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Can a dealer sell an accident damaged car and not disclose it?

I purchased a 2010 Volkswagen Polo on behalf of my Mum from a local authorised dealer. Within a week of getting the car, my Mum noticed a clunk upon starting the engine and movement in the gear stick. My Dad took the vehicle to their local dealer, who diagnosed a loose gear box mount. The car was repaired, but it made no difference so they also replaced the gearbox mount too.

The problem still persists and the dealer believes the car has been repaired before, possibly as a result of an accident, and they cannot rectify the issue. I have since been in touch with Volkswagen UK to explain the situation and they said they will speak to the supplying dealership and do 'some research' to find out if the car has been in an accident.

However, to my complete disgust, the representative said Volkswagen UK would not be able to offer any assistance, whatever the research discovers, as my contract of sale is with the dealership and not them. They further added that the dealership is not obliged to disclose whether a car has been in an accident and given that the 30 day exchange period had just expired, there is unlikely to be any resolution.

How can a franchised dealership sell an accident damaged car and not disclose it? Is this legal?

Asked on 24 July 2013 by jeb2013

Answered by Honest John
This is nothing whatsoever to do with Volkswagen UK. It is purely between you and the dealer. All Volkswagen dealers are independently owned; however, there is a duty on the dealer to disclose any damage or problems with the car prior to sale.

You can check the law here: www.honestjohn.co.uk/faq/consumer-rights/ Specifically this bit: The Consumer Protection from Unfair Trading Regulations 2008 (CPRs) contains a general prohibition against unfair commercial practices and, in particular prohibitions against misleading actions, misleading omissions and aggressive commercial practices. The Regulations are enforceable through the civil and criminal courts.

www.berr.gov.uk/whatwedo/consumers/buying-selling/...l , www.opsi.gov.uk/si/si2002/20023045.htm and www.consumerdirect.gov.uk

This creates an offence of misleading omissions which would not previously have been an offence if the consumer had not asked the right questions. So if a salesman knows a car has, for example, been badly damaged and repaired and does not tell the customer, he could later be held liable if the customer subsequently discovered that the car had been damaged and repaired. A recent case precedent over Misleading Omissions under Consumer Protection from Unfair Trading Regulations 2008/1378 was Regina (House of Cars) v Derby Car and Van Contacts Ltd, Derby Crown Court before HHJ Burgess on 12-6-2012, covered here: Regina (House of Cars) v Derby Car and Van Contacts Ltd
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