A Landmark Win for the “Little Guy”: Tribunal Orders Full Refund for Defective Mahindra

In a powerful affirmation of consumer rights, the National Consumer Tribunal (NCT) has come down hard on a Gauteng car dealership, ordering Rifle Range Car Sales to refund a Mpumalanga man over R207,000 after he was sold a defective used Mahindra XUV 500 riddled with serious hidden faults.

The ruling is a victory for Jacobus Johannes Holl, who represented himself with his wife’s help, and sends a clear message that dealerships cannot hide behind “voetstoots” clauses or waivers to evade their legal obligations.

A Promising Purchase Turns Into a Nightmare Drive

Holl purchased the seven-seater from the Johannesburg dealership in May 2023 for R207,059.43. Though aware the clutch needed repair, he was assured the vehicle was otherwise sound. After promised fixes, he collected the SUV and set off for Nelspruit. The journey revealed a catalog of failures: malfunctioning dashboard gauges and warning lights, dead cruise control, wheel alignment issues, and faulty door locks.

An inspection at a Volvo workshop in Nelspruit, authorised by the dealership, uncovered alarming defects: a leaking transfer case, a non-functioning all-wheel-drive system, a defective computer box, and dirty coolant with no antifreeze, among others. Despite initially approving some repairs, the dealership later halted the work and ignored a recommendation from the Motor Industry Ombudsman (MIOSA) to collect and fix the vehicle at its own cost.

The Tribunal’s Decisive Rejection of “Voetstoots”

The dealership argued in tribunal that Holl had signed a waiver accepting the risk of mechanical problems in a used car and had not taken out additional insurance. They claimed the vehicle was sold “voetstoots.”

The tribunal dismissed this defence unequivocally. It ruled that suppliers cannot contract out of the implied warranty under Section 56 of the Consumer Protection Act (CPA). Any clause attempting to do so is invalid. While some complaints were minor, the tribunal found material defectslike the broken all-wheel-drive system and leaking transfer casethat made the vehicle unfit for its purpose.

“The first respondent attended to some but not all the repairs and therefore contravened Sections 56(2) and 56(3) of the CPA,” the tribunal found, declaring the dealership’s conduct prohibited.

A Full Refund and a Powerful Precedent

The tribunal ordered Rifle Range Car Sales to refund the full purchase price within five days and to collect the defective vehicle from Holl at its own cost once payment is made.

This case is more than a personal win; it’s a benchmark. It reinforces that the CPA’s protections are robust and that consumers, even without lawyers, can successfully challenge big businesses that sell defective goods. For anyone sold a “lemon,” the message is clear: the law is on your side, and persistence can pay back in full.

{Source: IOL}

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