Ripped-off family wins case against car dealer for faulty vehicle

Thursday, 13 December 2018

An Auckland family that won its case against a car dealer is encouraging people to know their rights when purchasing a vehicle.

Anna Madsen and Paul Henderson took Mars Motors Ltd to the Motor Vehicle Disputes Tribunal after a $19,280 Mazda Atenza 2018 stopped working two months after they purchased it with a loan.

It was then off the road for five months while the vehicle's turbo and other faults were being fixed, Madsen said.

The family later found the Mazda in a truck yard when it was in the care of Mars Motors, allegedly in worse condition than when it was purchased.

**READ MORE: 

* Your rights when buying a new car

* Wronged car-buyers have recourse

* Auckland car dealer warned**

'Our new car spent more time at the garage being fixed than with us,' Madsen said.

'When we saw it, we saw that it had apparently been hit from behind and there were scratches all over the front bumper – we didn't do any of that.'

The Motor Vehicle Disputes Tribunal ruled that Mars Motors should pay more than $20,000 for the vehicle purchase and repairs.

It was also ordered to pay  the interest payments incurred.

The dealer was to pay within 10 days, but three weeks later had not. 

Mars Motors manager Vincent Ning said the company accepted the tribunal's decision, but the money had not yet been paid as the vehicle needed to be returned to them, and bank account details provided.

Anna Madsen said Mars Motors already had their bank account details, and had not told them to return the car.

Madsen said she they had purchased the car because it was bigger and better for longer family trips outside of Auckland.

It was a diesel vehicle to save money on increasing Auckland fuel costs, she said.

'But instead, we were left to pay off a new car we had only driven for two months. It was just insane that this was happening.'

Madsen said it was lucky family was able to lend her a car or she would have not been able to work.

'People need to be wary of buying a car from any car dealer. Go to a reputable company because you never know what is wrong with it.

'Our car … was too good to be true.'

Consumer NZ spokeswoman Jessica Wilson said complaints about cars bought from dealers were among the most common complaints it received.

In 2017, the Commerce Commission received 359 fair trading complaints about Motors vehicle traders – the third industry most complained about, she said.

The quality of Motors vehicles being misrepresented by dealers generated 110 complaints that year. In 2016, 304 were received for Motors vehicle retail.

Wilson said that when a person buys a vehicle, they had rights under the Consumer Guarantees Act if it was not of acceptable quality.

In cases like Madsen's, people could take their case to the Motors Vehicle Disputes Tribunal.

'If the car you've bought isn't of acceptable quality, the dealer needs to put things right,' she said.

'When the failure is substantial, the Consumer Guarantees Act gives you the right to reject the vehicle and get your money back.'