Ford killed Arkansas businessmen’s dealership dreams, slammed with $18M penalty
Ford didn’t just block a dealership sale—they got hit with an $18 million penalty for it. A judge says the automaker “engaged in deceit and fraud” to keep two Arkansas businessmen from buying a Ford franchise. Now, Ford’s caught in a scandal that’s sending shockwaves through the dealer world.
Ford’s Arkansas feud exposed in court
The case goes back to 2018, when Auto Dealership Partners LLC—run by Larry Crain Jr. and Heath Campbell—tried to buy a Ford and Chrysler dealership in Benton, Arkansas. The price? $4 million. But Ford exercised its right of first refusal and shut the deal down. ADP said Ford used the clause unfairly, just to block them.
Turns out, they had receipts.
In an internal email, a Ford regional manager wrote: “The buyer, as feared, is Larry Crain, Jr. His family is nearly entirely responsible for our failures in Little Rock. I can’t imagine a circumstance where he could (or should) be approved.” That email helped swing the case.
A Pulaski County judge sided with ADP. Judge Timothy Davis Fox ruled that “false and deceitful representations were made by agents and employees of Ford.” He said those lies directly influenced ADP’s decision, and the group “sustained damages as a result.” The final tally? $18 million—$16 million of it in punitive damages.
Why the Ford Arkansas ruling matters for dealers everywhere
Crain called it a win for dealers nationwide. “This verdict upholds the principles of fairness in the automotive industry and ensures that manufacturers cannot manipulate transactions to the detriment of dealers,” he said.
The court also found that Ford had secretly negotiated with a third party while misleading ADP—forcing them to pay an extra $2 million in a restructured deal. That sealed the fraud judgment.
Still, Ford isn’t backing down. A spokesperson said, “We believe Ford complied with the law and its contractual obligations.” The company plans to appeal.
Ford says it followed the law and plans to appeal. But this $18 million verdict sends a clear message: dealers won’t back down quietly. And courts aren’t afraid to hold automakers accountable.
