Carvana, Michigan Reach Deal that Leaves Used Car Megastore Without License in State


Used-car megastore Carvana said Jan. 11 it is back to "business as usual" in Michigan, but state officials say not quite because the company's Novi location is no longer a licensed dealership. But Michigan car buyers can make a purchase with Carvana online and get a car.

Carvana and the state reached a settlement as part of an ongoing dispute over the state's assertion that Carvana committed violations of the Michigan Vehicle Code, which Carvana admitted to doing.

In early October, state officials suspended the license of the Carvana dealership in Novi for "imminent harm to the public," a claim Carvana has called "baseless." The state said Carvana LLC, owned by Paul Breaux and located off of Novi Road near I-96, committed several violations of the Michigan Vehicle Code. The violations, which centered on untimely delivery of titles after vehicle sales, were discovered during an investigation by the state regulatory staff of multiple complaints from consumers about title problems with their vehicles.

To read more, see the Detroit Free Press.

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