DRE Group Pty Ltd v PPT Investments t/as Kloster BMW
[2021] NSWCATCD 117
At a glance
Source factsCourt
NCAT Consumer and Commercial
Decision date
2021-09-29
Source
Original judgment source is linked above.
Judgment (25 paragraphs)
Application
- In June 2015 the applicant purchased a new BMW motor vehicle from the respondent for an amount of $149,000.00. The purchase was financed through BMW Finance. On 22 February 2021 the car broke down and was towed to the applicant's repairer where a failed turbo was identified as the cause of the breakdown. The applicant says that the respondent refused to carry out the repairs under warranty, and it engaged its usual mechanic to carry out the necessary work. The vehicle broke down again on 8 March 2021 and on 11 March 2021. It requires further extensive repairs including a replacement engine and has been unable to be used since that date. On 1 April 2021 the applicant rejected the vehicle on the basis that there has been a breach of the implied guarantee that the vehicle is of acceptable quality.
- In the application, the applicant sought orders for payment of $156,603.99, being a refund of the purchase price, together with costs incurred for repair of the turbo $6008.00, repair of the suspension $1200.00, and towing costs $396.00.
- I indicated at the hearing that, for the reasons set out fully below, the Tribunal does not have jurisdiction to make the orders sought. I indicated that the matter could be transferred to a Court having jurisdiction to determine the claim. The applicant opposed that course and stated that it wanted the matter to proceed to hearing, on the basis that it would submit to the jurisdictional limit of the Tribunal ($40,000).
- The respondent opposes the orders sought. The respondent says that it does not accept that the vehicle was not of acceptable quality when sold. The respondent says that the failure of the turbo was caused because the vehicle was not serviced in accordance with the manufacturer's service schedule. Furthermore, the respondent says that the applicant, who has the onus of proof, has not shown that the major repairs carried out in March 2021 were carried out correctly. This may have caused the further failures on 8 and 11 March 2021.