Dealer ordered to fully refund a customer for Mercedes-Benz ute worth $55,000.
I’ve taken this story by Emmaline Stigwood that appeared in the Courier Mail on September 21st 2020 about a Mercedes-Benz Ute fail. But I’m adding some comment to it. I’ve worked with a number of customers who’ve had issues with nearly new cars to older ones.
One customer asked me to assist her with a 7-year old Ford Focus that had a major gearbox complaint and another that blew an Engine Control Unit (ECU). Both issues were resolved in favour of the vehicle owner.
I recently accepted a call from Dave, an elderly gent from Palmwoods Qld. Dave owns a 2015 Toyota Corolla (only 65,000 kilometres) with a major engine concern. Despite having it serviced with a Toyota dealer since new when it came to a warranty claim, the dealer, after speaking with Toyota Australia advised him that they denied the claim as it ‘had been driven through floodwaters’. Repair bill to repair/replace the engine – circa $9000.
I’ve given Dave some advice and hopefully he’ll get a good outcome. According to Dave, its never been near flood waters, let alone the depth required to cause this sort of damage.
You see, owners of major items, including motor cars, purchased since January 2011 have rights under Australian Consumer Law. And despite the ‘new car warranty’ perhaps covering 3 years or 100,000klm, if something fails that a reasonable person doesn’t expect to fail, the seller of that product and/or the manufacturer has to step up. Either fix the problem or refund the purchase price as in the Mercedes-Benz matter
So in the case of this Mercedes-Benz X-Class, while QCAT found against the seller, Mercedes-Benz of Brisbane, arguably its Mercedes Benz Asia Pacific, the importer, who will actually step up and settle with the dealer.
“A businessman who splashed out on a brand new Mercedes-Benz has won a legal case for a full refund after the Brisbane dealer refused to meet his demands despite a long list of faults being uncovered. (ed. It’s really a Nissan Navara, but let’s not get this confused)
Alexksander Kablar took action after buying a new 2018 Mercedes-Benz X250d for $55,000 in January last year from LSH Auto which trades as Mercedes-Benz Brisbane.
The car company defended the case which came when Mr Kablar’s request for a refund in June 2019 fell on deaf ears despite several months of faults.
According to the QCAT judgment the problems started when Mr Kablar collected the vehicle on February 5 last year and the spare key wasn’t working and there was a stain on the hood lining.
Two weeks later he took the car for a service and complained that the tow bar wiring was missing a bolt, the fuel usage was not displaying on the dash and the car was pulling to the side.
An oil leak, engine warning lights coming on, collapsed passenger seat springs, lights automatically coming on during the day, and clunking when changing gears were among the complaints that followed.
The tribunal found, taken together the defects amounted to a major failure that meant the consumer was entitled to reject the car and obtain a full refund.
LSH Auto was ordered to pay $55,000 within a month and the car is to be returned”.
Hello. I’m Bob Aldons, the owner and editor of The Car Guy.
The Car Guy is an independently owned car review website. I’m currently testing cars for Mazda, Nissan, Kia, Suzuki, Mitsubishi, Renault, Subaru, and Hyundai. Through Mercedes AMG Petronas Motorsport I’m also writing about the 2020 Formula 1 season
I’m not paid by any car company for my opinion and my companies don’t receive advertising revenue to say nice things about them. I call it as I see it.
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