The consumer’s issue:
“I bought a used car in March 2018, and the paperwork showed the mileage as being 3,927. However, after I took delivery of the vehicle, I realised that it had 9,434 miles on the clock. I consider that the mileage has been misrepresented, and when I complained, I was offered £150 and was told that it was a mistake. The low mileage was a selling point for me, but I don’t believe that it was an error. I don’t know exactly how the vehicle has been affected, but I would like a refund of at least £1,000.”
The accredited business’ response:
- The consumer test drove the car which clearly showed the mileage, and it was only after delivery that they complained.
- We offered the customer £150 as a gesture of goodwill, which we felt, was fair.
The adjudication outcome:
- The Motor Ombudsman adjudicator upheld the customer’s complaint.
- She felt that the consumer was entitled to rely on the paperwork provided and the consumer had provided photographic evidence of the dashboard showing that the mileage wasn’t displayed at all times.
- The adjudicator said that 45p a mile was reasonable to apply here, and awarded £2,478.15 on the basis that the car had covered 5,507 additional miles.
- The accredited business thought this was unfair and disproportionate, so asked for the complaint to be referred to the ombudsman for a final decision.
The ombudsman’s final decision:
- On review, the ombudsman agreed with the adjudicator on the facts, but felt that the outcome awarded was unreasonable in the circumstances.
- The paperwork clearly showed the incorrect mileage, and the consumer was entitled to rely on this.
- Test drives are not about verifying details on the paperwork, but about getting a feel for the car, and checking that its specification and characteristics meet a buyer’s requirements.
- However, in terms of a remedy, the ombudsman looked at relevant consumer legislation which said that in cases where there has been a misrepresentation, the best award to make is the difference between what the consumer paid for the car and what they should have paid for it.
- Having looked at some valuations of the vehicle, on average, the vehicle would have cost £1,000 less if the true mileage had been known at the point of sale
- Consequently, the ombudsman awarded the consumer £1,000.
Conclusion:
- The accredited business was found to be in breach of the Motor Industry Code of Practice for Vehicle Sales, and the consumer received £1,000 to compensate them for the difference in mileage, thereby bringing the case to a close.