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National Auto Dealers Association (NADA)May 11, 20231 min read

FTC Safeguards Rule Compliance Deadline Fast Approaching: June 9th

As NHADA & NADA has been warning, discussing, explaining, and reminding dealers for several years, the compliance deadline for the Federal Trade Commission’s amended Safeguards Rule is fast approaching.

The original deadline was December 9, 2022, but after NADA sought an extension, the FTC extended the deadline to June 9, 2023. There are no indications of any further extensions. And with the deadline now a month away, dealers are reminded again that full compliance with these complicated new requirements must be completed by June 9

As repeatedly noted, compliance with this rule is complicated and time-consuming, and dealers must act now if they have not yet completed their compliance efforts. Compliance is not a simple task that can be undertaken lightly or quickly, or simply outsourced to a vendor.      

You can find guides, program templates, webinars, workshop sessions, third-party and governmental resources, vendor services, and more at

More webinars and related material will be issued to dealers in the coming weeks. In addition, NADA continues to work with vendors, OEMs, and others in an effort to bring clarity and efficiency to Safeguards compliance for dealers going forward. 

For those of you who have met the requirements of the Rule, remember, this is not a “one and done” type of rule. It will require a consistent effort toward security that should become part of your ongoing operations. 

And even if you have not started, don’t despair, but don’t wait—work with your advisors, staff, attorneys, vendors, and others today. You are behind, but that should not stop you from taking the steps necessary to comply with the new requirements in order to protect your dealership and your customers. 

NOTE:  Many of you may likely be aware of a separate proposed rule from the FTC—the Vehicle Shopping Rule—that would regulate dealership sales and advertising practices. These numerous new regulatory requirements can be confusing but do not confuse that proposal (which is important but unrelated) with the Safeguards Rule and this pending compliance deadline.