Dodgy used car deals: Courts crack down on unscrupulous dealerships

Consumer journalist Wendy Knowler has issued multiple warnings to car buyers over the years about having a vehicle checked before signing on the dotted line, particularly with used cars.

Bearing out the high risk of being sold a dud, in the past three months alone, four dealerships who refused to reimburse their clients have had their appeals thrown out by different High Courts.

"These judgments have made it crystal clear that judges will not tolerate dealerships selling vehicles with serious UNDISCLOSED defects and then washing their hands of the problem". says Knowler.

"In two of those cases, the dealerships had already lost at the National Consumer Tribunal and these dealerships were so convinced they were right that they appealed those Tribunal rulings and then lost again in the High Court, obviously at considerable extra expense to themselves."

In the most recent of the four High Court cases, Sandton Repo Cars had sold a VW Golf with undisclosed accident damage and then tried to hide behind prescription.

"They said the time had passed three years; the court rejected that argument and dismissed their appeal. They must now pay the refund in full - R460 000 plus a R100 000 fine."

The judges in these cases have sent a very strong message to the motor trade, that dealerships are not exempt from the Consumer Protection Act, Knowler says.

"You cannot sell a car with defects that existed at the time of the sale, not disclose them, and then claim later that you didnt know and essentially that the buyer must sort it out themselves. The courts are also saying that the three-year prescription argument won't automatically save a dealership if the consumer only discovered the defect later."

Click on the link below for advice on checking a car before you buy it:

Buying a car? Do your own checks, don't trust the dealership!

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