Decisions from the Motor Vehicle Disputes Tribunal – July 2025

Rust and unsafe repairs

Buyer v Autopride Cars Limited – [2025] NZMVDT 248 (23 July 2025)

Vehicle: 2001 Honda Accord

Summary of the issue

The buyer bought a 2001 Honda Accord with more than 250,000km on the clock. Over a year later, the car failed its WOF because of serious rust and unsafe structural repairs.

The Tribunal found the rust had been hidden with filler. Repairs done before the sale were poor and could have been dangerous.

Tribunal decision

The Tribunal agreed the buyer could reject the car. It ordered a full refund and $80 for extra costs.

Traders must make sure vehicles are safe when sold. Hiding damage or doing unsafe repairs can go against the CGA, even if the trader did not know about the problem.

Engine failure after 4 months

Buyer v VANZ Motors Ltd (In Receivership) – [2025] NZMVDT 262 (29 July 2025)

Vehicle: 2008 Subaru WRX STI

Purchase price: $22,980

Summary of the issue

The buyer bought a 2008 Subaru WRX STI for $22,980. 4 months later, the engine failed and needed replacing.

The trader said the fault was caused by the buyer’s driving and that mechanical breakdown insurance (MBI) should cover the repair.

Tribunal decision

The Tribunal found the fault was not caused by misuse. The failure meant the car did not meet the CGA.

The buyer received $5,165.45 for loss in value, diagnostic costs, and towing. Traders are still responsible under the CGA even if mechanical breakdown insurance is in place.