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CarMax: Hidden Recall Defects That Create Big Risks

CarMax: Hidden Recall Defects That Create Big Risks

You’re going to love this story. Used cars that are under recall status are
being sold without their safety flaws or deadly defects being corrected. Joining me now to talk about this is Executive
Editor for Trial Lawyer Magazines, Farron Cousins. Farron, let me ask you this, you cover all
stories. You see every odd iteration of corporate America,
trying to pull of a scam. This is a big scam. It really is. CarMax, the company doing this, one of the
largest auto resellers in the United States. A recent survey found out that as many as
25% of their vehicles are being sold with existing active recalls on the vehicles. We’ve known this for a long time. A lot of recalls might be minor, but we do
have very major, life-threatening recalls out there in the country now. We have the ignition switch recall, Takata
airbags, where the airbag is essentially exploding, and shooting shrapnel instead of protecting
somebody in the event of an accident. CarMax knows that these defects are there,
knows that they don’t even have to pay to fix them. But they don’t want to take the time, because
any time that car’s not sitting on the lot, getting a recall fixed, they can’t sell it
that day, and it costs them money, I guess, in the long run. Of course, it’s sold “as is”. An explosion with the airbags, shrapnel in
your head. That’s your responsibility. You bought the car. But truthfully, this is going to end up in
some serious lawsuits. It absolutely is. Eric Schneiderman in New York City has already
taken on similar cases with auto dealers knowingly selling a vehicle that has an active recall,
insisting the vehicle is safe. Because that’s the thing; it’s not just that
they’re selling it with the recall, it’s that they know there’s a recall, they’re not telling
the consumer about it, the consumer’s not going back and checking, because you assume
this dealership has done the due diligence. Because they know. When they get a new car in, they run the VIN. They know what’s out there. It’s one thing to sell a car that maybe has
defective paint, maybe a defective windshield wiper, but when you’re selling a car where
you have a defect that can cause death, that’s a little different. The standards are raised a little bit. What surprises me, shouldn’t the FTC step
in and do something here? If the government functioned like it was supposed
to function in the United States, it absolutely would. But we know for a fact, that regulatory agencies,
everything from the FTC to the EPA to the FDA, for decades have been captured by industry. They’re not going to step in and regulate
their buddies. They’re going to do what they have to, to
make sure that their buddies are taken care of. That their bottom lines aren’t affected, so
we change the rules. We don’t enforce certain rules, and that’s
why we end up in situations like this, where a massive corporation can get away with just
selling you a vehicle that may, or may not, kill you. They know it, but they won’t tell you. Well here’s the issue; I think the case
is going to turn on this. The case is going say, ‘Look, we sold this
‘”s is”.’ But to sell “as is” with a hidden safety issue,
a danger, a hidden danger that could result in your death … Maybe the car burns up. Maybe an electrical fire takes place. Maybe that shrapnel problem that they’re having
with the Takata airbags becomes an issue. For a used care dealer to say, ‘We’re on
good ground. I’m not worried about this.’, buddy you
better take a reality check. I’m calling this. You’re going to see some cases come out of
this, where somebody’s killed because of one of these latent defects, where there’s been
a recall. There’s going to be a big problem there. As someone watching this program, what should
they know about CarMax before they go buying a car there? Well, first and foremost, any time you go
to buy a vehicle, do not …. I don’t want to say, ‘Don’t trust the dealership.’,
but you got to do your own research. Get the VIN number. They’re all available online. The NHTSA government website, look for recalls,
look for defects. Get the VIN and do your research. Thank you, Farron.

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11 thoughts on “CarMax: Hidden Recall Defects That Create Big Risks

  1. This is very true. Went I went to Fresno I had my car's oil changed at CarMax. The honest mechanic said that there might be a recall for my nissian Sentra 2015. Thankfully it wasn't my model. The sales guy never told me about the recall for Nissan sentra's

  2. Recalls are from the vehicle manufacturer in compliance with the National Highway Traffic Safety Administration. Often times the parts for the recall can't be manufactured fast enough to meet a large recall. It is not far to put blame or negligence on Carmax. The NHSTA are the police when it comes to vehicle recalls. And, the NHTSA does fine vehicle manufactures which often set records almost yearly. It's a complex matter that does require constant improvements.

  3. Need a better set. As it is now it has Farron looking upwards to meet Pap's eyes. Need to have seats or have them further apart.

  4. (the rules of the manufacturer states that …no payment for the job unless the car was registered to owner…) not CarMax's fault but the manufacturer's fault

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