs or other customers that incorporate by reference Federal Acquisition Regulation (“FAR”) clauses, FAR agency supplemental clauses, or other federal government contracting laws … Continue reading this entry

European Trade Secrets Directive Looks to Unify and Strengthen Protection of Proprietary Business Information in the EU

New Federal Trade Secret Protections on the Horizon?
Home to several of the world’s largest OEMs, and a major place of operations for others, Europe has a thriving automotive industry. As borders have become more and more open in the European Union, OEMs and their suppliers often have operations in several different countries. However, these businesses, as do those in other industries, then have to … Continue reading this entry

What Are the Barriers to Autonomous Vehicles? The Answers May Surprise You…

Foley hosted Drive Forward: The Future of Telematics on January 14 and undoubtedly, our speakers agreed – the connected car is here to stay with technology rapidly advancing towards the integration of autonomous vehicles. Speakers provided supplier, OEM and legal perspectives on the technologies and challenges associated with the increased interconnectivity of vehicles.… Continue reading this entry

New U.S. Sanctions Target Automotive Companies Doing Business in Iran

On June 3, 2013, President Obama signed a new executive order expanding U.S. extraterritorial sanctions on Iran to multinational corporations that engage in significant financial or commercial transactions with the Iranian automotive sector. The move strengthens the new sector-based sanctions regime imposed under the Iran Freedom and Counter-Proliferation Act of 2012 (“IFCA”), which targets business … Continue reading this entry