WASHINGTON Dec 16 CarMax Inc and two
other used vehicle retailers have agreed to settle a federal
complaint that they failed to disclose to buyers that some
vehicles they were selling were under safety recall orders, the
Federal Trade Commission said on Friday.
The FTC said CarMax, Asbury Automotive Group Inc and
West-Herr Automotive Group had agreed to settle charges that
they touted the thoroughness of their vehicle inspections in
advertising but then sold vehicles that were still under safety
Under the agreement, the companies are barred from claiming
their used vehicles are safe and have been repaired for safety
issues unless they are free of unrepaired recall orders issued
by the vehicle manufacturers, the FTC said.
(Reporting by David Alexander; Editing by Eric Walsh)