The Motor Industry Code Of Practice For Vehicle Sales

Transcription

The Motor IndustryCode of Practice forVehicle Sales.TheMotorOmbudsman.org

ContentsIntroduction3Your Vehicle PurchaseDefinitions5Advertising6What this commitment means to youWe would advise you toFor your informationWhat this commitment means to youWe would advise you toFor your informationPresentation of Used Vehicles for SaleAftersales Support7What this commitment means to youWe would advise you toFor your informationPresentation of New Vehicles for Sale8What this commitment means to youWe would advise you toFor your informationThe Sales Process9-10Provision of Warranty Products11-12What this commitment means to youWe would advise you toFor your informationProvision of Finance Products13What this commitment means to youWe would advise you toFor your information15What this commitment means to youWe would advise you toFor your informationComplaints HandlingWhat this commitment means to youWe would advise you toFor your informationAppendix, guidance and adviceWhat this commitment means to youWe would advise you toFor your information141617-19Guidance on Handling ComplaintsHow to contact The Motor OmbudsmanComplaints Escalation ProcedureDisciplinary ActionOther Codes of PracticeThe Chartered Trading Standards InstituteConsumer Codes Approval Scheme (CCAS)ADR CertifiedDataUsed Car pre-sales checklist20-23Further InformationEnquiries or ComplaintsRelevant Web LinksLegislation Web LinksLegislation referred to within theVehicle Sales CodeTheMotorOmbudsman.org24

Introduction3The Motor Ombudsmanprovides a free and impartial serviceto assist consumers and businessesto resolve automotive-relateddisputes and raise standards ofservice across the sector throughits comprehensive Motor IndustryCodes of Practice.Another box ticked.The Codes, which are approved by the CharteredTrading Standards Institute, enable The MotorOmbudsman to investigate and adjudicate on: The sale of new cars by manufacturers(via the New Car Code) The sale of new and used cars by garages anddealers (via the Vehicle Sales Code) Service and repair issues(via the Service and Repair Code) The sale of vehicle warranty products(via the Vehicle Warranty Products Code).The Motor Ombudsman is a neutral arbiter andimpartial. It will gather information from bothparties and reach an outcome which it feels is fairand reasonable, taking into account the Codes andany relevant legislation.This document sets out The Motor Industry Codeof Practice for Vehicle Sales (the “Vehicle SalesCode”), which confirms commitments madeby garages, dealers and businesses which areaccredited to The Motor Ombudsman and theVehicle Sales Code regarding their obligations inthe provision of the sale of both new and usedvehicles and the customer purchase experience,as well as setting out standards that they mustcomply with relating to:TheMotorOmbudsman.org

Introduction (cont.)AdvertisingProvision of Warranty ProductsPresentation ofUsed Vehicles for SaleProvision of Finance ProductsCommitment: ‘All advertising will honestlyand accurately promote any vehicles for sale’Commitment: ‘All used vehicles for sale will besupported by information relevant to the specificvehicle and its history’Presentation ofNew Vehicles for SaleCommitment: ‘All new vehicle sales will be supportedby information relevant to the specific vehicle in aclear and transparent manner to allow you to makean informed purchase’The Sales ProcessCommitment: ‘Only warranty products appropriateto your needs will be offered during the sales process’Commitment: ‘Only finance products appropriate toyour needs will be offered during the sales process’Your Vehicle PurchaseCommitment: ‘Once you have purchased yourvehicle, it is the accredited business’s responsibilityto ensure that it is supplied to a high-quality standardwhich will meet with your expectations’Aftersales SupportCommitment: ‘The accredited business will continueto provide you with support and assistance followingthe purchase of your vehicle’Commitment: ‘The sales staff will assist and adviseyou throughout the sales process, ensuring it is apositive experience’Complaints HandlingAccredited businesses are obliged to accept theVehicle Sales Code in its entirety and ensure thattheir staff are aware of their responsibilities underthe Vehicle Sales Code as well as their statutorylegal and trading responsibilities.Accredited businesses must inform consumersof the Vehicle Sales Code and direct them to theircomplaints process and make them aware ofThe Motor Ombudsman.If a consumer feels dissatisfied with an accreditedbusiness’s performance under any item coveredby the Vehicle Sales Code and are unable to reacha resolution, they are able to contactThe Motor Ombudsman. The Motor Ombudsman’sexperienced team will provide the best informationavailable and escalate matters to disputeresolution where appropriate. Refer tothe “Guidance on Handling Complaints” sectionin the Appendix.The principles set out in the Vehicle Sales Codeare not intended to interpret, qualify orsupplement the law, and are intended to beapplied to business to consumer contracts only.Auction sales are not covered within the scopeof the Vehicle Sales Code.The Vehicle Sales Code covers vehicle salestransacted over any medium and includes‘face-to-face’ sales (i.e. those made at the premisesof the accredited business or at the premisesof another third party) and distance sales (e.g.sales made over the internet or via telephone).The Vehicle Sales Code covers vehicle sales andtransactions which take place in the UnitedKingdom only.A consumer information leaflet to accompanythe Vehicle Sales Code, the Consumer Guideto the Motor Industry Code of Practice for VehicleSales (“the “Consumer Guide”), is available fromaccredited businesses or to download fromwww.TheMotorOmbudsman.orgThe Vehicle Sales Code has been developed byThe Motor Ombudsman in conjunction withthe motor industry to provide a self-regulatoryregime through which accredited businessescan demonstrate their intention to operateresponsibly. Accredited businesses will alsohave in place a cost-effective and speedy disputeresolution service that consumers can readilyaccess in the event of a disagreement.Commitment: ‘The accredited business will handlecomplaints swiftly, following the guidance detailed inthe Complaints Handling section of this document’TheMotorOmbudsman.org

Definitions5Throughout the Vehicle Sales Code:Accredited businessThe term accredited business describes a vehicleretailer who sells either new, used or new and usedvehicles and has been accredited to the Vehicle SalesCode by The Motor Ombudsman and any referencesto ‘they’, ‘them’ or ‘their’ shall be deemed to bereferences to accredited business(es) unless thecontext otherwise requires.VehicleThe term vehicle is taken to include light andmedium commercial vehicles and derivatives(up to a maximum gross vehicle weight of 6 tonnes)in addition to passenger cars, provided that thevehicle is intended for the consumer’s personaluse only and not in connection with any business.New vehicleThe term new vehicle describes a vehicle (as definedabove) that has had no prior owners.Pre-registered vehicleThe term pre-registered vehicle describes a newvehicle (as defined above) that has been registeredby the accredited business.ConsumerThe term consumer refers to the owner and/or enduser of any vehicle (as defined above), includes anyvulnerable consumer, and any reference to ‘you’or ‘your’ in the Vehicle Sales Code shall be deemedto be addressed to the consumer.Used vehicleThe term used vehicle describes a vehicle(as defined above) that has had prior owners.Vulnerable consumerThe term vulnerable consumer describes anyconsumer whose circumstances put them at riskof making an incorrect or inappropriate decision,or of receiving inferior goods or services.Warranty/guaranteeThe term warranty/guarantee means anymanufacturer’s warranty, extension or warrantyproduct whether provided free of charge or at a cost.What their commitmentmeans to youThe term “what their commitment means to you”refers to commitments made to the consumer bythe accredited business in accordance with theVehicle Sales Code.Vehicle provenance checkThe term vehicle provenance check refers to a checkservice provided by a number of commercial bodies.They will use data from many sources to providereassurance that a used vehicle offered for sale isnot on a stolen vehicle register, has not been writtenoff, and is free of any finance company interest.They will also be able to verify the number of formerkeepers and may also be able to confirm whether thevehicle’s mileage is correct and whether any safetyrecall work is outstanding on the vehicle.TheMotorOmbudsman.org

AdvertisingWhat this commitment means to you1.1 Any advertisements, promotions or anyother publications or communications,whether in writing or otherwise, will notcontain any content which is likely tomislead you or be misunderstood.1.2 Any advertisements, promotions and otherpublications or communications will complywith the requirements of applicable legislationalong with the codes, regulations and rulingsof relevant organisations or associations.1.3 Any advertisements will objectivelypromote vehicle models based uponrelevant and verifiable features, includingthe purchase price.1.4 The price quoted for a vehicle should bethe ‘on the road’ price for which you can buythe vehicle.1.5 T he words ‘guarantee’ or ‘warranty’ withinany accredited business advertisementswill not be used unless the full terms ofthat warranty are set out clearly within theadvertisement or are available at the point ofsale. Warranties/guarantees where purchasedor provided are in addition to a consumer’sstatutory rights.1.6 In the unlikely event that any accreditedbusiness is found breaching any legislation,codes, regulations or rulings relating toadvertising, or is convicted of an offencerelating to advertisements for a new or usedvehicle, that accredited business will bedeemed to be in breach of the VehicleSales Code.1.7 Accredited businesses will not use statementsthat appear to diminish their legal obligationssuch as “sold as seen”, “no refund”, “sold asscrap” even if they do use a disclaimer aboutnot affecting your statutory rights.We would advise you to.For your information Read accredited business’ advertisementscarefully and in full. If an advertisement isnot clear to you, clarify it before you commityourself to any transaction. Check that the specification and appearanceof the vehicle you are considering matches yourrequirements, since many features are oftenoptional extras. Check with the accredited business that youhave the latest sales information on thespecific vehicle you are considering. Ensure that the vehicle you are consideringsuits your requirements and check any oral orwritten statements that conflict or appear toconflict with your requirements. Inform your accredited business retailer of anyspecial needs relating to the vehicle you areconsidering, or your requirements, since theycannot advise as to the suitability of a vehiclefor any particular purpose if you do not explainthat purpose.Where applicable to the accredited businessand/or the transaction, the accredited businesswill observe the requirements of all applicablelegislation and regulatory requirements, includingwithout limitation:Consumer Rights Act 2015 Consumer Protection from Unfair TradingRegulations 2008The UK Code of Non-Broadcast Advertising, SalesPromotion and Direct MarketingThe UK Code of Broadcast AdvertisingOfcom Broadcasting Code (TV/Advertising)The Consumer Contracts (Information, Cancellationand Additional Charges) Regulations 2013Misrepresentation Act 1967Consumer Credit Act 1974 (as amended by theConsumer Credit Act 2006)Electronic Commerce (EC Directive) Regulations 2002Road Traffic Act 1988General Product Safety Regulations 2005 and the‘Vehicle Safety Defects and Recalls: Code of Practice’published by the DVSATheMotorOmbudsman.org

Presentation of Used Vehicles for Sale7What this commitment means to you2.1 Where available to view, vehicles will bedisplayed in normal conditions with clear andaccurate descriptions.2.2 All vehicle prices will reflect the currentadvertised price of that specific vehicle.2.3 All vehicles will be finance-free, clear ofcategory A, B, S and N write off, supported bya vehicle provenance check and have a V5Cregistration certificate (log book).2.4 Test drives will be made available to you unlessexpressly excluded within all advertising.2.5 Vehicle inspections by third-party expertsacting on your behalf will be welcome byprior arrangement.2.6 Any claims made about a vehicle’s mileage willnot be made unless they can be verified.2.7 Where vehicles are advertised online, sufficientimages and relevant information will beprovided to allow you to make an informeddecision prior to purchase.2.8 Where a used vehicle is advertised online, theaccredited business will use images of theactual vehicle being presented for sale.2.9 All used vehicles will be subject to a presales inspection in accordance with anapproved checklist. The checklist must becompleted before the vehicle is offered forsale and displayed in a prominent place.A copy of the completed checklist will beprovided to you. Details of the minimumstandards the checklist must comply withare shown in the Appendix.2.10 If faults are identified during the pre-salesinspection they will be recorded and rectifiedprior to the sale of the vehicle to ensure it is ina safe and roadworthy condition.2.11 The accredited business will not withholdinformation about a vehicle’s history orusage that may affect your decision topurchase the vehicle.2.12 Where a vehicle sale is concluded at adistance, the accredited business will makeclear your right to cancel within 14 days.2.13 Accredited businesses will provide consumerswith any other information that could affectthe consumer’s transactional decision.We would advise you to.For your

(via the New Car Code) The sale of new and used cars by garages and dealers (via the Vehicle Sales Code) Service and repair issues (via the Service and Repair Code) The sale of vehicle warranty products (via the Vehicle Warranty Products Code). The Motor Ombudsman is a neutral arbiter and impartial. It will gather information from both