So you bought a lemon? What now?

DID you hear about the “lemon laws”?

They were passed by the State Parliament in April 2019 in the form of the Queensland Civil and Administrative Tribunal and Other Legislation Amendment Act 2019 (“the Act”).

The laws came into effect on September 1, 2019, and provide additional protections for consumers in relation to defects in second-hand motor vehicles.

Several pieces of legislation were amended by the Act including the Queensland Civil and Administrative Tribunal Act 2009 and Motor Dealers and Chattel Auctioneers Act 2014 (“MDCAA”).

Key amendments include:

  • Restoration of the “one month or 1000 km defect warranty” for vehicles built more than 10 years before the sale date or with 160,000 km plus on the odometer (defined as Class B warranted vehicle). This complements the “three-month or 5000 km warranty” for younger vehicles with less than 160,000 km on the odometer (defined as Class A warranted vehicle).
  • Increase in the Tribunal’s monetary jurisdiction to hear disputes regarding motor vehicle matters (as defined) from $25,000 to $100,000.

Under the MDCAA, the buyer is obligated to provide written notice of the suspected defect within the warranty period.

However, not all defects are covered (refer section 8 of the MDCAA) and the buyer is to be given a written response to confirm whether the defect falls within the warranty.

Disputes can then be escalated to the Tribunal, provided the value claimed does not exceed $100,000.

If you suspect a defect in your vehicle, act promptly to protect your interests.

Until next week – Keep it Legal!

Katie Caldow

*The legal information in this article is of a general nature only and not intended to be legal advice to rely upon.

Walker PenderSo you bought a lemon? What now?