Consumer law governs all interactions between businesses and consumers.
A consumer is an individual who purchases goods or services not through the course of their normal business. While many of the legislative provisions in consumer law will also apply to non-consumers, the protection afforded to consumers will always be greater.
A party purchasing a car for their own personal use from a business, i.e. a registered garage or dealership, shall fall under the definition of a consumer and therefore consumer protection law shall be applicable.
There is a wide range of legislation which has been developed to protect consumers in Ireland, however the primary pieces of law remain the Sale of Goods Act 1893 and the Sale of Goods and Supply of Services Act 1980.
Under Section 13 of the Sale of Goods Act 1893, all contracts have an implied condition that goods sold shall correspond with their description. This applies to any statement published in an advertisement, displayed on the business premises or contained within documentation furnished through the contract for the sale of goods.
Section 14 of the 1893 Act implies a condition into all contracts that goods must be of merchantable quality and fit for purpose. Merchantable quality refers to the condition of the goods and implies the absence of significant defects.
Where the buyer is a consumer, Section 13 and 14 of the 1893 Act can never be contracted out of. Therefore, regardless of whether these terms were expressed during the course of the transaction, there are implied conditions within the contract to purchase the vehicle from the garage that it shall be as described, free from significant defects and fit for purpose.
In circumstances where the mileage recorder has been put back so that it appears to have less miles on the clock, the vehicle cannot be deemed to have been sold as described and it may be argued that it is not of merchantable quality.
Businesses are prohibited from engaging in practices which are contrary to good faith or would be likely to impair the average consumer’s ability to make an informed choice, such as misrepresenting a consumer into entering an agreement.
Misrepresentation occurs where, prior to entering into the contract, an incorrect statement is made concerning the contract or the surrounding circumstances which induces the innocent party to enter the contract.
Allowing the consumer to believe that there is reduced mileage on the car would have altered their ability to make an informed decision, enticed them into purchasing the vehicle and amounts to misrepresentation.
The party who purchased the car in this instance would therefore be entitled to rescind/cancel the contract, return the vehicle to the garage and receive a refund of the purchase price within 30 days.
A party may have additional protections based on the method of payment used to purchase the vehicle.
If the vehicle was paid for by debit or credit card, you may be entitled to a chargeback. Under the Consumer Rights Act 2022, a chargeback is a way for your debit or credit card provider to reclaim money from the retailer’s bank when you do not get the goods or services you paid for. A chargeback request can be made up to 120 days after payment.
Where the vehicle was bought under a Personal Contract Plan (PCP) or hire purchase agreement, the purchaser has a contract with the finance company. The finance company should be notified of the fault in the vehicle as they remain the owner of the vehicle until the final payment is made. A claim can be made through the finance company in circumstances where the matter cannot be resolved with the garage.
It is worth noting that the rights outlined above are in relation to purchasing a vehicle from a registered garage or car dealership only. A purchaser’s rights are very different when buying from a private seller.
The principal of caveat emptor, buyer beware, is applicable in the case of a private sale between two individuals. The obligation is on the purchaser to assess the vehicle and obtain any further information they deem necessary, such as the opinion of a mechanic. Consumer protection will not be afforded to any party in a private sale.
If you are having difficulties as a result of being sold a vehicle with clocked mileage, you can speak to one of our experienced solicitors at McElhinney & Associates, Drumboe Lodge, Stranorlar, Co. Donegal on 074 91 75989 or admin@mcelhinneyassociates.com
*In contentious business a Solicitor may not calculate fees or other charges as a percentage or proportion of any award or settlement
**This information is for guidance purposes only. It does not constitute legal or professional advice. Professional or legal advice should be obtained before taking or refraining from any action as a result of the contents of this publication. No liability is accepted by McElhinney & Associates for any action taken in reliance on the information contained herein. Any and all information is subject to change.
About the Authors
Jolene McElhinney, BBLS, Principal Solicitor
Jolene McElhinney is the founding principal of McElhinney & Associates, renowned for her expertise in employment law and personal injury claims across the North West of Ireland. With a distinguished academic background and over a decade of experience, Jolene is dedicated to providing personalised, expert support to her clients, ensuring they navigate the complexities of the legal landscape with confidence and clarity.
