$1.5 Million Settlement Reached with Carvana Following Consumer Complaints
Attorney General William Tong announced a $1.5 million settlement with Carvana, an online used car dealer, after receiving hundreds of complaints from Connecticut consumers. The issues included extended delays in receiving title and registration documents, late payments to sellers, and misrepresentations about vehicle conditions. As part of the settlement, Carvana will establish a $1 million consumer restitution fund and pay a $500,000 penalty to the state. Half of this penalty will be suspended if Carvana complies with all settlement terms. The company is now required to adhere to Connecticut laws, ensuring valid title and registration documents are provided at the time of sale. Additionally, Carvana must improve its customer service systems and designate a direct contact to resolve Connecticut complaints.…
