The National Franchised Dealers Association said the partial suspension of the motor finance redress scheme was essential for dealers.
The Upper Tribunal introduced the measure while it looked at the legal challenges to the scheme coming from four parties.
The NFDA said dealers should continue to work on customer queries and going back on historic records.
Sue Robinson, chief executive of NFDA, said: ‘The Upper Tribunal’s decision to grant a partial suspension provides an essential operational pause for our members.
“We encourage dealerships to remain highly proactive in managing customer inquiries and maintaining precise historic records.
“Long-term certainty ensures that businesses and consumers alike can plan for the future with confidence.’
The NFDA said it had consistently called for a practical and balanced approach to the Redress Scheme and will continue to engage with the FCA to ensure its members have the guidance required to navigate this period.
