Crackdowns on dealer fee disclosures continue to mount, with Louisiana and Massachusetts recently issuing new guidance on auto dealer advertising.
The details: A Louisiana Motor Vehicle Commission (LMVC) bulletin and an advisory from the Massachusetts Office of the Attorney General reinforce the Federal Trade Commission's March 13, 2026, "Notorious 97" warning while providing additional guidance on advertising requirements.
Louisiana's bulletin addresses all-in pricing, the use of "excluded" for government fees, prominent price headlines, "Click for price" language, mandatory dealer add-ons, and the use of "free" and "complimentary."
Massachusetts' advisory clarifies that separately disclosing a documentation fee elsewhere in an advertisement—even if prominently displayed—does not satisfy fee disclosure requirements.
The advisory also states that when displaying a federally required Monroney label, dealers must include an adjacent label showing the total vehicle price, including all mandatory fees, if it differs from the MSRP.
Why it matters: The latest guidance signals that scrutiny of dealer advertising and fee disclosures continues to intensify at both the state and federal levels, signaling that ensuring pricing transparency and advertising compliance will be increasingly important to avoid regulatory action and maintain consumer trust.
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Between the lines: The actions by Louisiana and Massachusetts reflect a broader industry shift toward stricter fee disclosure standards.
CarGurus announced it will require fee disclosures on inventory listings beginning July 14, with noncompliant vehicles receiving a "no rating" designation and lower placement in search results.
Other third-party listing platforms are likely to adopt similar measures as federal and state guidance on fee disclosures expands, as transparent pricing becomes an increasingly important factor in where consumers choose to shop for a vehicle.
Bottom line: As regulators and online marketplaces tighten fee disclosure standards, transparent advertising is becoming a competitive necessity, underscoring that dealers who proactively adapt their pricing and marketing practices will be better positioned to reduce regulatory risk while strengthening consumer confidence.
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