The Motor Ombudsman has recently issued an updated version of the Motor Industry Code of Practice for Vehicle Sales.
Notably, the revised Code imposes obligations on participating businesses to provide “clear information” and guidance regarding optional vehicle features that are classified as either Self-Driving Features (which allow the vehicle to take partial control) or Driver Assistance Systems (tools designed to aid the driver, such as automatic braking).
Under the new provisions, accredited dealerships must:
- Clearly describe all driver assistance and self-driving features in a manner that is not misleading or open to misinterpretation.
- Provide plain language guidance on how to use these features, ensuring that customers understand the difference between a Driver Assistance System and a Self-Driving Feature, as well as the associated responsibilities of the driver.
- Explain specifically how any Self-Driving Features operate, detailing the circumstances in which they can function and outlining any limitations.
The updated Code appears to impose a duty on dealers participating in the Motor Ombudsman scheme to actively explain these features rather than merely refer customers to the vehicle’s documentation or owner manual. A simple reference to the car’s manual does not satisfy this requirement, as the obligation appears to require providing an in-person explanation of how the feature works.
The cited provisions may raise some concerns. Many of these automated features—designed primarily to enhance comfort rather than to replace the driver’s judgment—vary considerably by manufacturer and model. For example, while a sat nav qualifies as a Driver Assistance Feature, it is debatable whether dealers should be expected to provide detailed operational guidance on its use and limitations, particularly when manufacturers already supply instructions and disclaimers. If a dealer fails to document that the customer accepts that sat nav instructions may be fallible, could the dealer be held liable if the sat nav mistakenly directs the customer into the sea?
Our experience reinforces this concern. In one instance, we defended a case where a consumer complained that a Nissan’s brake auto-hold system occasionally failed to engage on a steep hill. When it was demonstrated that the car manual explicitly described this limitation, the claim was withdrawn. This case illustrates that such features are typically well-documented by manufacturers, and imposing additional explanatory duties on dealers risks unnecessarily widening their liability.
Ultimately, the updated Code risks converting dealers into de facto driving instructors—a role that goes far beyond their traditional responsibilities. While additional guidance may be appropriate in certain circumstances, such as making reasonable adjustments for customers with disabilities, requiring routine detailed explanations of features that are optional and well-covered by manufacturer documentation may appear excessive. This could significantly increase compliance costs, administrative burdens, and overall risk exposure for second-hand car dealerships.
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