Motor Codes appointed ADR provider for UK automotive industry
Consumer power in the UK will get stronger from today as new legislation is put in place to improve consumer confidence. The new law will ensure that complaints are dealt with more effectively and that the number of consumer disputes resulting in expensive law court proceedings are dramatically reduced.
Alternative Dispute Resolution (ADR) legislation seeks to strengthen consumer rights by requiring all UK businesses to direct dissatisfied customers to a recognised Alternative Dispute Resolution provider which will mediate problems and recommend fair conclusions. Businesses are being urged to comply with the legislation and have until 1 October 2015 to be compliant.
The government has appointed the newly named Chartered Trading Standards Institute (CTSI) to oversee the implementation of the legislation and to appoint recognised ADR providers across UK industries.
In the UK motor industry, Motor Codes, the consumer arm of the Society of Motor Manufacturers and Traders (SMMT), is amongst the first automotive industry organisation to operate in this area of consumer law. Motor Codes has a proven track record of managing disputes in the industry since 2004. More than 99% of car manufacturers are signed up to its existing codes of conduct and the organisation currently serves consumers through a network of 7,500 garages across the UK.
Car purchases and service and repair costs are among UK consumers’ highest household bills, and while customer satisfaction in the industry is high, this legislation offers an opportunity to enhance customer satisfaction further and resolve disputes more quickly.
Mark Terry, Interim Managing Director of Motor Codes, said ‘’This legislation seeks to reduce the time it takes businesses to resolve customer complaints, to ensure less time is spent in the courts resolving disputes and to improve consumer confidence in the companies that serve them. This is a real opportunity for businesses to enhance customer satisfaction and trust in an already highly performing industry’.”
Industry commentators are calling ADR the ‘quiet legislation’ because until recently, little was known of the legal act which potentially has far reaching implications for the UK automotive industry.
The legislation tops a busy year in consumer legislation, which has seen the UK’s Consumer Rights Bill consolidate eight existing pieces of legislation, including the Sale of Goods Act 1979 and the Unfair Terms in Consumer Contracts Regulations 1999. The law was given assent in March 2015 but will be implemented on 1 October 2015.
Mark Terry said, “These recent milestones in consumer law will mark a new chapter in consumer satisfaction and ensure a more transparent market place. The new legislation will raise the benchmark in business practices, empowering the industry to generate trust so that consumers can make confident purchases.
He added, ‘’In partnership with CTSI we’re helping consumers to be more aware of their new rights and to ensure they get the standard of service they are entitled to. At the same time, we are helping businesses to embrace the new legislation so that they are compliant with the law and fixed on a journey to a more satisfied customer base ‘’.
For more information, contact Motor Codes direct on 020 7344 1651 or visit adr.motorcodes.co.uk
