MASSPIRG opposes car dealers’ proposal to sell unsafe recalled cars

July 19, 2021

Senator Susan Moran, Chairwoman

Representative Tackey Chan, Chairman

Members of the Joint Committee on Consumer Protection and Professional Licensure

RE: – In opposition to SB 183/HB 407, An Act further regulating business practices between motor vehicle dealers, manufacturers, and distributors

On behalf of MASSPIRG, Consumers for Auto Reliability (CARS) and The Safety Institute, we urge you to oppose SB 183/HB 407, An Act further regulating business practices between motor vehicle dealers, manufacturers, and distributors which would roll back important consumer protections under existing state laws, and open the flood gates to the sale of unsafe and dangerous unrepaired recalled cars on our roadways.

We submitting as part of our testimony, a joint letter signed by 13 consumer organizations and leaders in opposition to these bills, that were submitted to this Committee in 2019 as part of the hearing on these bills. The facts remain the same.

Simply put, SB 183 and HB 407 would drastically weaken our existing auto sales laws in Massachusetts.  Our laws currently mandate that car dealers affirmatively warrant that used cars they sell to consumers are “safe to operate on the roads.” It also makes dealers liable for failing to comply with the common law duty of care, and for engaging in acts that are unfair and deceptive, or negligent, or that result in wrongful death.  This bill will, for the first time, affirmatively allow for car dealers to sell used cars with unrepaired safety recall defects in Massachusetts. 

These bills shift legal liability onto victims of unsafe vehicles, and gives auto dealers a new, unprecedented “safe harbor” for knowingly and deliberately selling vehicles with lethal safety defects, if they merely “disclose” that a vehicle has an unrepaired safety recall. As car dealers themselves have stated publicly, they seek enactment of laws such as this in order to evade legal liability when such sales result in fatalities or injuries.

Last session, the Committee on Consumer Protection released an amended version of these bills, filed by Senator Pacheco which eliminated the provision allowing for the sale of recalled cars. That bill is also currently being heard today, SB 239. While we do not have a position on SB 239, we whole heartedly support the changes that protected consumers by eliminating the provision that allowed for the sale of recalled cars. We are thankful for the leadership of Senator Pacheco, Senator Feeney, Chairman Chan and the members of the Committee in their work to amend the bill to prevent unsafe, recalled cars from being sold to consumers before they are repaired.

We hope you will not support SB 183/HB 407, An Act further regulating business practices between motor vehicle dealers, manufacturers, and distributors.

Sincerely,

Deirdre Cummings, Legislative Director, MASSPIRG

Sean Kane, President, Board of Directors, The Safety Institute

Rosemary Shahan, President, Consumers for Auto Reliability and Safety

see full testimony including letter signed by 13 consumer leaders and organizations