Tag Archives: recalled rental vehicles

Recall Rental Law Protects Drivers From Safety Defects

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On December 4, 2015 President Obama signed the Fixing America’s Surface Transportation (FAST) Act (Pub. L. No. 114-94) into law. Although the federal act focuses primarily on maintaining infrastructure, a major provision within the regulations includes rules affecting automobile rental companies. The legislation was championed by the family of Raechel and Jacqueline Houck, sisters who died in a rental vehicle that was under a safety recall that had not been repaired.

Beginning June 1, 2016, any company or dealer with fleets greater than 35 will be prohibited from renting vehicles with recalls until the problem has been fixed. Although the bill passed with the support of the rental car industry and the input of the American Car Rental Association, smaller independent companies question how the bill will affect their business. Often, automakers will announce a recall without a timeline for repairs or parts, leaving some fleets with cars parked for a potentially long time. Continue reading →

Dealerships Propose Bill To Protect Consumers From Unfixed Recalls

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In response to the NHTSA pushing congress to change rules that will force car rental companies and used car dealerships to fix recalls, California car dealers have come up with their own version of a fix they say will protect consumers. The organization is proposing a state bill that would require 100% disclosure of recalls for used car sales. Dealerships would be obligated to tell you about all defects and where you can go to get it fixed, same line dealerships would have to make repairs before they could sell a recalled car, and serious recalls, as defined by manufacturers, would have to be fixed no matter which type of dealership is selling it. Continue reading →

NHTSA wants Congress To Decide On Recalled Auto Safety

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Once again, the National Highway Traffic Safety Administration (NHTSA) and elected officials are pushing congress to pass laws that require car rental companies and used car dealerships to fix recalls before vehicles can be rented or sold. Under current federal law, rental companies and used car dealers are not required to fix a defect, or even tell you that there is a problem, before you drive a vehicle off their lot. This lack of regulation puts drivers at risk and has lead to fatal crashes. Continue reading →

New York Pushes For Used Car Repair Rule

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According to a report in the New York Times, the city hopes to implement legislation that will address the problem of vehicles being sold with unfixed recalls on them. Federal legislation to address the problem has been stalled in Congress for years as dealers say it would cost companies and consumers unnecessary time and expense to implement the guidelines. Continue reading →

California Bill Prohibits Sale Of Recalled Used Vehicles

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Santa Barbara Senator, Hannah-Beth Jackson is proposing a bill that will prohibit automobile dealers from selling, leasing, renting, or loaning used cars that are under recall until the problem can be repaired. Federal law already prohibits new cars from being sold when they have known recall defects, but Jackson’s bill would extend the ban to prevent unsafe automobiles from getting into the hands of unaware used car buyers. According to a poll carried out by Consumers for Auto Reliability and Safety (CARS), a key supporter of the bill, almost 90% of Californian voters support the legislation. Continue reading →

Auto Rental Companies Agree On Recall Plan

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Almost eight years after Cally Houck lost her two daughters in a car accident involving a rental vehicle with a recall on it, the five biggest car rental companies in the nation have agreed to support legislation that makes it illegal to rent or sell recalled vehicles. The historic agreement represents 93% of the rental car industry: Enterprise, Hertz, Avis, Dollar Thrifty and National. Law makers announced the agreement on Thursday saying that they expect the Senate will pass the bill later this year.

  • The bill requires companies to stop renting vehicles within 24 hours of receiving a safety recall notice or within 48 hours if the recall involved more than 5,000 vehicles in a company’s fleet. The vehicles will not be rented or sold until the safety defects are repaired.
  • The companies agreed to back the legislation after some revisions, including allowing the rental of a car if there was a manufacturer approved temporary step that eliminated the safety risk until parts were available.
  • Companies also would be allowed to sell a damaged recalled vehicle as junk.
  • The National Highway Traffic Safety Administration (NHTSA) will have authority to investigate and police rental car companies’ recall safety practices.

While the senators praised Houck’s advocacy along with automotive safety groups that pushed the issue, she thanked the lawmakers and industry “in memory of my treasured daughters.”

Consumers Fail To Respond To Recalls

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After three recalls and multiple recall notices, owners of certain 1998-2003 Ford Windstar minivans continue to fail to bring in their vehicles to get their recalled rear axles replaced. The automaker had even offered to buy back the vehicles with cracked or perforated axles, but only 60% of the vans have been repaired. There has been substantial talk in the news lately about vehicles being rented and sold with unfixed recalls on them. Automobile manufacturers, rental companies, and car lots have all been working with the government to improve recall notification policies and to improve the recall process, but ultimately it is up to the consumer to take their vehicles in to their local dealerships for repairs. Recalls often seem insignificant to some consumers because of the constant bombardment of recall notices, also known as “recall fatigue”. Unfixed recalls not only affect the occupants of the vehicle, it can have dangerous repercussions to everyone on the road.