From 1 October 2015, all used car sales from motor dealer to consumer will be covered by the Consumer Rights Act 2015.
The biggest change is the 30 Day Rejection period. In order to reject a vehicle within 30 days it is necessary for the customer to prove that there is a fault now which renders the vehicle not of satisfactory quality, not fit for particular purpose or not as describes. The customer also has to prove the fault was present at the point of sale.
The new Act replaces the trader to consumer parts of all the following: Sale of Goods Act 1979, Supply of Goods (Implied Terms) Act 1973, Supply of Goods and Services Act 1982, Sale and Supply of Goods Act 1994, Sale and Supply of Goods to Consumers Regulations 2002, Unfair Contract Terms Act 1977 and Unfair Terms in Consumer Contracts Regulations 1999.
The slight saving grace for dealers is that it is down to the consumer to show there is a fault and that it was present at the time of delivery.
We therefore strongly recommend that dealers take the time to review their pre-delivery processes by getting an independent PDI/PSI/PCI, to ensure they do all they can to put themselves in a position to argue that any fault was not present at the time of delivery.
To help counteract this contention you need to be able to provide evidence of the independent PDI/PSI/PCI and condition of the vehicle when sold. Lawgistics recommends that you provide current MOT, a independent PDI check list sheet endorsed by the customer after they have examined and test driven the vehicle and a video or photographic record as evidence of the condition of the vehicle at the point of sale.
After 30 days you have the right to repair however the customer can reject the vehicle if the first repair is unsuccessful, or should another fault occur. An independent PCI should be considered after any repair.
The Act allows for only one repair, unless otherwise agreed with the customer. With a used vehicle there will be varying degrees of wear and tear and as such it may have one or multiple failings. We feel the new Act puts the dealer at an unfair disadvantage.
Lawgistics recommends that every vehicle is sold with a PDI/PSI as well as a warranty and that every repair is carried out under that warranty, with the customer’s agreement.
By offering the vehicle with a warranty and completing any repair under that warranty then the customers statutory rights are not being used and therefore the provisions of the Consumer Rights Act are not being relied on.
Whilst any warranty can be used, if you provide your own warranty you will have more flexibility to authorise repairs and make goodwill gestures. Multiple repairs can be made under the warranty providing you with the best option to increase the right to repair without invoking the right to reject
Nona Bowkis is a legal advisor with motor legal firm Lawgistics
The biggest change is the 30 Day Rejection period. In order to reject a vehicle within 30 days it is necessary for the customer to prove that there is a fault now which renders the vehicle not of satisfactory quality, not fit for particular purpose or not as describes. The customer also has to prove the fault was present at the point of sale.
The new Act replaces the trader to consumer parts of all the following: Sale of Goods Act 1979, Supply of Goods (Implied Terms) Act 1973, Supply of Goods and Services Act 1982, Sale and Supply of Goods Act 1994, Sale and Supply of Goods to Consumers Regulations 2002, Unfair Contract Terms Act 1977 and Unfair Terms in Consumer Contracts Regulations 1999.
The slight saving grace for dealers is that it is down to the consumer to show there is a fault and that it was present at the time of delivery.
We therefore strongly recommend that dealers take the time to review their pre-delivery processes by getting an independent PDI/PSI/PCI, to ensure they do all they can to put themselves in a position to argue that any fault was not present at the time of delivery.
To help counteract this contention you need to be able to provide evidence of the independent PDI/PSI/PCI and condition of the vehicle when sold. Lawgistics recommends that you provide current MOT, a independent PDI check list sheet endorsed by the customer after they have examined and test driven the vehicle and a video or photographic record as evidence of the condition of the vehicle at the point of sale.
After 30 days you have the right to repair however the customer can reject the vehicle if the first repair is unsuccessful, or should another fault occur. An independent PCI should be considered after any repair.
The Act allows for only one repair, unless otherwise agreed with the customer. With a used vehicle there will be varying degrees of wear and tear and as such it may have one or multiple failings. We feel the new Act puts the dealer at an unfair disadvantage.
Lawgistics recommends that every vehicle is sold with a PDI/PSI as well as a warranty and that every repair is carried out under that warranty, with the customer’s agreement.
By offering the vehicle with a warranty and completing any repair under that warranty then the customers statutory rights are not being used and therefore the provisions of the Consumer Rights Act are not being relied on.
Whilst any warranty can be used, if you provide your own warranty you will have more flexibility to authorise repairs and make goodwill gestures. Multiple repairs can be made under the warranty providing you with the best option to increase the right to repair without invoking the right to reject
Nona Bowkis is a legal advisor with motor legal firm Lawgistics