Volvo Fined $1.5 Million For Delay in Reporting Defects

Volvo Fined $1.5 Million For Delay in Reporting Defects

Volvo has agreed to pay a $1.5 million fine because it failed to report safety defects to the federal government in a timely manner. 

The National Traffic and Motor Vehicle Safety Act states that a car manufacturer must notify NHTSA within five days of becoming aware of a potential safety risk or a non-compliance with federal motor vehicle safety standards. Volvo has agreed to pay the fines, although it didn’t disclose how long it waited to report the defect. The recall was regarding front airbags that were not deploying in four different Volvo models.

The company also said it will make internal changes to its recall decision-making process to ensure that this doesn’t happen again.

“With millions of vehicles traveling our highways every single day, we take our responsibility to safeguard the driving public very seriously and we expect automakers to do the same,” said U.S. Transportation Secretary Ray LaHood. “Manufacturers are required to handle safety issues both quickly and appropriately.”


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