Vehicle warranty rights failing costs Perth dealer
A licensed Perth car dealer has been fined $1939 for getting a customer to sign away vehicle warranty rights without the approval of the Commissioner for Consumer Protection.

LMG Automotive of Wangara pleaded guilty in Joondalup Magistrates Court to engaging in undesirable practices.

The customer had agreed to buy a 2002 Mercedes Benz S430 for $60,000 without the statutory warranty.

When she took possession of the vehicle she was asked to sign a hand written form stating she had agreed to buy the vehicle without the statutory warranty as the dealer had reduced the price from seventy to sixty thousand dollars.

The purchaser had signed the form but had not been told that the waiver needed to be approved the Commissioner for Consumer Protection before she could take possession of the vehicle.

The dealer had misrepresented to the purchaser that it had the power to waive the warranty on the vehicle.

Commissioner for consumer protection, Anne Driscoll, said warranties are an important part of the checks and balances to make sure consumers get a fair deal in motor vehicle purchases.

Driscoll says the ban on waiving warranties without official consent is aimed to ensure consumers are aware of their legal rights, have the chance to gain independent advice on what defects a vehicle may have and the likely cost of repair, and to make sure they get a fair and reasonable discount for waiving their rights.

The LMG Automotive dealership and it directors were fined a total of $1,939 including costs.

Source: Autofile