FTC ruling clarifies recall disclosure requirements

Description

Abstract: To help appease some customers’ concerns about buying a lemon, many dealerships perform multipoint inspections of their used cars before listing them for sale. Some dealerships then tout this in their advertising, telling shoppers that the store’s used vehicles have passed these rigorous inspections covering everything from the engine and steering systems to the axles and brakes. But there’s another important detail that dealerships must disclose when highlighting these inspections: whether or not the vehicle may be subject to unrepaired safety recalls. This article explains the FTC requirements.