10:11 AM EDT, 10/08/2024 (MT Newswires) -- (Updates with FTC's response in the fourth paragraph and the latest stock price movement in the fifth paragraph.)

Asbury Automotive Group ( ABG ) said late Monday it has filed a lawsuit in the US District Court for the Northern District of Texas challenging an administrative proceeding filed against the company by the Federal Trade Commission as unconstitutional.

This comes after the automotive and retail service company rejected an FTC complaint in August alleging that three Asbury dealerships in the Dallas-Fort Worth area sold protection products to customers that they did not agree to buy.

Among other things, the lawsuit states that the FTC's administrative proceeding violates Asbury's constitutional rights by denying it the right to a jury trial and by allowing the FTC to act as both prosecutor and judge in the same proceeding, the company said.

The FTC declined MT Newswires' request for a comment.

Asbury shares were down nearly 1% in recent trading.

Price: 227.47, Change: -1.54, Percent Change: -0.67