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BMW faces fines due to recall failures

BMW is known as the “ultimate driving machine” for its emphasis on performance. While this phrase is commonly associated with thrilling moments while behind the wheel, the German automaker is embroiled in some of the same recall issues that other automakers have dealt with in the past two years.

According to a recent USA Today.com report, the National Highway Traffic Safety Administration has fined the automaker for failing to adequately address recall issues involving is vehicles. 

It reportedly failed to inform consumers of recalls involving 2014 and 2015 models of the Mini Cooper, which is manufactured by BMW. Additionally, the company was reportedly slow to correct design defects that would have put drivers at risk in side impact crashes.

As a matter of law, automakers have a continuing duty to inform consumers of defects that could put them in danger. In the same vein, they must take reasonable steps to correct such defects. If an accident occurs and a person is injured because of an uncorrected defect, a manufacturer could be held liable.

While no significant injuries or accidents had been reported due to the defects, the story is an example of what can occur if an automaker fails to meet its legal obligations regarding recalls.

In the meantime, BMW is slated to pay the NHTSA up to $40 million in penalties, which includes an immediate $10 million fine, $10 million in spending for overhaul procedures, as well as another $10 million in deferred penalties if certain benchmarks are not reached. 

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