VIC Australian Consumer Law - Purchased Faulty Vehicle at Auction - Legal?

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Active Member
28 September 2015

My Question is with regard to a utility which was purchased at a Major Melbourne auction house last week. After paying for the vehicle it was driven to a mechanics workshop, where it was inspected. Mechanic said major engine issues approx cost to fix $8500 (head gasket, it had a blown engine).

After calling the auction house they advised that it was buyer beware and that the purchaser did not disclose this information to them.

This can't be legal under Australian Consumer Law surely. Can my friend take legal action against the Auction house, they must have some duty of care?

Kind Regards


Well-Known Member
16 April 2015
No. At the beginning of the auction, the disclaimers will be read out as is required by law. "Vehicles are to be taken with all faults, if any".
The potential buyers are given adequate time to inspect the vehicle and if something like a blown head gasket has been disguised with Chemiweld etc, the auction house may not be aware of this.

However, maybe get a second opinion on its condition. $8500 seems a bit exorbitant to say the least.