2015 MINI Cooper Recalls

In a Consent Order executed on December 17, 2015, BMW of North America, LLC (BMW NA) admitted that it violated the Safety Act by: failing to conduct a timely recall for Recall No. 15V-450; failing to file certain quarterly recall reports in a timely manner; failing to timely notify vehicle owners of the existence of a defect or noncompliance; failing to promptly advise NHTSA of delays with the beginning or completion dates for mailing owner or dealer notifications; and failing to timely submit copies to NHTSA of communications relating to recalls.As part of the Consent Order, NHTSA imposed a total civil penalty of $40 million against BMW NA for its violations of the Safety Act.The civil penalty consists of a cash payment, monetary performance obligations, and stipulated penalties.BMW NA paid the $10 million cash penalty on February 12, 2016.Failure to comply with the terms of the Consent Order or the Safety Act will result in portions of the stipulated penalties coming due.The Consent Order required BMW NA to appoint an independent safety consultant to assist BMW NA in developing best practices for complying with the Safety Act and evaluating safety issues under consideration by BMW NA.BMW NA was also required to develop a program to train dealers on the importance of complying with the prohibition on selling unremedied vehicles under recall, improve dealers' access to information necessary to maximize completion of open recalls, and invest in a pilot program to determine whether BMW NA can use data analytics to detect emerging safety defect trends.The population listed in this closing resume is based on BMW NA's untimely recall and does not include other issues addressed by the Consent Order, which relate to BMW NA's safety processes.Based on the Consent Order, BMW NA's admissions that it violated the law, and its ongoing performance obligations, this audit query investigation, AQ15-004, is closed. Closure of this AQ has no bearing on the terms of the Consent Order, including BMW NA's ongoing performance obligations or legal obligations, and does not represent a determination by NHTSA as to BMW NA's performance under the Consent Order to date.

The Safety Act requires, among other things, that a manufacturer notify its dealers of defects related to motor vehicle safety and non-compliances with Federal Motor Vehicle Safety Standards and, in turn, that a dealer not sell and deliver a new vehicle subject to a recall unless the recall remedy has been performed (49 U.S.C. ?? 30112(a), 30120(i)).NHTSA opened AQ15-003 to determine whether International Autos, Inc. of West Allis, Wisconsin complied with the requirements of the National Traffic and Motor Vehicle Safety Act, 49 U.S.C. Chapter 301 (Safety Act). NHTSA received information that International Autos sold and delivered at least one new model year (MY) 2015 Mini Cooper 2-door hardtop vehicle to a customer without having had all required safety recall repairs performed on that vehicle. NHTSA opened this investigation and then issued an information request (IR) to International Autos on August 20, 2015.A copy is of this request is in this investigation's file, together with a public copy of International Autos' response.A careful review of the information supplied confirm that International Autos sold and delivered at least eleven new vehicles with outstanding safety recalls on them. Under a Settlement Agreement dated April 26, 2016, International Autos committed to take concrete actions to improve its processes for verifying that prior to sale and delivery of any new vehicle International Autos has confirmed that the vehicle is not subject to an un-remedied recall. International Autos confirmed that it had engaged in these processes since June 25, 2015.International Autos also committed that it now also checks for open recalls on every customer vehicle brought in for service, and that it checks for open recalls on every used trade-in vehicle, regardless of make or model, and takes steps to have all used trade-in vehicles repaired prior to retail sale. International Autos admitted to violating the prohibition on sales of new vehicles with open recalls, and agreed to pay civil penalties in the amount of $40,000.This Audit Query is closed.