AutoNation, a major player in the automotive retail industry, has reached a $650,000 settlement following a civil lawsuit filed in California. The action, spearheaded by several district attorney offices across the state, accuses the car dealer behemoth of failing to transfer ownership of used vehicles within the legally required time frame, as reported by the Los Angeles County District Attorney's Office. This tedious process left many Californians hanging, uncertain when they would officially own the cars they had already paid for.
"Californians who buy a used car have a legal right to own the car they purchased without the stress of not knowing if or when they will receive title and registration," said District Attorney Nathan J. Hochman, as stated in a Los Angeles County District Attorney's Office press release. The settlement amounts to $450,000 in civil penalties, $150,000 to cover investigative costs and an additional $50,000 earmarked for supporting statewide consumer protection efforts.
The case initially filed in Santa Clara County Superior Court, illustrated breakdowns in the process that places vehicles in the rightful hands of their new owners. By law, dealerships are required to send off an application to the California DMV for registration transfer within 30 days of the sale, according to the Los Angeles County District Attorney's Office. While AutoNation has agreed to improve its practices, it did not admit to the allegations, highlighting its cooperation with the district attorney's investigation and the preemptive improvements they've made to its consumer protection protocol
