LEGAL BACK-UP
I WAS SURPRISED Cam Kirby’s Warranty Wars story (Wheels, May) did not mention the influence Australian Consumer Law (ACL) may have on extending motor vehicle warranties. As we [should] know, the ACL provides consumer guarantees for products purchased on or after January 1, 2011 and (1) cost up to $40,000 e.g. a small family car; or (2) cost more than $40,000 and was acquired for personal purposes, e.g. a Mercedes or BMW. The ACL provides consumer guarantees that protect consumers against unacceptable quality [major and minor failures] that apply regardless of whether a vehicle is covered by a manufacturer’s warranty, an extended warranty, or if those warranties have expired. So, to use Cam’s example, if a new car is “blowing transmissions at 130,000km”, four years after purchase and outside of the manufacturer’s three year warranty, so long as the vehicle wasn’t used abnormally it would be considered a major failure, and its replacement covered under ACL. So, even if BMW and Audi don’t follow Mercedes’ lead (or was it Kia’s?) they still need contingency plans for extra parts they may require.
Stuart Boyd, Concord, NSW,
ACL is a powerful thing, Stuart, but claiming it can be exhausting – Ed