AG William Tong announced a $1.5 million settlement with online used car dealer Carvana following hundreds of consumer complaints involving extended delays in title and registration documents, delayed payments to sellers, and deceptive representations of car conditions and features, among other complaints. The settlement establishes a $1 million consumer restitution fund, in addition to a $500,000 penalty to be paid to the state, of which $250,000 will be suspended if Carvana complies with all terms of the settlement. The settlement requires Carvana to come into and remain in compliance with Connecticut laws, specifically requiring that the company cannot sell vehicles in Connecticut unless it provides valid title and registration documents at the time of sale. Carvana will further be required to strengthen its customers service systems, including appointing a direct contact for the State to expedite resolution of Connecticut complaints. Carvana cooperated fully with the state’s investigation.

Attorney General Tong Announces Settlement with Carvana Following Hundreds of Consumer Complaints