How serious are safety recalls?

How serious are auto safety recalls?  Ask anyone who has lost a family member, or been severely burned or rendered quadriplegic, as a result of a safety defect, and they can tell you that auto safety recalls should not be ignored.

The National Highway Traffic Safety Administration is working to improve safety recall repair rates. Their goal:  getting 100% of recalled vehicles repaired, the sooner the better. Auto manufacturers are joining in that effort and turning to social media, offering discount coupons, and advertising about safety recalls in multiple languages. All in an effort to persuade consumers take their cars for recall repairs.

However, car dealers in California are so intent on maximizing their profits, they are doing something breathtakingly irresponsible. They are claiming, publicly, that only about 1% of safety recalls are serious. Seriously. Why? They don’t want to frighten people from buying millions of cars with lethal safety defects, like air bags that are prone to exploding with excessive force, spewing metal fragments into drivers’ and passengers’ faces and necks, and blinding them or severing arteries, so they bleed to death.

Just because the cars are unsafe, and there aren’t enough repair parts available to replace the defective air bags, dealers argue that shouldn’t interfere with their selling the unsafe cars to teenagers as their first cars, or to families with young children.

All the more reason not to by a used car from a dealer. Who wants to spend 4 hours on a car lot dickering over cars, only to end up with a vehicle that has a lethal safety defect, and no repair parts available for months on end?

Read more: CBS News: Feds seek ideas on getting more safety recalls done

Caught on video: new car dealer lobbyist admits why they killed bill that would have improved the law against dealers selling unsafe, recalled used cars to consumers.

CARS’ tips for buying a safe, reliable used car without having to set foot on a car dealer’s lot

 

Car Dealers seek to legalize sales of unsafe recalled used cars

Faced with record numbers of recalled cars and lengthy shortages of repair parts, car dealers are pushing aggressively to weaken state laws that prohibit them from deceiving their customers into buying used cars with lethal safety defects.

Car dealers are eager to foist the unsafe cars off onto their customers, knowing that there is no way they will be able to get the serious safety defects repaired, for months on end. In one horrific case, a father, mother, 13-year-old daughter and brother-in-law were all killed within hours after the dealer handed them the keys to an unsafe car. The publicity surrounding that case led to Toyota’s issuing a massive safety recall, and eventually paying a record fine. However, the dealers do not seem capable of learning from that tragic incident and its aftermath.

Federal law prohibits car dealers from selling recalled NEW cars to consumers until they have been repaired.  There is no similar, specific federal law that prohibits dealers from selling recalled USED cars to consumers. However, broader, more generic state laws in every state, and some federal laws, prohibit merchants, including car dealers, from engaging in fraud, false advertising, unfair and deceptive acts and practices, anti-competitive behavior, reckless endangerment, negligence, and other shady practices. In addition, a whole body of case law exists that prohibits such illicit conduct.

The National Highway Traffic Safety Administration has charged some dealers with violating the federal law against selling recalled new cars to consumers. What’s next? Dealers trying to make that legal too?

KPIX-TV, the CBS affiliate in San Francisco, broadcast this news report about the car dealers’ highly controversial, anti-consumer, anti-safety bill in California. Be sure to watch for the reaction at the end, by the news anchors:

KPIX-TV: Car dealers fight back over recall disclosures

 

 

 

CarMax – Too Risky for Wise Investors?

Thinking of investing in CarMax? You may want to take a close look at their breathtakingly risky practice of selling unsafe, recalled cars to consumers.

CarMax is already under fire from consumer groups,  faces potential action by the Federal Trade Commission, and has been repeatedly exposed in undercover investigations by TV news organizations, including ABC’s 20/20, over its sales of unsafe, recalled cars to consumers.

Here’s the rub:  CarMax advertises that all their cars must pass a “rigorous 125+ point inspection” before they can be sold as “CarMax Quality Certified” cars.  But how can a car with a killer defect possibly pass a rigorous inspection and meet their standards?

Despite the mounting scrutiny, CarMax recklessly persists in selling “CarMax Quality Certified” unsafe, recalled cars at retail to consumers. Case in point:  Even when competitors like AutoNation have wisely announced their decision to cease selling used cars with unrepaired Takata air bags, CarMax continues to sell them anyway.

Defying common sense and responsible business practices, CarMax somehow seems unable to bring itself to stop selling consumers cars with the notoriously defective air bags, which can explode on impact, hurling shrapnel at the driver and front-seat passenger’s face and neck..  In cases that are making global headlines, the defective air bags have caused  serious injuries, including blindness, while other hapless victims have bled to death.

This particular defect  remains the focus of Congressional investigations in the U.S. Senate and House of Representatives. Takata also faces possible legal action by the National Highway Traffic Safety Administration, and by the US Department of Justice.

So — what does AutoNation know and take into account that CarMax doesn’t seem to grasp?

Is CarMax waiting for a total PR catastrophe, before they stop making that added bit of profit by selling lots of unsafe, defective, recalled cars to consumers, instead of having them repaired or selling them for a somewhat lower price, at wholesale?

Whatever CarMax’s motivation, wise investors may wish to rethink the company’s self-inflicted level of exposure.

 

2011 – 2012 Ford Explorers recalled due to steering defects

Ford Motor Company is recalling 300 model year 2011-2012 Explorers equipped with steering gear replacement parts that were installed in September 2013 and January 2014. The  gears may lock, resulting in steering loss and an increased risk of being in a crash.

As required by federal law, Ford will notify owners about the safety recall. Ford dealers will replace the defective steering gears with new steering gears, free of charge to the owners of the Explorers.

The recall was expected to begin on January 24, 2014. Customers who have questions may contact Ford at 1-800-392-3673. Ford’s number for this recall is #13S14. Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to:

 National Highway Traffic Safety Administration

If you are shopping for a used Explorer, NEVER trust the dealer to tell you whether or not this safety recall has been performed.  Lobbyists for new and used car dealers claim they cannot tell if a car is safe or not, and say it’s too much bother to check safety recalls prior to selling a used car to the public.

They also say that if there is a delay in getting repair parts, they should be able to sell the unsafe car to a consumer, rather than having to wait until the repairs have been performed.

Want to see for yourself what dealers have to say about their right to sell unsafe, recalled used cars to consumers?  Check out YouTube video from official CA legislative hearing:

car dealer lobbyists trying to kill auto safety legislation

 

 

 

 

 

 

 

 

 

NY Times: Ford issues safety recall, NHTSA upgrades investigation into Jeep fires

WARNING — FORD EDGE and CRYSLER JEEP owners:

“Ford recalled about 28,000 of its 2012-13 Edge crossover utility vehicles for possible fuel leaks on models equipped with the 2-liter 4-cylinder EcoBoost engine, according to a report posted on the National Highway Traffic Safety Administration website. The automaker said the fuel line pulse damper was not manufactured properly by a Michigan supplier, which could allow ‘fuel odor, seepage or a small fuel leak.’ ”

Caution: If you are buying a used vehicle, NEVER  rely on the auto dealer to ensure that the safety recall repairs have been performed. Car dealers have been caught over and over again selling unsafe, recalled cars, pickups, and SUVs.

One large new car dealership in California even sold one that was supposedly a  “certified” used car — that nearly killed the buyer when the safety defect occurred.

How can you find out if a vehicle has a pending safety recall? It’s easy — write down the Vehicle Identification Number and call a local dealer, or check the manufacturer’s website.

Read more: “NY Times report”

Dealers selling unsafe, recalled used cars

 

Ford recalls 370,000 sedans over possible steering loss

Ford Motor Co. announced it is recalling about 370,000 Ford Crown Victoria, Mercury Grand Marquis and Lincoln Town Cars produced between 2005 through 2011 because corrosion could cause a loss of steering. The safety recall includes about 355,000 vehicles in the U.S. and another 15,000 in Canada.

The recall is focused on vehicles in 22 states and Washington, DC, and includes about 195,000 Crown Victoria police cars.

The National Highway Traffic Safety Administration had been investigating multiple complaints about steering loss in 2005-2008 Crown Victoria cars outfitted for use by police.

Ford said owners in other states, who may not receive notice of the recall in the mail, could take their vehicles to Ford dealers for a check-up, and, if necessary, the cars would be repaired at no cost to the consumers. Federal law requires auto manufacturers to provide auto safety recall repairs at no cost to the owners.

Unfortunately, if the vehicles are owned by new or used car dealers who do not have a Ford franchise, they may not  be repaired before they are rented, sold, or loaned to unsuspecting used car buyers.  Auto dealers are fighting attempts in Washington, DC and Sacramento to help ensure that dealers have the safety recall repairs performed — for FREE — before they foist them off on their customers.

Did a dealer sell you an unsafe, recalled used car? If they did, CARS wants to hear from you — here’s where to contact CARS.

Read more:

NY Times report: Ford announces safety recall

Car dealers oppose having to fix unsafe, recalled used cars