Used car 30 day rejection

[WOPSATC]

Hi

I’m new to this forum and would be grateful for your advice.

At the start of the month I saw a vehicle on an online auction site and my bid was successful. We then arranged inspection and payment with the seller, which is VAT registered secondhand car dealership.

We travelled to the dealer and had a test drive of the vehicle. During this test drive the oil light came on. Their mechanic had a brief look under the bonnet and said that the oil was low. It was topped up and the oil light disappeared. Relying on that and happy with the overall condition of the car (it’s 10 years old, so some wear and tear expected), we paid for the car by credit card and bank transfer. We also purchased an extended warranty at the same time.

The car was purchased as our runaround vehicle for nursery drop-off; during which we noticed several things. The 4x4 warning light periodically came on and the steering went wobbly. The red warning oil light again came on. The car emitted blue/grey smoke in idle-mode, low gears and in reverse. We took it to a garage who diagnosed engine failure; 4x4 module failure and a worn clutch. Ultimately it’s not roadworthy and should not have been sold in the state it is in. They said I should return the vehicle as we were only 16 days since purchase.

I have contacted the dealer and sent a letter of rejection stipulating the faults found and reliance on the CRA 2015. As expected they have tried to fob me off, firstly by seeking to rely on eBay t&c’s (which don’t even apply to motor sales) and then by stating that they advertised ‘no returns’. They’ve also tried to argue that I may have driven the car negligently - which is just nonsense. They then tried to argue that as it’s outside of 14 days they should be given opportunity to fix it. I don’t think that’s correct and also I’ve got no faith in the car now nor faith in them to do a proper job. I asked them to confirm whether they are refusing my refund and they did.

I’m guessing that my next step will have to be issuing proceedings, however do I have to wait until the 14 days from my letter of rejection have lapsed?

Also with the credit card company being jointly and severally liable, do I have to put them on notice first too?

Would I best to commence a S.75 claim as an alternative to proceedings?


Thank you very much in advance.

[Pezza54]

You need to check the terms and conditions of the auction company. If your legal rights under the Sale of Goods Act are excluded you may have bought the car "sold as seen"
Was the car mis-sold, not as described on the auction website? If it was you could make a S75 claim to your credit card company. This doesn't cost anything so it will carry less financial risk than a court claim.

[WOPSATC]

Hi Pezza,

thanks for your reply.

It was purported to be a ‘trade sale’ as it was received by the garage as a P/X. They stated ‘no warranty, no returns’ and listed all the car features (including some it didn’t have!) but did not state anything about the engine/clutch/drivetrain issues that were found.

Bids for vehicles on eBay are non-binding. It’s merely an expression of interest as explained here; https://www.ebay.co.uk/help/policies...policy?id=4228

My understanding is that the CRA2015 kicks in upon the sale agreement, which was done in person.

I have sent the Letter of Rejection and they have acknowledged that the oil warning came up on the test drive (which turned out to be a symptom of the engineer failure) but they have refused to refund. I just didn’t know whether it would be best to go down the s.75 route/ issue proceedings pr both.

thanks

[Pezza54]

Yes bids on ebay for motors and property are non-binding so your contract was formed when you signed and paid a deposit at the dealers garage. You therefore have the legal protection of the CRA 2015 and have the right to reject the car within 30 days. The car is of unsatisfactory quality and unfit for purpose even though it is 10 years old.
You should let the dealer know the car is available for collection and you should not drive the car.
You do need to wait the 14 days if that is what you wrote on your rejection letter before commencing any action. You can start a court claim and S75 claim at the same time

[Pezza54]

I forgot to say you should check the dealer's financial position (his latest trading account) at Companies House before starting a court claim in case he doesn't have the means to pay you.

[Pezza54]

If you end up having to make a claim it is safest to pay for a diagnostic report from an automotive engineer. Keep the receipt you will be able to claim that back.

[WOPSATC]

Just as an update: after many months of inaction by Virgin Money, I referred the claim to the Financial Ombudsman Service who ruled in my favour. Full refund of the car, engineer report fee, interest and £350 compensation for their conduct. A massive relief though I am slightly aggrieved that they didn’t have to pay for the insurance (which was necessary even though the car was SORN).

I would advise anybody in a similar position is to keep pushing, make a note of every interaction, keep all receipts and stand your ground!

[Pezza54]

That's good news. Thanks for updating the forum