Vehicle safety recalls: Virginia law

Vehicle safety recalls: Virginia law

The Virginia recall law — effective July 1, 2016 — clarifies that recall repairs are compensated the same way as warranty repairs, said Charapp. Dealers cannot be denied payment if they encourage their customers to remedy vehicle problems. Mirroring federal law, the Virginia law provides that if a automaker asks a dealer to ground a vehicle under open recall, the automaker must compensate the dealer for 1 percent of invoice monthly. Additionally, the law limits the automakerês use of performance measurements for dealers when sales are affected by recalls that distort the market for instance, when vehicles under recall are grounded.