There is no explicit federal requirement that sellers of used cars fix problems related to safety recalls, or even disclose the recalls, the way that new -car dealers must, according to a New York Times report today. Efforts to introduce tougher laws for used cars have languished in Congress, under lobbying pressure from the used-car industry. The regulations for used-car safety affect a large swath of the population; last year, more than 38 million used cars were sold across the U.S. — more than twice as many as were sold new, according to Edmunds.com. Auctions, whether by governments or dealers, represent the least-regulated rung of the industry, often dealing in higher-risk cars that are sold to the most vulnerable consumers, said Bernard Brown, a consumer protection lawyer in Kansas City, Mo., who has closely followed auto auction companies. Despite the lack of explicit federal laws on recalled used cars, a patchwork of state consumer protections and laws already effectively prohibit the sale of dangerous vehicles, some safety advocates and lawyers say.
