Tag Archives: CPA

Can I get refunded if I’m sold a defective car?

Ford South Africa has been forced to recall more than 4500 Kuga Ecoboost 1.6 litre models manufactured between December 2012 and February 2014. Ford South Africa’s chief executive Jeff Nemeth announced the recall after more than 50 cases of engine fires had been reported.

This incident has raised the question of whether or not a buyer of a car can get a full refund if it turns out the car has a serious defect. This falls into the domain of the Consumer Protection Act, No 68 of 2008. The CPA serves to protect the interests of all consumers, ensure accessible, transparent and efficient redress for consumers who are subjected to abuse or exploitation in the marketplace and also to give effect to internationally recognised consumer rights.

According to Section 7 of the CPA, a consumer has the:

  • Right to demand quality service,
  • Right to safe, good quality goods,
  • Right to implied warranty of quality.

Will I be able to get my money back?

In terms of section 56 of the act, any product should be fit for purpose for at least six months after purchase. The Ford Kuga hazard is caused by a manufacturing defect, which implies that the owner could return the vehicle within six months of purchase and ask for his/her money back (or a replacement vehicle). The other option is to ask for or accept an offer from Ford to repair the car.

For many reasons, dealers are not just going to just give consumers their money back. The vehicle should first be taken in for the repair and if that fails – or a secondary feature fails and another hazard develops – then the supplier must replace or refund the owner of the vehicle the price that was paid.

Reference:

  • The Consumer Protection Act, No 68 of 2008

This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice. Errors and omissions excepted (E&OE)

Fixtures and fittings

A1blMany transfer attorneys have heard the question from a seller: “May I remove the stove or the curtain rails or the shelves or the..?”

The most common dispute that arises between a seller and a purchaser is a dispute as to what is regarded as fixtures and  fittings. The simple answer is that this would be what the seller and purchaser agreed on in the offer to purchase, as the law leaves it to the seller and purchaser to make their own arrangements.

Usually the offer to purchase only states that the sale is “voetstoots and includes all improvements and all fixtures and fittings of a permanent nature”. It could also be that the offer to purchase does not refer to fixtures and fittings at all. If this is the case there are three factors that have to be  considered to determine whether a movable item is a fixture or a fitting.

1. The nature and the purpose of the item

The item should be of a permanent nature and intended to always serve the immovable property. In other words it must be attached to the land or the structure erected on the land. Examples of this are a carport, steel security gates welded to door frames, and an irrigation system. 

2. The manner and the degree of attachment

The question is whether the item loses its own identity and becomes an integral part of the immovable property or if the attachment is so secure that separation would involve substantial damage to either the immovable property or to the item itself. One must also take into account the method, time and costs involved in removing the item and whether the item could be used elsewhere. 

3. The intention of the owner

One should look at the intention of the owner at the time when the attachment was made.

It is therefore important to address this issue in the offer to purchase and draft a comprehensive list of what is included in the sale. This could save both parties a lot of time and frustration.

The following is a list of items that are usually considered to be permanent fixtures:

Built-in extractor fans; built-in kitchen cupboards; fitted bookshelves; fitted curtain rails; wall mirrors; stoves; existing garden, trees, shrubs, plants; pool filter, pool pump and pool cleaning equipment; fitted carpets; light fittings; towel racks; tap fittings; tennis court net; fireplace; awnings; post box;  alarm system; television aerial (but not satellite dishes) and door keys.

Some estate agents have amended their fixtures and fittings clause since the CPA came into operation, to read as follows: “The property is sold with all fixtures and fittings, including the following… which shall be in good working order on date of transfer.” The words “in good working order” are a very subjective assessment and opens the door to debate. The effect hereof is that the seller will be seen to have promised that all the fixtures and fittings will be in good working order, and to a large extent it will be eroding the protection of the voetstoots clause. Sellers should therefore take caution when signing the fixtures and fittings clause.

This article is a general information sheet and should not be used or relied on as legal or other professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your legal adviser for specific and detailed advice.