In a joint effort, several auto safety and consumer groups are asking the Federal Trade Commission (FTC) to stop CarMax Inc., the largest used-car seller, from advertising its vehicles as ‘rigorously inspected when it fails to complete recall repairs prior to selling the vehicles.’
The measure, recently filed with the FTC and supported by Sen. Charles Schumer, (D-NY) comes as groups press Congress to change the law to force dealers to fix recalled vehicles before they are sold. A separate petition aims to force rental car companies to repair recalls before lending their vehicles.
The FTC petition targets the company’s advertising as “CarMax Quality Certified” with a rigorous “125+ point inspection.” The four-page petition calls it “inherently deceptive” to tell customers that vehicles have passed a rigorous safety inspection, “while failing to take even the most basic step of checking the vehicle’s safety recall status.”
Auto dealers are prohibited by federal law from selling vehicles that are under safety recall.
More than 53 million vehicles have been recalled in the U.S. over the last 18 months, or an estimated 20% of all vehicles on the road. There has been more than 31 million recalled so far this year, an annual record for the industry.
You can read more about the issue in this post by the New York Times.