Accomplishments of the Automotive Retailers Association

Industry Talks - ARA Listens!

"For decades now, companies in different automotive sectors in B.C. have dealt with government ministries, ICBC, WorkSafe, taxation authorities and other institutions on a collective basis on issues of common concern through their ARA divisions and industry liaison committees. In this way ARA members can match the negotiating power of the entities which regulate them, supply to them and buy from them on issues of common interest without restricting their ability to compete with each other."

Over the years since its inception, the ARA has achieved many milestones that have helped to shape the independent auto industry in British Columbia. Sometimes it's the influence we have on government policy, sometimes it's the result of our negotiating power. It can also be something as simple as securing a better price on a product or service for our members. It would be quite a task to look back over the entire history of the ARA and list every accomplishment, big and small, so what we will present here are some of the more significant highlights.

The Early Years

It was not long after the ARA came into existence that it was called upon to defend charges laid against twenty-eight member firms by the Combines Department of the Restrictive Trade Practices Commission under the Federal Competition Act, which alleged that these firms had violated provisions of the Act regarding gasoline retailing in B.C. Named in the charges were not only service station operators, but also some dealerships. Combines investigators began an extensive examination of the industry, the results of which were summarized in its report to the Minister of Justice in Ottawa.

The ARA was obligated to engage the expertise of barristers and solicitors to defend the charges. To meet the heavy legal expense, the Association had to look for funding in the form of volunteered contributions from members. (This is not unlike the fundraising efforts undertaken by our Collision Repair Division in 2007 & 2008, as that Division incurred masive legal and consulting expenses during the CRIA III negotiation process.) A legal defense fund was established to finance the ongoing lawsuit, which was not settled until some five years later when an appeal in front of the Supreme Court of Canada resulted in a ruling that found the original conviction by the Combines Department to be without merit. This case was so time-consuming for the ARA executive and staff that much of their energies were spent on this rather than on other potentially productive and beneficial work for the membership. However, when the case against those 28 members was finally dismissed in 1956, no one had any regrets.

This early example of what can be accomplished when we all work together illustrates why there are times when it appears as though the Association is focussed on one particular Division, or segment of the industry, seemingly at the expense of the others. The fact is, the Association expends energy where it is most needed at any given time. Over the years, concentrated attention turns from one Division to another, as required. What's more, setting a precedent in one segment of the industry often has a positive influence later for another segment of the industry. Obviously, if it were not done this way, the effectiveness of our collective resources would be compromised.

To be continued...

Related Information:

• Introduction to the ARA
• History of the ARA
• How to Join the ARA