WA Australian Consumer Law - Who should Pay to Replace Engine?

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Shane White

1 October 2015
Hi Folks,
Last week i had my car serviced by the same dealership i purchased my used car from; it's part of the warranty deal.

The car has since blown an engine whilst driving on a short holiday. When the RAC arrived they informed me that the radiator caps where incorrectly fitted and the coolant had drained, causing the vehicle to over heat. They also put the wrong engine oil in.

I had the car towed back to the dealership and they have informed me I need a new engine. I believe they should replace the engine after a faulty service provided, but of course they don't believe it's there fault and we are now entering negotiations as to who should pay.

Am i within my rights under Australian Consumer Law to expect the dealership to replace the engine?

Thank you


Hi Shane,

Under Australian Consumer Law a licensed supplier of a vehicle must guarantee that a motor vehicle it sells is of acceptable quality, and that they will satisfy any 'express warranties' made about the vehicle. In addition mechanical services are required to be provided with due care and skill, using an acceptable level of skill or technical knowledge when providing the services, and taking all necessary care to avoid loss or damage.

It appears as though these guarantees have been breached by your dealer. In this case it appears there has been a major failure with a service which is when a reasonable consumer would not have acquired the services if they had known the full nature and extent of the problem. In this case, You as the consumer can choose to either cancel the services and get a refund for any unconsumed services, or get compensation for the difference in value between the service delivered and what they paid for.