AutoNation Reverses Pledge not to Sell Vehicles with an Open Recall

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AutoNation, the U.S.’s largest new-vehicle retailer, reversed its pledge not to sell used vehicles with an open recall. AutoNation resumed selling vehicles with open recalls at the end of November. Under federal law, new vehicles cannot be sold if there is an open recall on them.

In September 2015, AutoNation announced that it had stopped selling any vehicles at retail or wholesale with open recalls. It widely publicized its pledge, and even used it in advertising. The company said it hoped other major automobile retailers would then follow their lead. However, no other retailers did follow their lead, and millions of vehicles were recalled due to defective air bags made by Takata.

AutoNation reversed one element of its policy about six weeks later and allowed some recalled vehicles to go to a wholesale auction if there were not enough replacement parts to repair the vehicles, and that meant the vehicles would be grounded for six months or more. Those vehicles had prominent window stickers which declared there was an open recall.

The company recently announced it would resume selling vehicles with an open recall. The company had 6,000 vehicle sales on hold in November, mostly due to the Takata recall. According to the company, holding those vehicles for repair has been costly, and if it resumes sales it will be able to sell them. The company also realized that although it sends open-recall vehicles into auctions with disclosures, but in most cases those disclosures were immediately removed. The company decided that if it sold the open-recall vehicles itself to consumers, the consumers could then make an informed choice.

Unfortunately, the issue of informing car owners about recalls, and getting those vehicles fixed, will not go away any time soon. If you or a loved one has been injured in an accident because of a vehicle defect, call the personal injury attorneys at Kennedy Hodges at 855-947-0707. We can help. Call us today to learn more, or visit us on Twitter to learn more about our firm. 

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