Do I have a case against a dealership who sold me a faulty vehicle.

Dadilox

I purchased a vehicle for business purposes on 08/01/2025, for over £30,000, on 19/01/2025 while driving the vehicle on the motorway it caught fire and was subsequently written off.

After contacting the garage we were advised by them to go through our insurance, however, we do not feel it is fair for us to pay all the additional costs involved as the vehicle was faulty and not fit for purpose.

We want to know if we have a right to claim for the cost of the vehicle, cost of items inside that have been destroyed, disruption to the business and loss of income as well as the personal effects incurred on the driver. 

HopeAndDriftWood

I guess the starting point would be - do you have evidence that the vehicle was already faulty, and the fire was caused by that fault? 

Ayr_Rage

If you can prove the fire was due to a known existing fault when the vehicle was sold to you then you may have legal redress but as it was a business purchase you do not have the normal consumer rights.

Has the reason for the fire been determined by an investigation?

I trust you had the vehicle insured for business use you should read the policy regarding what you can claim.

Aylesbury_Duck

Surely this is a matter for your insurer to deal with?  They'll want to minimise their costs, so if they think there's anything to be claimed from the seller, they'll do so.

What injuries were caused to the driver?  That's something else your insurer will need to be informed of.

CliveOfIndia

Dadilox said:

the vehicle was faulty and not fit for purpose.

Have you got proof of this?  If you can prove there was an inherent fault that caused the fire then you may have a case - other than that, that's what insurance is for.  But even so, remember that as a business purchase the normal "consumer" rules don't apply.

tacpot12

As a business, you would need to take legal advice from a solicitor about whether a claim against the dealer is likely to be successful. The Sales of Goods Act is likely to be the relevant legislation. 

Whether or not the vehicle was faulty at the time of sale might well depend on when the fire occured in relation to the purchase date. You are much more likely to win if it was within 30 days and if the vehicle hadn't been serviced in that time. If the vehicle has been serviced or been for an MOT, the dealer might well suggest to the judge that the fire might have been caused by someone else's action. In civil cases, you need to prove that "on the balance of probabilities" the vehicle was faulty when it was supplied to you.

Does the business have any sort of insurance that would cover legal expenses? If not, it might be worth considering purchasing such cover, although it would not help with this issue as it is a pre-existing one. 

Grumpy_chap

Dadilox said:

I purchased a vehicle for business purposes on 08/01/2025, for over £30,000, on 19/01/2025 while driving the vehicle on the motorway it caught fire and was subsequently written off.

After contacting the garage we were advised by them to go through our insurance, however, we do not feel it is fair for us to pay all the additional costs involved as the vehicle was faulty and not fit for purpose.

We want to know if we have a right to claim for the cost of the vehicle, cost of items inside that have been destroyed, disruption to the business and loss of income as well as the personal effects incurred on the driver. 

There will be no consumer rights for this as it is a business purchase.

You need to claim on the vehicle insurance. 
You may, as part of the claim, comment your query as to whether the event (within 11 days of purchase) was down to a pre-existing fault and recoverable from the dealer.  The insurers will have the ability to investigate whether that is likely and whether recovery action to mitigate the loss is likely to be successful.

Does your insurance provide for a period of hire vehicle?
If not, the business needs to hire a replacement vehicle, or given it is a certainty the burnt out shell will be written off, make the investment to buy a replacement vehicle in the knowledge that the insurance payout will be processed within a reasonable timeframe.  The costs of the vehicle, items inside the vehicle and the driver's personal effects will all form part of the insurance claim.

the_lunatic_is_in_my_head

Hello OP

You’d have to look to the Sale of Goods Act to see what cover this offers you. 

MikeJXE

What make of car was it ?

CliveOfIndia

the_lunatic_is_in_my_head said:

Hello OP

You’d have to look to the Sale of Goods Act to see what cover this offers you. 

The Sale of Goods Act was replaced by the Consumer Rights Act back in 2015 - and neither would cover a B2B transaction anyway.  There may well be other options to explore, but I'm pretty sure SOGA/CRA wouldn't be of much help.

the_lunatic_is_in_my_head

CliveOfIndia said:

the_lunatic_is_in_my_head said:

Hello OP

You’d have to look to the Sale of Goods Act to see what cover this offers you. 

The Sale of Goods Act was replaced by the Consumer Rights Act back in 2015 - and neither would cover a B2B transaction anyway.  There may well be other options to explore, but I'm pretty sure SOGA/CRA wouldn't be of much help.

SOGA is alive and well  

https://www.legislation.gov.uk/ukpga/1979/54

Certain areas are noted as not applied to contracts which are covered by the CRA but it covers B2B and certain areas still apply to B2C.