CarMax Inspection Reports Fail Calif. Test, 9th Circ. Says

Law360, New York (October 20, 2016, 5:54 PM EDT) -- The Ninth Circuit on Thursday overturned a district court ruling in favor of CarMax Auto Superstores LLC, saying the inspection certificates the auto retailer provides to customers are insufficient to label used vehicles “certified” under California law.

In a published opinion, a three-judge panel found the report used by CarMax does not rise to the level required to call a used vehicle “certified” under California’s vehicle code because it merely contains a list of inspected vehicle components without naming which parts passed or failed their tests. The Ninth Circuit said that while California Supreme Court has not ruled on meaning of...

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