[2025] VCAT 1071
General information, not legal advice.
Victorian Civil and Administrative Tribunal
2025-12-01
Original judgment source is linked above.
(a) the list of items identified in October 2022 - when he brought the caravan in for a third repair (listed in footnote 2 of the Reasons); and
(b) the list with items identified after January 2024 (listed at footnote 8 of the Reasons).
[I am] not going to have it repaired again. i think 6 times (in total so far), is enough... I am concerned about how many more times it will need repair, how much longer we [ Mr Van Haren and his wife] will be unable to use it, and how many trips we'll have to defer/abort/cancel, how many more times we'll have to fully unpack/empty our belongings, clean the caravan after repairs, then repack. cancel bookings, lose deposits. try to obtain repairs away from home, while it is raining... you have already needed to replace some of the timber framing and internal panelling, and the caravan is not quite 2 years old.
(a) Caravans develop problems and leaks are common
(b) Some of the alleged leaks were not actual leaks
(c) Leaks were caused by the applicant conducting extreme testing
3. The applicant caused or contributed to issues
(a) Driving on poor roads or in a manner that would have damaged the caravan
(c) The applicant damaged the grab handle, window or protector shade
(f) The applicant may have caused damage to his last caravan
(g) The applicant caused damage through DIY 'repairs' during the first cancelled trip
(h) The applicant failed to protect the caravan from the elements
(k) The applicant failed to repair the caravan locally while travelling
Olympic Caravan ... warrants for a period of two (2) years from date of purchase that should any defects in workmanship or material develop in any part of the caravan, such defects shall be rectified, at no cost to the purchaser, upon return of the caravan to Olympic Caravans or its sales representative (place of purchase) or a workshop nominated/approved by the company.
Fuel expenses for cancelled trips, camping fees and cancellation fees
Cost of installing towel rails and ring, and antenna
Fuel costs spent on first cancelled trip[51]
Fuel costs spent on second cancelled trip[52]
Camping fees for Moss Vale because the caravan was leaking during the applicant's stay[53]
Cancellation fees (two trips) Tathra Beach[54]
The scope of the indemnity under s 274(3) is for such legal or equitable relief as the supplier could have obtained if that liability had arisen under a contract of indemnity made between them. The section does not contain an indemnity for the profit margin of the supplier, which would require an express term if it was to arise under a contract of indemnity, because only pay to the applicant the amount inclusive of Gateway Caravans' profit.
(a) this process may take several months;
(b) this email was written in response to the Tribunal asking a simple and unrelated question - where the applicant should take the caravan after he receives compensation. Olympic Caravans should have made a claim against Gateway Caravans before the conclusion of the hearing;
(c) the Tribunal is ignorant of Gateway Caravans' profit margin. No evidence has been provided in relation to this question;
(d) the exact meaning of section 274(3) and consequently of Mr Caillard's submission (above at paragraph 159) remains elusive. Presumably the reason subsection 274(3) exists is to cover situations where the supplier and manufacturer do not have a contract of indemnity. It seems to me nonsensical that under the legislation the relief the supplier is entitled to is the same as what they would have been entitled to pursuant to a non-existent contract. I am not aware of standard indemnity contracts between manufacturers and suppliers of caravans. Olympic Caravans and Gateway Caravans, had they opted to have an indemnity contract, may have chosen to include an express term that the indemnity would cover the supplier's profit;
(e) the proposal is overly complex and unclear. I am unsure what the meaning of 'questions of mitigation' is, nor who and how will be resolving these questions in the absence of a counterclaim by Olympic Caravans against Gateway Caravans;
(f) my decision does not preclude Olympic Caravans from brining a claim against Gateway Caravans before it is wound up, or against its directors in the future;
(g) Gateway Caravans should not be burdened with the obligation to sell a caravan with manufacturing defects that has been rejected due to a major failure;
(h) as Gateway Caravans is no longer trading and repairs are necessary, or least desirable in order to achieve a good price, Olympic Caravans should choose a business to repair the caravan from its list of local repairers;
(i) if Gateway Caravans does sell the caravan, but the manufacturer believes they could have achieved a better price, there may be further litigation between the manufacturer and the supplier;
(j) Gateway Caravans has nowhere to store the caravan. Would Gateway Caravans, for example, store the caravan at the house of one of its directors and advertise on social media to achieve a sale? Clearly such a sale would attract much less interest than a sale through a supplier with a proper 'shop'; and
(k) Gateway Caravans is no longer trading. Therefore, a consumer who buys the caravan would not be able to make a future claim against the company, because it would be wound up as soon as the caravan is sold and this proceeding is completed.
(1) Olympic Caravans is the manufacturer of the caravan. Gateway Caravans supplied the caravan to the applicant;
(2) The caravan did not comply with the consumer guarantee of acceptable quality at the time of supply;
(3) The failure to comply with the consumer guarantee was a major failure;
(4) The applicant validly rejected the caravan on 23 January 2024;
(5) Gateway Caravans is entitled to a full indemnity from Olympic Caravans in the sum of $80,339.92;
(6) Upon payment of $80,339.92, the applicant must return the caravan to the manufacturer and do what is necessary to register the caravan in the name of Olympic Caravans; and
(7) Costs are reserved.
[1] Photograph of leak at Tribunal Book ('TB') 34.
The list included a dripping tap and front wall interior lining repair. The first respondent denied any issues with the kitchen tap and I give them the benefit of the doubt. I have not included it in my consideration as a proven defect. The front wall lining was damaged by the applicant because he put tape over it in a failed attempt to stop water from coming in and therefore it, too, is not a defect.
[8] I have deleted three items from the list. One related to the quality of repairs but that was a claim against the third respondent who is no longer a party.
Two items that I have deleted from this list is 'installation of hot water service without required bracket' (TB 94, 95, 98) because it was contained in the list of defects provided in October 2022, item number 9; and 'a faulty TPR valve' (TB 265) is item number 1 on the same October 2022 list:
(a) Poor build quality and patching (TB 86-87), (b) improper wiring of a 12 pin tow plug (TB91), (c) non-level installation of the tea-towel holder (TB94), (d) faulty installation of a safety camera (TB96, 264), (e) improper installation of trim at the side of the bed base (TB97), (f) improper installation of power outlets and USB sockets (TB100), (g) a broken outlet for greywater tank (TB101-102), (h) a scratch in the kitchen floor (TB104-105), (i) a faulty cassette toilet (TB266), (j) gaps in sealant (TB82), faulty LED indicator lights (the claim that the LED lights are faulty seems to have been raised in January 2024, that is, shortly before the applicant rejected the caravan. Nevertheless, it is an alleged defect, TB 323).
[10] All references below to legislative provisions are to the ACL, unless otherwise indicated.
Goods sold at auction are excluded from the operation of section 54 but the caravan was not bought at auction.
[18] As previously discussed only 5 of the 6 repairs were for leaks.
[24] Even though the Club RV Group Pty Ltd trades under the name Geelong Caravans, the first and second respondent already have the word 'caravans' in their name and RV Group is less confusing.
[26] Post hearing submissions, dated 29 August 2025.
[27] At [9.23] of the Crawford report.
[28] At [9.38] of the Crawford report.
[29] A sole trader operating under the business name Jentech CMB.
[30] TB 150-262, including photographs.
[31] See e.g. the Crawford (insurance) report dated 13 August 2024 at p. 227 of the TB, [3.1].
[34] Second respondent's post-hearing submissions, dated 29 August 2025.
[35] Second respondent's post-hearing submissions, dated 29 August 2025. The damage is meant to be visible in the Crawford Report.
[36] Second respondent's post-hearing submissions, dated 29 August 2025.
[37] A claim put forward by solicitor for Gateway Caravans during the hearing.
[39] Mr Paul Snow's oral submissions at the hearing.
[40] Photo of tape and plastic bag at TB 45, 47.
[41] This includes visits to the applicant's house.
[42] See, for example, Norton v Hervey Motors Ltd [1996] DCR 427.
[43] Williams v Toyota Motor Corp Australia Ltd [2024] HCA 38; (2024) 419 ALR 373 at 13-14, [33].
[44] The respondents do not dispute that some of the damage in these photos appears to be water damage.
[47] Vautin v B Y Winddown Inc. (No. 4) [2018] FCA 426 at [286].
[48] The total adds up to $624.48 when one adds up all four fuel invoices: $76.95, $190.96, $148.18 and $208.39, TB 158, 167-170, 179. The total amount claimed for fuel at pages 158 and 179 of the TB does not include one of the four invoices, for $76.95. The missed invoice, which I have included, is at TB 167.
[49] In Morphy v Beaufort Townsville Pty Ltd (Civil Claims) [2018] VCAT 1520 at [119] the Tribunal discounted the amount claimed by the applicant for on road costs for the same reason - the costs were not entirely thrown away by the applicant.
Haren
Gateway Caravans Pty Ltd
Supply of caravan - water leaks - non-compliance with the consumer guarantee of acceptable quality under section 54 of the Australian Consumer Law (Vic) ('ACL') - 'major failure' under section 260 ACL - Williams v Toyota Motor Corp Australia Ltd [2024] HCA 38; (2024) 419 ALR 373 applied - cross claim action by supplier for indemnity from manufacturer under section 274 ACL - full refund of purchase price - damages for consequential loss that was reasonably foreseeable under section 259(4) ACL - indemnity under section 274 ACL
(2024) 419 ALR 373