Vehicles which were recalled but never serviced won’t be able to be rented if auto-safety groups get their way with the Federal Trade Commission. The FTC complaint involved the companies Enterprise, National and Alamo. A $ 15 million jury award from earlier in the year is what the petition comes from the FTC.
Policies aren’t set for renting recalls
The official policy of Enterprise Holdings, which owns Alamo, National and Enterprise Rent-A-Car, allows some recalls to be rented out. Recalls are reviewed and if a rental will “involve the risk of sudden loss of control, safety restraint failures, or fire hazards” then it suitable for renting. Cars checked for safety by Enterprise. This means recalled automobiles may be rented out still.
Advertising claims as part of the FTC petition
The Center for Auto Safety and Consumer for Auto Reliability and Safety filed the petition which had Enterprise’s advertising in it. If the FTC grants the petition, Enterprise could no longer use “misleading words like ‘well maintained’ and ’safety and reliability’” in advertising. A comparable agreement was reached with Spending budget Rent-a-Car in 1990. .
Possible recall rental suit
Carol Houck sued Enterprise Rent-A-Car in May. Houck was the mother of two young women who were killed in a 2004 accident. The power steering within the PT cruiser being driven had a problem which is why it was recalled. Enterprise admitted full liability in that accident, and a jury awarded the family a $ 15 million judgment. Representatives of Enterprise said that “Given all we have learned, today we would not rent the automobile the Houck sisters were driving until it was repaired.”
