Over-the-Air Recalls Carry Legal Risks for Auto Manufacturers

In recent years, a new kind of vehicle recall has emerged: the over-the-air, or OTA, recall. Instead of being repaired in a shop, vehicles are “recalled” through remote software fixes. Manufacturers should carefully analyze whether software updates they make should be categorized as recalls, as failing to meet the obligations of recalls could result in investigations and penalties.

In this article, Sidley counsel Adam Raviv says vehicle manufacturers should develop a detailed process for deciding whether to treat an over-the-air software update as a recall.

Reproduced with permission. Published on June 9, 2025. Copyright 2025 Bloomberg Industry Group 800-372-1033.