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Please help...problem with car from dealership

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  • jeannieblue
    jeannieblue Posts: 4,761 Forumite
    Part of the Furniture Combo Breaker
    needahol wrote: »
    Many thanks for all the advice given, in particular about the joint responsibility of the finance company. I've not long been back in and have to go out again at 6.30 but will give a full update tomorrow morning.

    Thanks again.
    Really good to know we will get some feedback!

    Fingers crossed it all went well - not sure about the 'joint' responsilbilty - think poss may be sole responsibility at this stage of the finance company. What programme was that on? Woman had bought a Mercedes thingy - and it went wrong and it was the finance company's responsibility - someone help me out here....

    It wasn't on Watchdog... Oh I sort of know, I was off from work one day and caught a programme with that bald guy on, Dom somebody. He used to do er a programme about test driving houses.... Anyway, he took up the cause of this woman, who was pregnant, and found the finance company were responsible that her car had turned out to be a pile of poo and they got it fixed.

    Not much help there really ....

    Except, don't buy a Merc.. :D
    Genie
    Master Technician
  • Alias_Omega
    Alias_Omega Posts: 7,917 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Hello again,

    dont think you got back to us with what was wrong with the car.?

    Does it not drive, steer, do the brakes not work.?

    Is it something naff like lights not working or something.

    Would be nice to let us all know.

    Regards,

    AliasOmega/
  • needahol
    needahol Posts: 767 Forumite
    As promised, I am updating the thread following yesterday's visit to the dealership to try to get my niece's problem with her car sorted out. I will also give further details on the sequence of events so far and what the actual fault appears to be for those who are interested. Long post - sorry, see para 5 onwards if you just want to know what happened at the dealership.

    As described in the OP, my niece bought the car, an 05 Punto Active in mid May on finance (arranged through the dealership). Within a couple of days, she was having problems starting the car so it was returned for repair. She received a call to say that the car was mechanically sound but a problem had been identified with the ignition key, ie it needed to be recoded (I think) and would be sent to Fiat to do. This took over 2 weeks, with the dealership blaming Fiat for the delay when my niece rang to find out what was going on.

    In mid June, she was told that the car was ready for collection so she went down to collect it. Unfortunately, when she turned the key in the ignition, nothing happened!! A mechanic was with her when she tried to start it; he also tried but couldn't get it to start so she was told that the key would have to go back again for recoding. At this point, the guy she'd been dealing with went off on leave for 3 weeks and she was unable to get much help from anyone else during his absence. When the guy returned from his holiday, my niece went to see him.

    At this point, because of the hassle she'd had, he said he would see about getting a comparable vehicle for her in exchange. My niece was happy enough with this solution so she chose an 05 Corsa lite. Unfortunately, when the paperwork was faxed to the finance company, they apparently said that, unless they received something from the dealership to say the Punto was not mechanically sound, they could only offer trade-in value for it and this was around £600 less than what she'd paid. This seemed a bit strange to me, do finance companies get involved in offering trade-in value?? Anyway, apparently, none of the technical experts (which I assume is a posh name for mechanics) were willing to say the car was mechanically defective as they insisted that the problem was with the ignition key. The trade-in value of the Punto was less than the settlement figure to the finance company so my niece felt she had no option but to wait for the Punto to be repaired again. The dealership did say at this point that she could have an 04 Corsa lite in exchange; the price on the windscreen for this car was £600 less than the original Punto price so I assume they were looking to P/Ex the Punto at this point. This was declined, my niece didn't like the colour!!

    She took delivery of the Punto again on Tues but it wouldn't start when she got into it after work on Friday. For anyone who is able to diagnose car problems, it wouldn't start at all in neutral but she was able to start it in 1st gear in order to drive it home. Since she got it home, it hasn't started at all. She has tried the spare key in case this recoding problem was specific to the main key but all she gets is a coughing and spluttering sound.

    At this point, she rang me in tears to ask if I could help out and I posted the OP.

    Thanks to the link posted by Coupon-mad, my niece and I went to the dealership armed with some valuable information. The sales manager came out to speak to us and my niece explained what had happened. The sales manager said, if we returned the car, he would have someone look at it as a matter of urgency first thing on Mon morning.

    I said that my niece no longer wanted the car as this was the 3rd time it had broken, therefore she wanted to exchange it for a car of comparable value. I also said that depreciation/trade-in values were not relevant and that the full amount should be offset against a different car. I stated some of the info in the link but was polite enough. At this point, the sales manager got a bit stroppy and said he knew the law inside out and that the law says he is only obliged to offer an exchange after the dealership had had three chances to repair the vehicle!!!! I asked him to advise what legislation allows for this as I was unaware of it. He then changed it and said it was company policy, to which I replied that adherence to the law overrules company policy (I hope I'm right and there is nothing to this effect in law!)

    He said there was nothing that could be done on a Sat afternoon as the branch manager was not in then but this would be priority for them both on Monday morning. He said my niece could have a courtesy car (which hasn't been offered to her before!) and that they would collect the car on Mon morning from her home. I was provided with both his and the manager's email addresses so that I can email them to say what resolution we would like.

    I mentioned the fact that she has been paying insurance for a car she hasn't been able to drive (no less than £1290 over the year!!!!) and 2 months tax and MOT has also been wasted. She has also been getting taxis to and from the dealership (it is not easy to get to via public transport) and paying out for journeys to/from work and I feel she should be compensated in some way for that.

    Ideally, she wants to choose a different car, with the same amount of tax and MOT on that she originally had on the Punto in May, she would take the 05 Corsa lite. To anyone who knows about car values - would a Corsa lite and a Punto Active be comparable in value if they are both 05 models? My niece says the engine size and the features inside were similar.

    I am drafting my email at some point today and hope for a resolution tomorrow - I will update the thread again when I have more info.

    Thanks again for all the interest and the advice.
    08 wins £3000+ :j09 wins £4408:j2010 (6 months off) £2004:j2011 £10,003 :j 2012 - £6013 :j2013 wins £8500 :j 2014 £5530 so far....
  • jeannieblue
    jeannieblue Posts: 4,761 Forumite
    Part of the Furniture Combo Breaker
    They have got away with quite alot for a quite awhile, haven't they!

    Dreadful service - I am hoping that someone on here will know the legal way forward for you. Sounds like you did rather well and stood your ground!!

    Your niece is lucky to have you!

    To replace an ignition barrel/key and recode is all in a days work!! Unless someone didn't know what they were doing - which it seems that they do not! Sounds more complicated and think you are right to change it for a different car. Fiat are known for electrical problems. Think the Corsa will be a better bet.
    Genie
    Master Technician
  • Wig
    Wig Posts: 14,139 Forumite
    Did you notice that as soon as you started talking about the sale of goods act the dealer suddenly starts to offer to arrange for the vehicle to be picked up not asking you to bring it to them and offers you a courtesy car - check the excess on the courtesy car document, and don't take their word for it if they say your insurer will cover the excess on the courtesy car.

    http://www.honestjohn.co.uk/faq/faq.htm?id=43

    You should be careful, on a few points. How much was the car? If it was more than £5000 & you reject it you will be looking at county court not small claims court.
    Small claims court - you will not have to pay other sides legal cost if you lose.
    County court, you may have to pay other sides legal cost if you lose, I say 'may' because I used to be of the opinion that you have to, but this post of mine has recently brought doubt on that..... you will have to read the thread to understand it then follow my links to the other forum and read that thread.
    http://forums.moneysavingexpert.com/showthread.html?p=12581009#post12581009

    If the car was below £5K then you have nothing to worry about on that score.

    Second thing to worry about is as per the 1st link in this post, Bernstein v/s Pamson Motors 1987 has held that the supplier must be given 3 chances to repair a fault....This is called "case law". I have been reading up on the case and actually have not found ANY reference to the alledged 3 repair attempts except on honestjohn. You will need to do your own research to find out more on this. But to me it looks like HonestJohn is wrong.

    Reading your previous report it is arguable that they have had 2 chances to repair it.

    1. It failed and was returned
    1a) They fixed it and called her to collect it, it would not start. (first failure to repair )

    2. She left it with them for further repair (second attempt to repair but arguably the vehicle remained with them, could be a bit sticky on this point).
    2a) She picked up repaired car

    3) The car has failed again.
    Are they entitled to attempt repair No.3?

    You are also entitled to - under the SOGA - repair within a reasonable time (not defined) so when (if) you accept a third attempt at repair you should specify and both agree (you and dealer) to what time scale the repair will take.

    Case law (Rogers v/s Parrish 1987) has put a limit of 6 months on the time you can successfully reject a car and obtain a full refund.

    Both cases referred to were for new cars not used cars. But see below an example of used car.

    Another thing to note,
    http://books.google.co.uk/books?id=C5JJxTSZ2iMC&pg=PA173&lpg=PA173&dq=bernstein+pamson+three+repair+attempts&source=web&ots=JEDcLrm9L2&sig=QeQbE6KPi13qLbxHJ6SSpBDc9Nk&hl=en&sa=X&oi=book_result&resnum=6&ct=result#PPA173,M1
    You will note on page 173 - hopefully it will open on that page - it says

    Porter v General guarantee corporation
    Porter took delivery of a car on hire purchase at the end of January. On 4th March he tried to reject it. Attempts were made to repair but Porter finally rejected on 20th March
    held The rejection was not too late.
    NB This was not a sale governed by SOGA but a hire purchase agreement where the right to reject was governed by common law.

    Also
    Lutton V Saville Tractors limited (belfast)
    A three year old Ford Escort was sold by a dealer to a consumer with a three month warranty. The car had or developed many minor faults and many attempts to rmedy themhad been made by the dealer. After seven weeks and having covered 3 - 4K miles, the buyer rejected the car claiming inter alia that it was not of merchantable quality.
    Held The rejection was not too late. The buyer had not 'accepted' the goods under s35 SOGA by assenting to repairs beforehand. Further, he had not affirmed the contract for the purposes of rescission for misrepresentation by agreeing to repairs.
    NB Although this car was second hand it was unmerchantable. Emphasis was placed on the issue of a warranty which was evidence that the parties expected a period of trouble free motoring from the car

    Farnworth Finance v Attryde (1970)
    Farnworth supplied a new motorbike on hire purchase to Attryde. Delivery was made in July. From the beginning the motorcycle gave trouble and was returned to the dealers and manufacturers for repairs. These were only partially succesful and the motorbike cont. to give trouble until November when Attryde rejected it He had paid 4 installments. The motorbike had covered 4K miles and given 7 weeks use since delivery, 4 months earlier. Farnworth disputed the right to reject.
    Held Attryde was entitled to reject. He had not affirmed the contract; in fact he made it plain that he would not affirm unless the defects were remedied.
    NB This was not a sale governed by SOGA but a hire purchase agreement where the right to reject was governed by common law.

    Thain v Anniesland tradecentre (1997)
    Ms Thain purchased a car from a dealer, Anniesland the car was 5 - 6 yrs old Renault 19 and had cocered approx 80K miles.
    Ms Thain paid £2995 for the car, she declined an option to buy a 3 month warranty, after 2 weeks she discovered a gearbox bearing was worn and decided to reject the car, a repair being uneconomic, the dealer offered a number of replacement cars, but Ms Thain insisted on a full refund claiming the car was not of satisfactory quality, the dealer refused.
    Held The relevent aspects of s14. were 'fitness for purpose' (S 14(2B)(a)) and 'durability' (S 14(2B)(e)). The gearbox bearing was not faulty at the time of sale and so the car was at that time fit for its purpose, the defect could have emerged at any time due to normal wear and tear given the age and mileage of the Renault. Therefore the cars durability was a matter of luck. The price was reasonable, much less than the new model. In the circumstances a reasonable person would accept that there was a risk of expensive repairs. Ms Thain could have covered the risk by purchasing a warranty thus the car was of satisfactory quality.


    When you deal with the dealer, you use SOGA, if and when you fight with the HP company, you deal in common law not SOGA.

    Conclusion,
    From all of that reading, I would say, as it has not been 6 months, you have the right to reject the car as not of "satisfactory quality" and obtain a FULL refund (assuming the car was sold with warranty - and maybe assuming the warranty is still valid). The fact that you have consented to repair attempts, does NOT mean that you have accepted the vehicle. Which means, if you have not "accepted" you are in your right to reject it tomorrow you have no responsibility to accept any further repairs.

    If this is your intention to reject the car, I would suggest an urgent letter outlining that you reject the car under
    and that you deliver the letter with the car to the dealer, and leave the car with them. They will no doubt refuse your rejection, and attempt a further repair. You will then have to decide what action to take.

    Be very careful about rejecting a car costing more than £5000.

    And be very careful of rejecting a car sold to you without warranty.

    IANAL TINLA
    I am not a lawyer this is not legal advice.


    Good luck, keep us informed, even if it only gets resolved in 3 or 6 months, please come back and update the thread. And consider CAB or proper legal advice from a solicitor if you are considering rejecting the car.
  • needahol
    needahol Posts: 767 Forumite
    Wig - Many thanks for such a comprehensive reply. I am very grateful that you have taken the time to post such useful information. I have now sent off the email and will keep everyone updated.

    I was a little nervous of posting on a board I am unfamiliar with (I only usually use this site for comps and free cimema tickets) and I am really touched that so many have taken time out to try and provide help to a total stranger.

    Thanks again everyone!
    08 wins £3000+ :j09 wins £4408:j2010 (6 months off) £2004:j2011 £10,003 :j 2012 - £6013 :j2013 wins £8500 :j 2014 £5530 so far....
  • photome
    photome Posts: 16,668 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Bake Off Boss!
    Whats the latest
  • jeannieblue
    jeannieblue Posts: 4,761 Forumite
    Part of the Furniture Combo Breaker
    needahol wrote: »
    Wig - Many thanks for such a comprehensive reply. I am very grateful that you have taken the time to post such useful information. I have now sent off the email and will keep everyone updated.

    I was a little nervous of posting on a board I am unfamiliar with (I only usually use this site for comps and free cimema tickets) and I am really touched that so many have taken time out to try and provide help to a total stranger.

    Thanks again everyone!
    I think its like a family on here - you get close to some, amiable with quite alot and irritated & annoyed by a few!! And then there are those you could quite happily throttle.. :D
    Genie
    Master Technician
  • photome
    photome Posts: 16,668 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Bake Off Boss!
    Still no update?

    I notice Op has been posting on other threads so maybe no news yet?

    Or is this one of those threads that never get answered/resolved, there are so many on the motoring thread
This discussion has been closed.
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