When traders provide warranties for vehicles, it is crucial to understand that these warranties are supplementary to and do not replace the statutory rights afforded to consumers under the Consumer Rights Act 2015 (CRA 2015). A trader’s liability is not limited to the terms and conditions of the warranty but extends to the consumer’s rights under the CRA 2015.
Section 30 of the CRA 2015 explicitly requires that any guarantee or warranty must state that the consumer’s statutory rights are not affected. This ensures that consumers retain their legal protections, such as the right to reject faulty goods, request repairs, or seek price reductions, regardless of the terms of the warranty.
The CRA 2015 provides that goods must meet certain standards, including being of satisfactory quality, fit for purpose, and as described. If a vehicle fails to meet these standards, consumers have specific remedies. Within the first 30 days, they can reject the vehicle and request a full refund if they provide evidence that the faults were present or developing at the point of sale. Between 30 days and six months, the trader bears the burden of proving that the fault did not exist at the time of sale. After six months, the consumer may still seek remedies, but they must provide evidence that the fault was present at the point of sale.
Importantly, warranties that attempt to limit or exclude these statutory rights are likely to be deemed unfair under the CRA 2015. Traders cannot rely on the terms and conditions of the warranties to restrict their liability towards the consumers.
Traders are advised to include clear and intelligible language in their warranty documents that explicitly states the consumer’s statutory rights remain unaffected.
Whilst warranties can provide additional benefits, they cannot override or diminish the statutory rights of consumers under the CRA 2015. If you find your warranty solution is not covering your expectations why not take a look at our running your own warranty scheme with our Driver Options software.
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