Vroom to pay $87K fine over vehicle title transfer delays in Fla.

Online used-vehicle retailer Vroom Inc. agreed to pay $87,000 to settle an administrative complaint brought against it last month by Florida’s motor vehicle regulatory agency.

The complaint, filed in early June by the Florida Department of Highway Safety and Motor Vehicles, alleged that Vroom failed to transfer vehicle titles to consumers within 30 days of the date of sale. The state agency cited 87 instances in which Vroom missed the 30-day deadline — sometimes by several months.

The agency said it found those after completing in late May a review of Vroom’s title records and pending Electronic Filing System transactions.

“It was found, during that review, that [Vroom] had pending EFS transactions that had not been completed or cleared out of the system within 30 days,” the agency said in the complaint.

Vroom agreed to settle the charges alleged in the complaint on June 30. Vroom CEO Tom Shortt, who stepped into the role in May, signed off on the settlement agreement.

Vroom is to pay $1,000 for each count of delayed paperwork, which adds up to $87,000, according to the agency’s final order on the matter.

The agency filed a similar complaint against Vroom in January, citing 47 cases in which the retailer allegedly did not transfer vehicle titles to consumers within 30 days.

Vroom, in a statement released Tuesday, said: “In response to challenges raised by our rapid growth, we are working to transform our transaction processes so we can provide a more seamless experience for our customers and build a world-class titling and registration operation.”

“We work cooperatively with our regulators, including the Florida [DMV], to address their concerns and share the changes we are making to create an efficient process where customers receive their necessary documents within an acceptable time frame.”


Leave a Reply

Your email address will not be published.