Ford Mondeo - warranty company wont pay - tony g

im a small time car dealer ,i sold a mondeo diesel to a customer in feb 2010.The car wasa 2002 model with 79000 miles on the clock. the purchase price was £3000

The customer took out a warranty at his own expense independant of me .After 4000 miles and three months, he says the dual mass flywheel and pressure plate fingers failed.The warranty company refused to pay out saying that his driving style had caused the problem.

He has just sent me a bill for almost a £1000 pounds. to cover the cost of his repair.He made no contact prior to sending me the bill.It simply came through the post as a demand threatening court action

Ive two questions ,One doesnt it say in the sale of goods act.That a customer should contact the dealer before any work is carried out. Surely he cant just have any work done he thinks fit and send me a bill , without my prior knowledge consent or involvment.

two,under the revised sale of goods act how easy is it to prove that the clutch wasnt faulty when he bought it. As i understand it, the act says that a retailer has to prove that the fault wasnt on the car for a period of 6 months after purchase.I beleive it also says that a claim is based on a price paid and the age of the car and its mileage.

If any one has come across either of these issues before ,I would appreciate thier thoughts paticularly the first part.

cheers tony

Ford Mondeo - warranty company wont pay - Falkirk Bairn

If dealer has sold a 2nd hand car he is liable for repair or refund if the car fails.

Customer has duty to reurn car to sealer if he/sh has problems - the dealer can then fix/refund customer.

If the customer has a car and spends £1000 on repairs without giving the dealer the opportunity to fix / refund then the customer does not have a leg to stand on. The dealer did not agree to spending £1000 and cannot be held liable.

Ford Mondeo - warranty company wont pay - LucyBC

We act for a number of people on the consumer side and these cases are never a pushover if everything in the consumer's favour.

On an eight year old car car costing £3000 with this failure after 4000 miles your liability would not have been clearcut in any event as the age, condition and price has to be taken into account - as well as the possibility to assert that the consumer's driving practices might have been a contributory factor.

To succeed in any event the customer's first point of contact has to be with you. The courts do not permit that they should have work undertaken and then send you the bill expecting you to pay it. Consequently there is no liability on your part to pay the £1000 and the customer has considerably weakened their position.

I would suggest that you advise them politely but firmly that you cannot be held responsible for work being undertaken without your agreement and if he wishes to bring a case you will rigorously defend it - in which case we can assist you.

Ford Mondeo - warranty company wont pay - tony g

hi,thankyou to both replies for confirming what i hoped would be the case.That a buyer should consult the seller before having any work done.Ive now replied to the buyer who says he will report me to trading standards.

Ive always understood that trading standards main role is to advise both buyers and sellers as to thier rights and responsabilities, and that as an organisation they will only become involved in direct legal action with a stop order.When a trader continuesly flouts normal selling behaviour. Is that right?

Finally using my sale as an example is it possible to give a broad definition of my responsibility when selling a 2002 car with 80,000 miles at a cost of £3000.It seems likely that the fault described by the customer would not have been on the car when he took delivery.It wouldnt have been driveable or would have shown as a slipping clutch.

The new amended act seems subjective and vague, and as I sell cars similair to the one described .its possible that I could face the same issue again.Can you please advise.

Regards tony

Ford Mondeo - warranty company wont pay - LucyBC

Trading Standards will get involved in a single event if there is a clear breach and it is not recticfied. An example might be if a car breaks down 200 yards down the road and the trader refuses to take any responsibility. Similarly they will intervene if there has been a clearly illegal act such as clocking.

The legislation is deliverately subjective as it is designed to leave the decision as to what is acceptable up to the court. If you sell a new product in the first six months then the presumtion would be to replace, repair or refund.

In the more complicated matter of a second hand car the court will take account of age, condition and price - as well as the duty of the keeper to maintain and look after it properly. So if someone buys a £200 vehicle as a runaround for a month or so and fails to put any oil in it the court is not going to demand much of the dealer if it fails after five months. But if you sell a year old Porsche and it develops a noisy gearbox a court would probably rule that you should fix it.

From a trader's point of view you are always going to have some cars develop faults and that likelihood increases if you sell older and cheaper cars. You have to build some provision for that in your profit margins.

The main guidance I would offer it to remember that consumer legislation is all about knowledge (which is why a trader cannot sell a car "as seen").

If you sell a car which has a fault then as long as that fault is notified and on the invoice there can be no come-back.

The other point is the consumer is not without responsibilities and if the fault resulted from their negligence the court should not find against the trader.

Ford Mondeo - warranty company wont pay - tony g

hi lucy ,thankyou for the information.its interesting paticularly the aspect of subjectivity.

My understanding of subjectivity is that it could be based not on facts or whats reasonable. In that, its likely that should a dealer end up in the small claims court ,the outcome of a paticular case could be decided by a judges biased opinion of second hand car dealers ,rather than a realistic viewpoint of what any buyer should be entitled to expect from a 10 year old car.

Im sure that for many people the image of Arthur Daley is he is the archetypical car dealer.

After 30 years in the trade Ive come across relatively few Artur Dalys.However ive come across just as many car buyers,who are either unrealistic in thier expectations of what £2000 / £3000 buys in car terms.Or buyers who will expect substantial repairs at a dealers expense ,on a car they have owned for 3 months and more.

Do you think its likely that a car dealer is at a disadvantage,when he gets to court ,simply because he is a car dealer.?

regards tony g

Ford Mondeo - warranty company wont pay - bonzo dog

You've got 5 years more than me Tony, but my experience is that every dealer i've ever met is bent to some extent. When I say this (in a nice manner of course) the one I'm speaking to says "not me". "So you've never sold a car for cash & under declared the selling price to the VAT man?" ..... "errrrr?" Or "You've never done a dummy invoice to the finance company to create a deposit?" ..... "errr?"

Two recent comments to me by directors of medium size groups;

  1. "The b***** trading standards were on the radio this morning, advising customers of their 6 months rights. Don't they know the job is hard enough."
  2. "I don't care if the damn thing broke down inside 6 months. We give a 3 month warranty he can **** ***"

From the sales manager of a used car site within a franchised group:

  1. So I told him "I don't care if the thing has broke down after only 2 weeks. If you wanted looking after you should have bought one from our XXX franchise"

And finally from directors of two (seperate) used car dealers:

  1. We give a one month warranty. If the customer mentions the 6 month thing, I won't sell him the car
  2. In my presecnce, to a customer: "Trading Standards!!!! Trading Standards!!!! I know where you live. I'll come round & give you Trading Standards!"

I think car dealers are at a disadvantage when they get to court because the court KNOWS that dealers frequently sell cars that have major inherant defects. They know that the standard of preparation in MOST used car dealers is to drive it & if they don't notice anything wrong it is sold as it is with NO thourough check. What level of assistance they give to the customer if a problem then shows itself is very much down to the individual dealer.

Ford Mondeo - warranty company wont pay - LucyBC

I work mainly in the consumer interest and while we fight very hard on the consumer side my experience is that most traders more than meet their obligations under the prevailing legislation.

There are some exceptions but for the most part these people should not be trading in any business.

Ford Mondeo - warranty company wont pay - bonzo dog

I guess, Lucy, that your experience is based on complaints from the car buying public, who are equally as dishonest as the traders they buy from. So in many of the complaints you get involved with, the dealer happens to be innocent, on that particular occassion.

As I said in an earlier post, I'm sick & tired of car buyers trying it on. I've lost count of the number of PXs which were a year older than the customer told me at time of order - "log book? I haven't got it with me, can I send it in the post?" or the amount of PXs which the customer has "parked it round the corner, here are the keys" only to find out it had a couple of dents more than it had two days ago when I agreed the deal.

A pal of mine (who is one of your mob, Lucy) once asked me if it was OK to keep his tax disk on his PX without informing the dealer at time of order. I've been offered cash countless times to sell a car well below retail price & on one occasion to alter an order form detailing the (false) purchase of a GAP policy after the customer's car had been nicked

I've had a customer run out of gas in a loan car, cruise to a halt at a petrol station, then walk a mile to the dealership where I worked, shouting at me that the loan car had broken down & wanting a discount on his service bill in com-pen-say-shun. i've had customers (plural) use half a tank of my (mine - private) fuel yet claiming they have travelled no more than 10 miles.

This is the problem with the car trade - both sides expect the other to "rip each other off" so they both get their retaliation in first.

Me, I treat everyone as a liar & a cheat thus I am not at a loss, just continually disapointed