Dealership to Pay for Selling Recalled Motorcycles

by Ellis Smith

March 16, 2013 – (Motor Sports Newswire) – The largest Honda ATV and motorcycle dealership in the U.S. has agreed to pay $125,000 to settle an investigation into the sale of unrepaired, recalled vehicles.

Chattanooga-based Southern Honda Powersports admitted to selling 329 motorcycles that had been recalled by the manufacturer, a violation of the federal law that requires dealerships to fix known defects before they sell vehicles.

Though there have been no reported injuries or deaths as a result of the dealership’s actions, that didn’t stop the U.S. Department of Transportation’s National Highway Traffic Safety Administration from opening an investigation in 2012 after a former worker alleged unsafe practices.

“With millions of vehicles traveling our highways every single day, we take our responsibility to safeguard the driving public very seriously, and we expect automakers and dealerships to do the same,” said U.S. Transportation Secretary Ray LaHood.

The settlement represents a significant discount from the maximum fine allowed under law, which at $6,000 per vehicle could have totaled almost $2 million for all recalled vehicles sold between 2009 and 2012.

“NHTSA expects all manufacturers and dealerships to work together to ensure . . .

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SOURCE: Chattanooga Publishing Company, Inc.

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1 Comment

  1. Sooo….Does Honda plan to take any action, or have they already had a “talk” with the dealer? Did the dealer do this to gain an advantage over the competition?

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