Cars Buyers sold ex-company cars without warning to get compensation

12:56  08 january  2018
12:56  08 january  2018 Source:   autoexpress.co.uk

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Buyers who’ve unknowingly purchased ex - company or rental cars could get refunds of up to 100%. Under these regulations, anyone who has been mis- sold an ex-rental car could be entitled to compensation of 25-100% of the car ’s purchase price in damages.

Buyers sold ex-company cars without warning to get compensation © Auto Express Buyers sold ex-company cars without warning to get compensation

Motorists who have unknowingly bought ex-fleet, ex-business or ex-rental vehicles from used-approved dealers through misleading advertisement could be entitled to anywhere between 25 to 100 per cent of the purchase price back in compensation, leading lawyers have told Auto Express. 

Damon Parker, head of litigation at law firm Harcus Sinclair said a recent ruling by the Advertising Standards Authority (ASA) now means owners have a “viable case” against used-approved dealers that failed to inform them the car they bought was once used by fleets, rental companies or for business use. 

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Been sold a fleet car with one owner - you could be due compensation !https without - warning - to - get - compensation /ar-BBHOg5Q?li=AA8sb7&ocid=spartandhp … New to Twitter? Sign up now to get your own personalized timeline!

In October this year, the Advertising Standards Authority ruled on behalf of Auto Express reader Ashley Rumbold who complained about two advertisements on Alfa Romeo’s used-approved website. The cars were advertised as having one previous owner, but it was later discovered both were ex-fleet vehicles.

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The ASA said: “If a dealer knew that a vehicle was ex-fleet because it had previously been used for business purposes, then that was material information likely to influence a customer’s transactional decision.”

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Buyers may be entitled to huge compensation payouts if they bought an ex -rental car from dealers without warning , according to lawyers. Alamy. Misleading history on car adverts could spark huge compensation claims.

The ruling required the used approved dealer and Fiat Chrysler Automobiles, the parent group of Alfa Romeo, to ensure future ads do not omit misleading material. A Fiat Chrysler Automobiles spokesman told Auto Express it has already introduced interim measures to inform buyers cars on the company’s used-approved site may be former fleet vehicles.

He added: “In the long term, there will be a change to our online systems so that individual vehicle pages will enable the retailer to flag the status of each vehicle advertised for sale.”

  Buyers sold ex-company cars without warning to get compensation

An ASA spokesman said the organisation is now communicating the message to the rest of the automotive industry: “We are telling advertisers that they must include information that they do not currently always include: specifically, if a car is ex-fleet or ex-hire or similar. 

"We are telling them they need to change that aspect of their advertising. If they need to put in place new functionality on their websites to achieve that then they will need to do so.”

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If they can’t get that new car smell, used car buyers want the next best thing: a pleasant-smelling ride. Finding a used car buyer willing to make an offer without taking a test drive is slightly more likely than stumbling across a Don’t forget to tell your insurance company you’ve sold your car .

Posts containing primarily negative comments, and lacking in advice, will be summarily removed without warning . What process do I need to go through to get compensation ? The buyer would then have to sue your ex to get their money back.

However, the ruling also means that used-approved dealers could be liable to pay refunds to owners who’ve bought ex-fleet or rental cars advertised as being privately owned. Parker said: “The ruling confirms our position that this is a viable claim for people who find themselves misled by dealers.”

  Buyers sold ex-company cars without warning to get compensation © Westend61, Getty Images The practice of omitting ownership details is in violation of the Consumer Protection from Unfair Trading Regulations 2008. Parker said: “An interesting feature of the Regulations is that, where it is impossible to quantify the difference in value  [between the market price for a privately owned car and an ex-fleet, business or hire vehicle] damages are then calculated as a percentage of the purchase price.” 

The percentages vary between 25 and 100 per cent, depending on how severe an omission was made, and how much difference the information would have made to the sale price.

However, an industry-wide litigation suit is difficult, according to Parker. “It’s difficult to put a number on how many people have been affected by this, so we will have to look on a case-by-case basis.”

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Car is still in my possession, (he’s picking up in 3 days), but he has the title, without buyers information. I couldn’t prove it so I couldn’t get the tow company to fix it so I sold it for cheep.

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Auto Express reader Ashley Rumbold has started a campaign (www.usedcarscandal.co.uk) where drivers who know they’ve been sold a vehicle that was falsely advertised can find out more. 

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