What’s happening to Carmax car auctions?
- by admin
Posted April 02, 2019 06:50:59 Carmax is on the rebound after losing its license in January and its owners are facing a slew of legal troubles and court challenges.
The carmaker has been embroiled in multiple lawsuits and lawsuits over its business model, which it says makes it a safe and reliable alternative to the traditional auto market.
Some of those legal and financial troubles have been fueled by the sale of a Carmax sedan to a Japanese carmaker.
Carmax is in talks with the Japanese automaker about a possible sale, and some of the Japanese carmakers own stock in Carmax.
It is unclear whether the Japanese government has already issued an injunction blocking Carmax from selling its vehicles to the Japanese company.
But the government has threatened Carmax with fines if it does not sell its vehicles in the next two years, which could potentially result in the company being forced to halt production.
In March, the Japanese parliament approved legislation that would force Carmax to sell its cars in Japan by 2028.
“Carmacas future is uncertain,” the Japanese Automobile Dealers Association said in a statement last month.
“There is a need for Carmax in the market, and we hope the Japanese authorities will do everything possible to support it.”
But a spokeswoman for Carmac’s Japan-based parent company, Toyota Motor Corp., said in April that it has no plans to sell Carmax vehicles in Japan.
And the company also told Reuters that it plans to continue to make its cars here.
Earlier this month, Carmax filed a $3 billion lawsuit in a Tokyo court against Toyota Motor Co., accusing it of selling vehicles to an entity called Carmax Holdings Ltd.
and claiming that the Japanese corporation violated the company’s warranty, patent and trademark rights.
Last year, the Tokyo District Court ordered Carmax Motor Co. to pay $1.4 billion to the plaintiffs in the lawsuit, including the plaintiffs’ costs of legal fees.
Posted April 02, 2019 06:50:59 Carmax is on the rebound after losing its license in January and its owners are…