The application was dismissed; the applicants' claims for a refund of $10,500 plus expenses arising from the private sale of a defective second-hand Volkswagen Tiguan were rejected in their entirety. The Tribunal found the statutory warranty under s 54 of the Motor Car Traders Act 1986 was unavailable because the vehicle exceeded both the age and distance thresholds, and the seller was not a motor car trader. ACL protections under ss 18, 29 and 54 were inapplicable because the sale lacked the requisite trading or commercial character, applying Concrete Constructions v Nelson — the seller's purchase and resale of three vehicles within five months as a recently arrived international student funding visa and tuition costs was insufficient to establish conduct 'in trade or commerce'. Statements describing the vehicle as in 'excellent mechanical condition' and engine performance as 'perfect (1A)' were characterised as puffery rather than actionable misrepresentations of fact, particularly in the absence of expert evidence establishing that the oil consumption constituted a defect for a turbocharged vehicle of that age and mileage.
The full text is available to signed-in members.