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I purchased a car from a BMW dealer. Problems occurred and the car needed invasive work that was covered under warranty. However, we discovered that the engine had been changed one month before purchase due to a complete engine failure. We contacted the previous owner who confirmed this, and my problems occurred due to incorrect fitting of the replacement engine. Do I have any rights to return the car for refund? The dealer also claims that he had no duty to disclose this as it was done under warranty.

Asked on 9 January 2010 by DL, via email

Answered by Honest John
Your case is a good match on the facts in the Supreme Court ruling of Clegg v Olle Anderson (trading as Nordic Marine) 11-3-2003. It has caused some confusion and some believe it to have overturned Bernstein v Palmerston Motors 1987 that had limited rights of rejection. In Clegg v, a yacht was supplied with an overweight keel and it was held that Clegg could reject the yacht at more than 6 months from date of purchase even though Olle Anderson had made modifications to try to correct the fault. Basically, because the yacht had originally been supplied "of unsatisfactory quality" Clegg retained the right to reject it after the 6 month period. More information: www.honestjohn.co.uk/faq/consumer-rights

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