Used Car Warranties

Final Right to Reject or Price Reduction – Second Tier remedies

From day 31 i.e. on expiry of the Short Term Right to Reject period, the customer no longer has the right to reject the vehicle without giving you an opportunity to make a repair or provide a replacement.

However, if you have already made a statutory repair (as opposed to a contractual repair) then the customer does have the choice of rejecting the vehicle for a refund under the Final Right to Reject. In this instance, you can reduce the amount of the refund to take account of the use the consumer has had of the vehicle. There is no set formula for this deduction and so the figure will need to be calculated depending on many factors such as time of ownership, mileage covered, condition of the vehicle on return etc.

Ultimately if there is a disagreement between you and the consumer as to the amount of the deduction, it will up to the courts to decide. 

Author: Nona Bowkis

Published: 22 Sep 2015


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