Consumer Law protection after warranty: knowledge is power

The major failure, just out of warranty: a chilling scenario for any car owner. Dealers and carmakers often prey on consumers ignorant of basic consumer law. So don’t be…

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So many people get bent over at dealership service counters because they simply don’t understand basic consumer law. Don’t be one of them.

Of all the enquiries I get, these are the most concerning:

I purchased a new Clio in 2015.

I presumed the warranty expires 10/4/20 (ie - 5th anniversary of when the car was first registered.) Renault tells me the warranty expired on 27/3/20.

I check auto gearbox warning light, and the transmission is doing strange things. Car is at Eastern Renault in Croydon Victoria. They say the warranty expired one week ago. Please help. 

I’m a healthcare worker doing lots of hours so I've been under the pump. I novated lease the car and always serviced it in time though my hospital salary packaging company.

Kind regards,

-David Murphy

Firstly, David, thank you for your service to the community during this challenging zombie apocalypse.

If you’re in healthcare I imagine you’re on the front lines of all this and it’s very stressful indeed. Really appreciate what you, and all your colleagues, are doing for the victims. Thank you.

So, it’s easy to get my ‘hate’ on for car dealers because they are just such anti-consumer bullies - and arguing the toss over two weeks of warranty coverage is an extreme arsehole act, in my view. 

So, shame on you, Renault Shitsville and you Croydon dealership cocks (no comment about individuals is made - these are positions businesses elect to take) - well done there, you dicks.

The warranty starts when the car is first registered. No question. But at the risk of being critical of consumers generally, and David here specifically, we’ve had these latest consumer laws in place for just over nine years now. And yet, a significant proportion of the population remains completely ignorant of them, and therefore, of their rights.

David’s asking the wrong question here: Please clarify the warranty status. Correct answer: Who gives a fuck? >>

So, I implore you - if you don’t know how consumer law works - desist from perusing online porn briefly, and Google the term ‘ACCC consumer guarantees’ - Educate yourself >> 

Frankly I think they should teach basic consumer rights in school - because regardless of whatever else you become, you will be a consumer when you grow up - and you will be one every day.

There’s an excellent report by the ABC on this as well called ‘Broken but out of warranty - you still have rights.’ It spells this out in plain English >>

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It does not matter when the warranty expires, because of the legislated consumer guarantees.

Read Repair, Replace or Refund for more >>

Essentially, what they say is that if there is a premature failure or malfunction with a product, and the product is therefore not reasonably durable, then the seller is required to get it fixed for you, free. Just like when it’s under warranty.

In the case of a car, that means you trotting back to the dealer who sold you the car. They have to deal with it. They cannot brush you onto the manufacturer.

‘Reasonably durable’ means: Durability that meets the expectations of a reasonable consumer. Remember that the legislation is written for all products, not just cars. Paperclips to cars, and everything in between.

So the concept of ‘reasonable durability’ obviously varies depending on the nature of the product. With a car, it’s not unreasonable for a consumer to expect that the powertrain will refrain from shitting itself for something like the first 10 years or 200,000 kilometres.

IMPORTANTE:

It’s imperative that you realise damage or abuse of the vehicle - for example by not getting it serviced - or you operate it contrary to the manual, exceeding the tow capacity or by parking it overnight in the ocean (if it’s a 4X4 - or even if it’s not a 4X4, come to think of it) - then in that case, you’re on your own. That’s your fault.

Likewise, tyres and brakes, and things of that nature, which wear out: Normal wear and tear is not covered. Just like under warranty.

But anything that’s meant to last a long time, and which goes poopy in its trousers prematurely, and not because you abused it: That’s covered. Regardless of the warranty status. You have to go back to the selling dealer, and they are legally required to fix it for free. It’s legislated.

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You.

Fight back

But some dealers and some carmakers will take advantage of your intrinsic vulnerability if you are ignorant of that consumer law - because there’s a lot more profit in it for them if they can stitch you up.

The dealer will charge you a lot more for the labour for a repair (compared with the labour rate the carmaker pays for a warranty job).

Arsehole dealer.

And there’s a huge markup on the parts for a repair, versus no markup whatsoever for a warranty job. So they do try it on, often enough, and they prey on your ignorance.

My strong advice, therefore, is: Don’t be that dumb shit.

If they try it on and say, “Sorry mate, car’s out of warranty,” you say, “Well, I’m going to need you to repair the vehicle under Australian Consumer law, because I think you’d agree it has not proven to be reasonably durable, and as you can see, the service history is completely in order and I haven’t abused it in any way”.

That sound you hear next is the rug coming out from under the dealer’s feet.

If you just say that, it’s like: Checkmate. They’ll know that you know how the game actually works, and further attempts to bullshit and bully you will be ineffective, and they’ll have to do what they’re fucking well supposed to in any case, but often don’t A) because they’re predatory arseholes, and B) because they know they’ll often get away with it because, on this, car owners are routinely such dumb shits.

It’s a vicious circle. 

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