Legal Updates

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Employers Liability - Compulsory Insurance

Most employers are required by law to insure against liability for injury or industrial disease to their employees arising from their employment. Employers are responsible for the health and safety of their employees while they are at work. If employees are injured at work then they may claim compensation from you if you are considered to be responsible.
Published: 21 Sep 2017

Judge praises Car Dealers conduct – A lesson in good practice.

Last month one of our professional members attended a small claims hearing in the Reading County Court and was represented by counsel (a specialist barrister), arranged by Lawgistics. The consumer sought to reject the car supplied by our member under the provisions of the Consumer Rights Act 2015 on the basis that he had experienced some issues with the car post delivery/sale.
Published: 12 Jul 2017

What does the law say on employees' rights during a heatwave?

Rules around temperatures in the indoor workplace are covered by the Workplace (Health, Safety and Welfare) Regulations 1992. The regulations place a legal obligation on employers to provide a “reasonable” temperature in the workplace. However, while there is a minimum working temperature, there is no statutory upper limit.
Published: 12 Jul 2017

Santander ordered to pay costs due to its unreasonable conduct.

Last month one of our motor trader members attended Court to contest a Part 20 Claim brought against it by Santander under a finance agreement. Since the Claim was for something less than £10,000 it had been listed for a small claims hearing, designed for litigants in person, where the no cost rule applies.
Published: 20 Apr 2017

Exploding the myths of ADR

It has been brought to our attention that certain organisations, including some manufacturers, are suggesting that all businesses must offer ‘alternative dispute resolution’ (ADR) if they are unable to resolve a consumer’s complaint at first instance.
Published: 22 Mar 2017

Tweet in haste, repent at leisure!

Last week saw the food blogger Jack Monroe win £24,000 in damages, plus legal costs, in a libel action against controversial motor mouth columnist Katie Hopkins after a row over two tweets.
Published: 22 Mar 2017

Daimler set to recall 75,000 Mercedes-Benz cars in the UK due to the risk of fire.

Worldwide, the Company is recalling around one million cars after a number of fires were reported.
Published: 22 Mar 2017

Can I sell a car under a credit agreement if I do not have a consumer credit licence?

The Government has introduced legislation which extends the exemption for instalment credit. It is the responsibility of dealers to determine whether and how they may be affected by this exemption.
Published: 09 Feb 2017

Abuse of process – inappropriate use of the threat of insolvency.

A client company was recently served with a Statutory Demand threatening to wind it up in default of payment of the sum demanded.

Published: 09 Feb 2017

“It doesn’t matter how many times you say it, it doesn’t mean you are right”

So were the words of the Judge after he had heard enough from a consumer’s partner at a recent hearing of our clients claim for the cost of an unpaid invoice for works carried out to diagnose and repair issues with a BMW presented with an engine fault.
Published: 28 Oct 2016

Small Claims Mediation – a positive experience.

A simple business 2 business transaction led to acrimony and litigation, only for the claim to be settled at an early stage of the proceedings with the aid of a well informed and pragmatic Court appointed Mediator. So: was our client’s recent experience of the Small Claims Mediation Service.
Published: 15 Sep 2016

Consumer continued to drive vehicle to destruction regardless - claim dismissed

The Judge found that whilst the reported issue may have been present at the time of purchase, the Consumer had wrongly taken it upon himself to continue driving the vehicle to destruction, despite clear warning signs, third party advice and a specific request from the Dealer to return the vehicle for inspection, immediately once the problem had been reported.
Published: 16 Aug 2016

Consumer claim against Lawgistics dismissed

In a novel twist we have recently attended Court to face a claim brought against us by a consumer.
Published: 04 Aug 2016

Fleet trade seller misrepresented vehicle as never being a ‘total loss’.

Watford County Court recently found in favour of our client, a trade buyer, who had relied on a declaration made by the trade seller that the vehicle had never been a ‘total loss’, before making a successful bid on it at auction.

Published: 05 Jul 2016

Alternative Dispute Resolution...Why?

In recent years the Government has encouraged and legislated for ADR, with the principal intent of reducing the number of disputes brought before the Courts, thus saving money from the Ministry of Justice budget.
Published: 05 Jul 2016

Fault did not render the vehicle of unsatisfactory quality - Claim dismissed.

This case involved a vehicle supplied by the Trader on the 31 March 2015, which failed just seven (7) days later. The Consumer sought to reject the Vehicle on the basis that it was not of satisfactory quality.
Published: 28 May 2016

Problem with mechanical coupling? Then you really need to read Directive 94/20/EC!

This is a truly riveting, but rather technical 65 page tome from our friends in Brussels dealing with everything you need to know and more ‘relating to the mechanical coupling devices of motor vehicles and their trailers and their attachment to those vehicles’, aka towbars and the like. Last week we were asked to advise a client on minimum and maximum distances between towbar/drawbar couplings and vehicle bodywork. Since this is something we are not asked every day, we had the perfect excuse to indulge our academic interest and delve into the Directive.
Published: 27 Apr 2016

If the Court say jump, just do it!

Recently, we had a case before the Bournemouth & Poole County Court, where the Claimant, a consumer, sought to claim third party repair costs, which he had purportedly incurred in respect of a vehicle supplied by our client. The claim was hotly contested.
Published: 27 Apr 2016

‘Beware the Ides of March’ and yet another massive hike in Court fees!

Court fee increases for starting proceedings for the recovery of land (possession claims) and general applications came into force on Monday 21 March 2016. Not quite the 15th of the month, but no less a portent of doom, according to Shakespeare’s Julius Caesar. This will affect anyone making an application to set aside judgment, amend statements of case, or seeking permission to rely on expert evidence, or indeed any other general application using form N244.
Published: 31 Mar 2016

Teaching old dogs new tricks! Centralisation of Charging Orders and Attachment of Earnings

From the 6 April 2016 new rules will apply to Charging Orders and Attachment of Earnings applications in the County Court. The aim is to speed up the application process by reducing judicial input and simplifying the process. The processes will be centralised whereby all applications must be made through the County Court Money Claims Centre (CCMCC). Fees can be paid through a fee account and applications can be made online.
Published: 31 Mar 2016

Judge rips into consumer, again!

Last week we had a case before the Court, which had previously been adjourned part heard. On the first showing the Judge gave the consumer a dressing down for bringing the case to Court, since the vehicle should have been returned to the dealer straight away.
Published: 31 Mar 2016

Fake Car Airbags Update – Man Arrested

A 34 year old man from Dorset has been arrested by Police on suspicion of counterfeiting and money laundering offences relating to the sale of fake airbags. City of London Police believe 680 people made purchases from UK based eBay accounts using the names ‘EU_Trading’, ‘OMNADRENIAK1984’ and ‘barbo2007’, which are suspected of selling fake car parts.
Published: 03 Mar 2016

Consumer Protection from Unfair Trading Regulations, remembered!

Rightly, there has been much talk of the Consumer Rights Act 2015 during recent months, but dealers should remember that they must also comply with the requirements of the Consumer Protection from Unfair Trading Regulations (2008), which prohibit engaging in unfair business practices across five main categories:
Published: 02 Mar 2016

Dealers, BEWARE of the small print!

A well-known finance house who shall remain nameless for now (you know who you are), has dreamt up a novel wheeze to ensure that all the nasty bits of Section 75 of the Consumer Credit Act (CCA) and more besides will be neatly and unceremoniously dumped on any poor unsuspecting dealer whenever the finance house (and they will) decides to capitulate to even the most spurious of consumer gripes.
Published: 02 Feb 2016

Dealer ‘run-about’ stopped for no tax!

A client reported this week that one of his ex-stock vehicles, which had been used as a ‘run-about’ in his business for several years, was recently stopped by the Police using Automatic Number Plate Recognition (ANPR) technology for having no tax (RFL).
Published: 02 Feb 2016

Classic case of how not to prepare a claim!


This week one of our clients appeared in the Gloucester County Court to face a claim for the cost of rectifying substandard work in relation to the conversion of a van to a “High-Top Roof”. Suffice to say the claim was hotly contested.
Published: 05 Jan 2016

Summary Judgment and Small Claims do not mix!

This week we have received an application for summary judgment from a Claimant despite the fact that the case was suitable for allocation to the Small Claims Track.
Published: 09 Dec 2015

Emissions crisis - falling sales hit VW hard

Evidence that customers are turning away from VW in their droves has emerged this week in the new car registration figures published by the Society of Motor Manufacturers & Traders (SMMT).
Published: 10 Nov 2015

Supreme Court sets an important precedent in consumer contracts law

A motorist has lost his Supreme Court challenge against ‘unfair’ fines imposed by a car park, in a case which sets an important precedent in consumer contracts law.
Published: 10 Nov 2015

VW emissions scandal fallout affecting goodwill work

The VW Group, which includes Audi, SEAT, Skoda and of course VW, amongst others, faces one of the biggest crises to hit the automotive industry in living memory.
Published: 16 Oct 2015

New Rules for selling GAP insurance

From the 1 September 2015 GAP insurance products can no longer be sold at point of sale and a list of prescribed information will need to be made available to customers at least two clear days before any sale of such product can be concluded.
Published: 29 Sep 2015

Turbans in the Workplace

As from the 1 October 2015 the right for Sikhs to wear turbans, instead of safety helmets (currently only allowed on building sites) will be expanded to all workplaces, subject to various exceptions in accordance with sections 6 and 7 (Northern Ireland) of the Deregulation Act 2015.
Published: 29 Sep 2015

Court reduces consumer claim of £10,000 to just £230...

Our client, a car dealer, recently faced a claim for damages for amongst other things, car hire charges, the cost of a replacement gearbox, loss of earnings, the cost of a replacement warranty, interest and costs amounting to almost £10,000. However after hearing the case the Court reduced the consumer claim of £10,000 to just £230!
Published: 13 Aug 2015

Can civil proceedings be served upon a defendant’s last known address?

Civil proceedings can be served upon a claimants last known address.


Published: 07 Jul 2015

Why has the County Court asked me to pay two fees

Why has the County Court asked me to pay two fees for an application to set aside judgment and a stay of enforcement?
Published: 07 Jul 2015

Vauxhall Cannibalisation

In and around Bedfordshire, owners have been waking to find their Vauxhalls dismantled overnight! Bedfordshire Police say there have been more 500 offences in which components have been stolen from Vauxhall Astras and Corsas since August 2013.
Published: 07 Jul 2015

What is ‘Astroturfing’ and how might it affect me?

Research has found that some businesses are ambushing rivals with fake reviews and customers are using the threat of online criticism to win discounts. Known as ‘astroturfing’, this is the practice of creating fake grass root reviews on unnamed sites.
Published: 23 Jun 2015

Test Drives and the abolishment of the paper counterpart

How do I satisfy myself and my trade insurers as to the extent of a customer’s motoring convictions before agreeing to supply a vehicle for a test drive?


Published: 23 Jun 2015

Airbag woes!

It has been announced that Honda and Daihatsu are recalling some five million cars globally to replace potentially deadly airbag inflators made by Takata.
Published: 27 May 2015

How do I make a claim for pothole damage?

Many years of under investment by the Government has left roads in the UK in an appalling state of repair leading to a steep rise in damage to vehicles as a result. Drivers now face an annual bill for pothole repairs of £52 million!
Published: 12 May 2015

Motorist gains 40 penalty points without ever having a full or provisional driving

A motorist from Lewisham, London, has racked up 40 points for 12 driving offences despite never holding a full or provisional driving licence.
Published: 14 Apr 2015

Fake Policeman feels the long arm of the law

Last week a man from Lincoln, admitted impersonating an officer and stopping motorists by using a blue flashing light on the dashboard of his Saab 93.
Published: 14 Apr 2015

A campaign to combat the demonisation of diesel has been launched by the UK's leading motor industry association.

A campaign to combat the "demonisation" of diesel has been launched by the UK's leading motor industry association.
The Society of Motor Manufacturers and Traders (SMMT), along with BMW, Ford, and Jaguar Land Rover, believe fears over diesel are misplaced.
Published: 17 Mar 2015

Unreasonable conduct comes at a cost!

When the court comes to consider costs in a case, it has regard to all the circumstances, including the conduct of the parties before as well as during the proceedings
Published: 04 Mar 2015

Enter a plea online is being launched by the government

A service allowing motorists in England and Wales charged with summary motoring offences to enter a plea online is being launched by the government. From Monday, those charged with a minor motoring offence such as speeding or not having insurance can enter a plea 24 hours a day via a secure website.
Published: 04 Mar 2015

Using CCTV

If your business uses CCTV you must tell people they may be recorded.

Published: 17 Feb 2015

One Flew Over the Cuckoo's Nest

A tale of trivial pursuits.  The Court of Appeal case of Egan v. Motor Services (Bath) Ltd (2007) highlights the importance of seeking sensible early legal advice in order to save unnecessary expense.

Published: 04 Feb 2015

High value motor dealers - beware!

If your business accepts cash payments of €15,000 or more (or the equivalent in any currency) in exchange for any goods then you will be classed as a ‘High Value Dealer’ and you will need to register with HM Revenue and Customs (HMRC) for supervision under the Money Laundering Regulations 2007.
Published: 04 Feb 2015

Inspection, inspection, inspection!

If a consumer reports faults with a car within six months of sale then the onus is upon the dealer to prove that the faults were not present at the point of sale, otherwise the dealer will be deemed responsible for them.
Published: 19 Jan 2015

Misdescription - The devil is in the detail!

Motor traders using online sales adverts must take care to ensure the descriptions, which are often generated automatically from the make/model/registration number of the vehicle for sale, are accurate.
Published: 08 Dec 2014

Motor trader beware!

We have seen two cases this last week, involving the same lender, where a motor trader purchased a vehicle after a clear HPI search to discover many months later that the lender has now registered its interest under a hire purchase agreement late
Published: 21 Nov 2014

Company Secretaries – check your headed paper!

This week we received an enquiry from a company that used a trading style but had omitted reference to the Company from its headed note paper, which were likely to be made available to third parties.
Published: 21 Nov 2014

Should I stay or should I go?

This week we advised on a case involving a client running a workshop from rented premises who had received notice to quit from his landlord giving him just two weeks to vacate. Understandably alarmed the client posed a question that left ‘The Clash’ ringing in our ears?

Published: 07 Nov 2014

1066 - A good year for motor traders!

Most people know this to be the year of the Battle of Hastings and the Norman Conquest;

Published: 23 Oct 2014

T & C’s or not to be, that is the question…

Placing terms and conditions (“T & C’s”) on the reverse of sales invoices is rather like closing the stable gate after the horse has bolted! Under contract law an invoice is generally a post contract document.

Published: 23 Oct 2014

Bright ideas! Substance over style – the law on after-market light bulbs

A common question from customers looking for bulbs with styling benefits is ‘…are blue car bulbs legal?’

Published: 13 Oct 2014

Road Fund Licence Changes – FAQ’s

As most of you will know 1st October 2014 is ‘D- Day’ for the Road Fund Licence changes.
Published: 30 Sep 2014

Former rental car was sold by a dealer to a buyer who thought the vehicle had one previous owner

This week we have seen a case where a former rental car was sold by a dealer to a buyer who thought the vehicle had one previous owner - little did he know!

Published: 30 Sep 2014

Section 75 Refunds – a reminder!

Any dealer who accepts payment by credit card should be aware of Section 75 of the Consumer Credit Act 1974.

Published: 16 Sep 2014

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