CarMax has agreed to pay $1 million as part of an agreed settlement with attorney generals from Texas and 35 other states over the company’s alleged failure to disclose safety recalls. In 2020 in Houston, CarMax buyer Bobby Sheik, left, looks over a Lexus SUV brought in by the owner, right, for a possible sale.SAN ANTONIO — Texas will receive more than $100,000 as part of a $1 million multistate settlement with used-car retailer CarMax over its alleged failure to disclose safety recalls.
The document states $55,000 will go to the Supreme Court Judicial Fund or to general revenue, while the remainder will cover attorneys fees and costs related to the investigation. “Open safety recalls can be a serious safety risk to drivers, passengers, and all others on the road,. The “settlement with CarMax sends an important industry-wide message that used car dealers must disclose these open safety recalls to consumers before any sale.”
When a vehicle CarMax is selling is subject to an open recall for safety issues that have not been repaired, the settlement requires it to “clearly and conspicuously disclose” that to shoppers both online and at its stores.to learn details about any recalls for the vehicle.
Well that’s disappointing....