CarMax Agrees To Pay $1.6M To Settle Environmental Lawsuit

CarMax Agrees To Pay $1.6M To Settle Environmental Lawsuit

Introduction

On June 16, CarMax settled an environmental lawsuit for $1.6 million after it was held accountable for violating laws and dumping hazardous materials in dumpsters at company stores across the state, including two in San Diego County.

According to the lawsuit brought by 16 District Attorney’s Offices throughout the state, including San Diego County, the stores in Kearny Mesa and Escondido were found to be out of compliance with hazardous materials and hazardous waste laws.

During an undercover investigation done throughout a year, it was found that materials such as auto body sanding dust, sanding pads, automotive paints, clear coats, solvents, non-empty aerosols, and other hazardous substances used during the auto body repair process were illegally disposed at CarMax stores between 2014 and 2020.

The settlement will include $1 million in civil penalties, $300,000 for investigation costs, of which nearly $60,000 will go to the San Diego County District Attorney’s Office, and $300,000 to fund supplemental environmental projects furthering consumer protection and environmental enforcement in California.

CarMax also implemented mandatory training, reporting, and compliance programs with regulations on handling hazardous materials and hazardous wastes as a part of the settlement deal.