New York State Attorney General Letitia James and a coalition of 35 other state attorney generals have received a $1 million settlement agreement from CarMax.
In a release, the attorney general‘s office said the company failed to disclose vehicle safety recalls before the final-bill-of-sale went to customers. Critical mechanical parts, such as recalled brakes and fuel pumps, weren’t disclosed to the buyers.
James said in the release, CarMax put New Yorkers at risk by allowing customers to drive away in purchased vehicles without informing them about safety recalls.
"This agreement will protect New Yorkers and ensure that consumers are aware of any safety recall before they start driving," James said. "As Attorney General, I will continue to ensure that companies that bypass the law are held to account and that New Yorkers are protected.”
New York is to receive nearly $54,000 in settlement funds.
