Auto-safety groups sent in a request for the Federal Trade Commission to make it impossible to rent recalled cars. The FTC complaint involved the companies Enterprise, National and Alamo. The FTC petition is happening after a $ 1 million jury award was given out this year.
No policy 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. The official policy is that all recalls are reviewed, and any recalls that “involve the risk of sudden loss of control, safety restraint failures, or fire hazards” are reviewed for removal until fixed. Customers assured about safety of autos. Sadly, recalled autos do not have to be repaired before being rented out.
Advertising claims in FTC petition
Enterprise’s advertising was within the petition filed to the FTC by the Center for Auto Safety and Consumers for Auto Reliability and Safety. If the FTC grants the petition, Enterprise could no longer use “misleading words like ‘well maintained’ and ’safety and reliability’” in advertising. In 1990, Spending budget Rent-a-Car made an agreement similar to this. Those concerned with safety were upset with Spending budget for the exact same reason.
Recall rental lawsuit
In May, Enterprise Rent-A-Car was sued by Carol Houck. Houck was the mom of women that were killed in an accident that occurred in 2004. The PT cruiser the women drove was recalled because of power steering. Enterprise admitted the whole thing was their fault and paid out a $ 15 million settlement. As outlined by an Enterprise representative, “Given all we have learned, today we would not rent the vehicle the Houck sisters were driving until it was repaired.”
