QLD Dealership Sold Faulty Car - My Rights Under Australian Consumer Law?

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2 July 2016
Just financed a car from a dealer. An hour after getting it out of the lot, a radiated hose burst (apparently a common problem for Nissan patrol). The mechanic said it was a mess under there. Two weeks later, booked her in for an oil change. My mechanic just let me drive it out as he says it's unroadworthy. The turbo is not connected, several oil leaks. Power steering leak with no clamps, and worn rear d bushes and that's only in the area he was working on.

What rights do I have under Australian Consumer Law?


Hi Israela,

I assume it's a second-hand car that you have purchased from a dealer?

When a second-hand vehicle is purchased from a licensed dealer, it has to be roadworthy at the time of the purchase. You must be provided with a Safety Inspection Report, stating that the vehicle is roadworthy. If it turns out the vehicle is not roadworthy at the time of sale, NCAT can make orders for the dealer to refund your purchase price and any other associated costs. However, you would need evidence from a mechanic that the car was not roadworthy at the time of sale.

You may also be able to establish there was a "major fault" with the car under consumer entitling you to a refund. Otherwise, you may be able to have all of the issues repaired by the dealer at the very least.

There are some other cases on this site which detail decisions of NCAT regarding vehicles under Australian Consumer law which you may find interesting. Motor vehicles case studies - Consumer and Commercial Division