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

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Dave1456

Active Member
28 September 2015
5
0
31
Hello,

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
 

Ozwarlock67

Well-Known Member
16 April 2015
169
19
459
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.
 

Lauren Fox

Well-Known Member
21 October 2025
88
0
286
That’s a tough lesson, and unfortunately auction purchases can be very different from buying through a dealer. Whether you have any legal options may come down to how the vehicle was sold, what was disclosed before the auction, and whether any representations were misleading. Hopefully, the discussion helps others understand the importance of checking the auction terms and conditions carefully before bidding.

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