Dealer prosecuted for $1 reserve as-is listings

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bitsy_boffin, Jul 19, 11:14am

friendly_prawn, Jul 19, 11:31am
I believe they are dodgy as hell. I went to check one of their $1 listing out and it was a rust bucket. Probably dangerous but listed as in good order.

gwimweeper, Jul 19, 11:41am
Kudos to the Commerce Commission.

whqqsh, Jul 19, 11:46am
yup, I went look at a Hi-lux they had but was warned by someone on here, & sure enough it was a total POS! In its day it would've been a great 4wd wagon. but that day was probably before 20 years of rust had eaten every surface underneath & mounting point

curlcrown, Jul 19, 12:19pm
Personally I don't see why dealers shouldn't be allowed to do that if they are up front about it. People can look and assess how much they are willing to pay by looking at the car before the end of the auction, if it's a pos they can bid accordingly, or not at all. All its doing is making dealers pay scrap value for anything old or high mileage.

buyit59, Jul 19, 12:34pm
Doesnt sound like these guys were telling the truth so they reap the results . But some private sellers need same sort of treatment. instead of selling some dodgy piece off junk in with hidden problems

franc123, Jul 19, 12:35pm
Dead right IMO, its time the law focused on punishing sellers be they RMVT's or not who are clearly trying to mislead buyers instead of protecting buyers from their own poor decision making and lack of due diligence. These sorts of vehicles have to be disposed of somehow, they shouldn't all be worth just scrap value past an opinion based age and kms because of a blanket consumer law which poorly applies to complex used goods with varying rates of deterioration like cars. In many cases they are still viable to buy and own. in the hands of the right buyer.

apollo11, Jul 19, 2:09pm
I also don't have an issue of dealers selling old cars on an as-is-where-is basis, as long as they are completely honest with their descriptions.

friendly_prawn, Jul 19, 2:29pm
I pointed out the rust in the chassi, mount points etc so there was no excuse for them to readvrrtised it as being in good condition. Blew me away some mug eventually bought it and paid 6k for it from memory. Then gave them good feedback lol. The mind boggles. I wonder how long before they woke up to what a wreck they had bought.

3tomany, Jul 19, 3:00pm
There we have the problem ''honest with their description'' Buyers need protection in circumstances where the dealer was not honest in the description. Selling on an as is basis is a deception, as the dealer has to guarantee the description is honest.

bwg11, Jul 19, 3:00pm
You and curlcrown are dead right. I wonder what Commerce Commission's consumer manager Stuart Wallace suggests dealers do with vehicles approaching their "use by" date? Sell for cash to a bottom feeder who will then sell privately as his mother's loved car and who has just left the country, or sell to the wreckers (probably subsidising the trade-in price from profit on the purchase or finance), or finally, cross their fingers, do essential repairs and hope the motor vehicle disputes tribunal has realistic expectations of the "fitness for purpose" of a 20 year old Euro done a quarter of a million kms.

Stupid legislation, which adds to everyone's costs,allegedly to protect the consumer. As a result, dealer are called thieves and burglars because of the low trade-in prices they must offer on older, high mileage vehicles, retail prices of the same vehicles are inflated to cover the cost of a possible failure. Nobody wins.

Would it not be better if consumers in the market for an older vehicle used "due diligence" for their purchase?

thejazzpianoma, Jul 19, 4:04pm
Nice to see the commerce commission actually doing something. Perhaps they could move on to some sort of fine or punishment for dealers deliberately trying to mislead consumers regarding the act. I am not meaning the no warranty applies adds but where the customer comes back to make a claim and they say "no warranty". That's even worse in my opinion and it has happened with every single dealer I have dealt with in the last 24 months to some degree. It's way beyond a joke.

My favourite was a Toyota dealer who 3 days after selling a $38'000 used vehicle refused to replace the battery which wouldn't take a full charge because "they didn't have much money in the deal".

sw20, Jul 19, 6:37pm
The government wants the average vehicle age to be much younger than it is. There has been lots of little bits of tinkering around the edges because of this.

The CGA changes being outlined here. The high mileage unknown quantity trade ins aren't worth much, but they will end up costing the dealer if they aren't careful. To have zero comebacks they will need to de register it, then flick it to the scrap man, thus removing the old car from the road.

Add in the band system for licensing fees, where the newest and safest cars are literally half the price to re licence than an older car. Yearly warrants for post 2000 vehicles and brand new cars don't need a WOF for three years. The only old cars that will end up being on the road will be ones that are somewhat special.

kazbanz, Jul 19, 6:44pm
There were TWO issues being addressed by the legislation change.as per usual the gubbiment hid their main agenda behind a smoke screen.
First of all there was the fact that by auctioning a vehicle your obligations under the CGA were null and void.
Great idea and fantastic disposal system for genuinely end of life or mechanically damaged vehicles.
Heck Ive sold a fair few cars with dead gearboxes or blown head gaskets.
The buyers were as happy as larry They had a spare gearbox or were going to haul the head off etc.
BUT then fresh imports flooded the auction scene. THAT had to be stopped as it really was trying to avoid responsibilities-no iffs buts or maybees.
Trouble is the gubbiments hidden agenda was their desire to force kiwi's out of older cars.
Personally I can't see how you can be prosecuted if you are honest in your description of the goods. If something is genuinely end of life then that's what it is-as long as you are 100% up front about it.
I mean a 2013 fiat Pubnto with 60000km on the clock for example is only suitable for scrap purposes isn't it?

thejazzpianoma, Jul 19, 7:02pm
Absolutely and I will be more than happy to pay scrap value for any such examples you have. Given the price and my intention (for which we can document) there would be no expectation of cover under the CGA.

Just let me know when to arrive for pickup.

afer_daily, Jul 20, 8:46am
what it boils down to is this / if you dont look at it before you buy dont bitch about when you pick it up !

afer_daily, Jul 20, 8:48am
i know i keep repeating myself.

kazbanz, Jul 20, 9:30am
what it actually boils down to is that the gubbiment has "dumbed down" the driving public so much they need to wipe their backsides for them

marmar1, Jul 20, 12:32pm
Isn't that the gubbiment plan for everything in your life?

absolute_detail, Jul 20, 10:57pm
Why cant dealers just be honest about it. No problem selling them but dont lie about its condition

kazbanz, Jul 21, 11:03am
I LOVE your way of thinking. Trouble is that the LAW now says something totally different.

mojo49, Jul 21, 11:14am
"I mean a 2013 fiat Pubnto with 60000km on the clock for example is only suitable for scrap purposes isn't it?" So true kaz. If you get any same age/km Subaru Legacy/Outback/Lancaster wagons (only 3.0l) I will give you $1 each. I need them for orchard work. (Off road only so no WOF-regn)

mojo49, Jul 21, 11:15am
I thought I was stuttering!

kcf, Jul 21, 12:40pm
1700610483 <-- I guess these guys aren't familiar with that particular prosecution.

sw20, Jul 21, 1:01pm
What is wrong with their ad? They don't claim to offer no protection, just that the car is being sold as traded, without a WOF and with the registration on hold, which the buyer is aware of pre purchase.