ACT Defect on Secondhand Car - Return Car to Dealer?

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ACT_resident

Member
24 August 2017
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I bought a GETZ MY09 with 170 000 km last Friday from a car dealer in Illawarra NSW. The car had the back bumper slightly dislodged but otherwise no other major fault was visible. I asked about the bumper and they said “It just needs to be secured, it’s a quick job that will be easy to do.” All online checks on the car were clear, especially that the car had 1 previous owner and not been written off.

Tuesday, I started tasks to get the rego transferred to the ACT. I asked the mechanics about the bumper and they said it was not an issue that would affect the inspection. To pass, it needed 4 new tyres (from next door) and when buying the tyres. I asked Beaurepaires to keep one of the replaced tyres as a spare in the trunk. They had to unwedge the old spare from its holding spot in the boot and the new spare would not fit in the allocated space. I came home with the spare rolling about in the boot, on closer inspection I noticed the back of the chassis was dented inwards which was why the spare would not fit.

The dealer has had the car since March 2017 at which time it had 160 000 km. When I purchased the car, they provided a roadworthy certificate that they had undertaken on the car. So, in my opinion, they have travelled in the car for 10,000 km, and have inspected the car at least once during that time. I do not know if they have changed tyres during that time. So, I expect that they knew of the accident where the car was rear ended and the back of the chassis damaged, and they knowingly covered this up using the new bumper to cover the damage and by covering the internal boot damage with the tyre.


Yesterday, I emailed the trader about the issue. I have not heard back from them.


As it is an older car with 150,000+ kms I have no warranty from the retailer. I know that under Australian Consumer Law the dealer is liable for any misrepresentations. I think it reasonable that they knew of the damage given they serviced the car and inspected it prior to purchase.


I now have no confidence in their honesty so would prefer that they do not fix it themselves. Plus, as I am in another state, I prefer to arrange for a local panel beater to repair the damage but want the dealer to pay for the costs of the repair.


I had a look at the blog might give you some useful information: Lemon Car? What You Can Do Under Australian Consumer Law - Legal Blog - LawAnswers.com.au. It states this a ‘major failure’ is a problem in the car that is so significant that I, as a reasonable consumer would not have bought the car if I had known about the full extent of the problem and thus that the car I bought is unfit for its normal purpose and unsafe. I emailed the car dealer telling them I would get panel beater quotes today and if repairable, think about repairing it.

I asked 2 panel beaters to determine the extent of the damage and was then going to contact the dealer again with an update on options to this situation. Both places said the car should been written off. I returned to the garage that passed the car as roadworthy (prerequisite to registering it in the ACT) and they said the damage was not easily visible except if the tyre was removed. Before this, I took it to check the air conditioner, the system was ceased up and would require a complete overhaul $1400.

I emailed the car dealer, who wrote they would refund the sale price minus the trade-in amount paid for my old car. If I return it for the price they give, I would have no car (I traded mine in), and would be out of pocket for new tyres $450, inspection $70, online car history report $50, and registration $400, car insurance $115 so far (though I expect I can get most of this refunded). I asked the car dealer to also pay these costs. They refused.


Is my only option to return the car and get the amended sale price back and nothing else?