[2025] QCAT 322
General information, not legal advice.
Queensland Civil and Administrative Tribunal
2025-08-21
Original judgment source is linked above.
TRADE AND COMMERCE - COMPETITION, FAIR TRADING AND CONSUMER PROTECTION LEGISLATION CONSUMER PROTECTION - GUARANTEES, CONDITIONS AND WARRANTIES IN CONSUMER TRANSACTIONS - JURISDICTION - whether Tribunal has jurisdiction to order a refund by the supplier of goods under the Australian Consumer Law (Qld) - where purchase price of motor vehicle was $91,475.00 - where new caravan sold - where defects arose after purchase of the vehicle - where further mechanical defects occurred several months later - whether defect complained of existed as at the date of supply - whether the caravan was of acceptable quality -whether the statutory warranties applied
Fair Trading Act 1989 (Qld), s 50, s 50A, Australian Consumer Law (Queensland), s 54, s 56
Motor Dealers and Chattel Auctioneers Act 2014 (Qld), Schedule 1, s 3
Holt-Lea v O'Connor & Anor (2022) QCAT 363
Sazdanoff-Haynes v MLS Wholesales Pty Ltd (2023) QCAT 37
Williams v Toyota Motor Corporation Australia Ltd (2022) FCA 344
(a) loose rear bumper (only just hanging on) - also not welded, paint flaking. This also caused a water hose leak from rubbing;
(b) caravan sways all over the road (even after wheel alignment which was significantly out);
(c) hole in the wall on top bunk (found when making bed for first time);
(d) shower was leaking water from door;
(e) cupboard trim stuck on with double sided tape that has come loose;
(f) sliding door to the bathroom doesn't close straight so can see straight through to the bathroom;
(g) black strip on front of caravan flew out;
(h) strip under fridge has been butchered and left that way;
(i) all the stickers on the van have bubbled/debris under them, which (the Applicant says) I'm sure will eventually get worse.
(a) cupboard next to the bed bubbling on the inside and out.
(a) now had water leaking through the bathroom window straight onto a power point;
(b) water in the roof started to bow the ceiling in the main area of the caravan;
(c) soft spots in the flooring;
(d) bedroom window leaking;
(e) rear hatch light full of water and dripping;
(f) awning above doorway leaking.
This was the first occasion on which the caravan had been in any wet/inclement weather since being delivered on 1 September 2022.
We were moving caravans up to our new Townsville dealership in the first few weeks of January, our drivers would be returning without a van, so I decided to make arrangements to have his caravan collected from his house....
I did inform him that getting the van down at that time wouldn't mean we could not start work on it straight away, it would be sitting here for a period of time awaiting the repairs to first be approved by the manufacturer and then our schedule allowing us to begin work on it, at that point we were already booked out until March 2023 I asked him to supply a full list of issues, which he did.
(a) the caravan does not meet the consumer guarantee;
(b) the caravan has been with the Respondent since 9 January 2023 and has not begun to be repaired by the date specified as at 10 March 2023;
(c) the Applicant is out of pocket for multiple trips that were planned in the caravan that they've had to book accommodation;
(d) no support has been provided by the Respondent nor by Network RV;
(e) the Applicant is not able to obtain repairs locally so that if they get the caravan back and it has further issues, the Applicant has to travel considerable distance back to the Respondent's premises;
(f) this has affected the Applicant's mental health and his family negatively;
The Applicant relies upon the Australian Consumer Law Queensland and the Motor Dealers and Chattels Auctioneers Act 2014 (Qld) for a refund of the purchase price and other costs.
We do not however agree that the warranty concerns he had raised meet the standards for a full refund of his purchase.
The first issue I encountered with the caravan was when I travelled over 90 km/h, the caravan became very unstable and began to sway from side to side. Upon arrival to the assessment centre I took a tow ball weight measurement. The weight recorded was 195 kg. I believe this weight to be too light for the weight of this vehicle
I experienced the same unstable sway from the caravan when exceeded 90 km/h when travelling on the M1 from Southport to Yatala.
Along with numerous cosmetic defects listed, there are some major defects that would deem the caravan unsafe for use. Those defects are:
poor welding of the subframe;
electrical wiring has not been fitted and secured properly;
the electrical wire is exposed to water leaks;
caravan is unbalanced and sways when towing.
The caravan has been poorly built using inferior parts;
The caravan has serious defects that make it unsafe for use;
In his belief the caravan, in its current state, is not fit for purpose.
Mr Cottonaro says that he has read the Expert Witness Code of Conduct and agrees to be bound by it and the Report has been prepared in accordance with the Code
(a) has incurred water ingress through both the roof and through a window. Water ingress was able to occur due to insufficient sealant having been used during manufacture;
(b) he was unable to replicate any water leaks in the caravan;
(c) there is some obvious movement with carpentry in the caravan (which is normal);
(d) electrical wires are in close proximity to plumbing but they are not exposed wires. The wires are 12 V wiring, not 240 V wires, so they do not present any safety issues in the event they come into contact with water;
(e) there was some minor damage to the underside of the caravan which appeared to be caused by stones or rocks from the road;
(f) there are imperfections in some of the warranty work that the Respondent has carried out but these are only cosmetic and recommends that the Respondent should revisit these and potentially carry out further work;
(g) the ball weight is just under 200 kg. This allows for additional weight to be placed in the front of the caravan without affecting the towing stability to the caravan;
(h) he was unable to find any major structural defects or major failings with the caravan.
(a) Mr Cottonaro inspected the caravan when the defects, the subject of these proceedings, had not been rectified and no warranty work had been performed on the caravan;
(b) Mr Cottonaro, unlike Mr Naylor, towed the caravan for some considerable distance along the M1 Highway (from Yatala to Southport and subsequently by a return trip) and ascertained that the caravan swayed at speeds of 90 km/h or greater. Mr Naylor was not able to identify this issue as he only inspected the caravan at the Respondent's premises;
(c) While it is apparent that Mr Cottonaro's Report was prepared prior to Mr Naylor's Report, Mr Naylor does not deal in anyway with the significant list of defects found by Mr Cottonaro and referred to in his Report. Even if these defects have been repaired under warranty works, there is no statement in Mr Naylor's Report that he has inspected the workshop records or other documents of the Respondent showing what warranty work had been completed. While Mr Naylor acknowledges that warranty work has been undertaken, nowhere in his Report does he identify what that warranty work was which does not allow for any direct comparison or assessment to be made with Mr Cottonaro's Report.
(d) Significantly, Mr Naylor does not deal with "major defects" referred to in the Report from Mr Cottonaro and in particular these defects:
(i) poor welding of the subframe;
(ii) electrical wiring has not been fitted and secured properly;
(iii) caravan is unbalanced and sways when towing apart from some discussion by Mr Naylor of the ball weight being under 200 kg.
The Applicant's Reliance on s 50A of the Fair Trading Act
(a) an order requiring a party to the proceedings to pay a stated amount to a stated person;
(b) an order requiring a party to the proceedings to return goods that relate to the claim and are in the party's possession or control to a stated person.
(a) an amount of loss or damage or the reasonable costs incurred by consumers;
(b) compensation for reduction in value of goods;
(c) damages because of failure to comply with a guarantee.
(a) for the Tribunal, whether the subject of the proceeding:
(i) would be a minor civil dispute within the meaning of the QCAT Act; or
(ii) would be a matter to which s 50A applies; or
(b) for a Court:
(i) any civil jurisdictional limit, including any monetary limit, applying to the Court.
(a) the guarantee of acceptable quality.[6]
(a) RACQ Insurance for 6 months: $842.82
(b) Registration for 6 months: $127.20
(c) Towing for Independent Assessment: $495.00
(d) Towing for Independent Assessment $440.00
(e) Assessment by National Assessing and Quoting: $3300.00
(f) Total of "Out of Pocket Costs" $5,205.02
What are the Available Remedies based on s 50A of the Fair Trading Act
(a) an amount of loss or damage;
(b) reasonable costs incurred;
(c) compensation for reduction in value of goods; and
(d) damages because of a failure to comply with a guarantee referred to in the ACL.
Guarantee of Acceptable Quality in s 54 of the ACL
(a) fit for all the purposes for which goods of that kind are commonly supplied; and
(b) acceptable in appearance and finish; and
(c) free from defects; and
(d) safe; and
(e) durable;
as a reasonable consumer fully acquainted with the state and condition of the goods (including any hidden defects of the goods), would regard as acceptable having regard to the matters in s 54(3) of the ACL.
(a) the nature of the goods; and
(b) the price of the goods (if relevant); and
(c) any statements made about the goods on any packaging or label on the goods; and
(d) any representation made about the goods by the supplier or manufacturer of the goods; and
(e) any other relevant circumstances relating to the supply of the goods.
Despite the obscure drafting of other provisions of the ACL, s 54 is relatively straightforward. The continued use of the conjunction "and" in s 54(2) makes clear that goods must possess all of the qualities listed in s 54(2), to the requisite standard, in order to comply with the guarantee of acceptable quality. Failure to possess any one of those qualities will result in failure to comply with the guarantee...
The question whether the goods are of acceptable quality is to be answered by reference to the quality of the goods at the time of supply.
The time to assess whether goods are of acceptable quality is determined by reference to the quality of the goods at the time of supply which has been adopted in decisions of the Tribunal.[9]
(a) Was not fit for all the purposes for which goods of that kind are commonly supplied as it contained the significant number of defects referred to in the evidence of the Applicant and of Mr Cottonaro. The Tribunal is particularly mindful of the nine defects referred to in the email from the Applicant on 2 September 2022 which included the defect the van sways all over the road (even after wheel alignment which was significantly out). The Tribunal also takes into account the "major defects" referred to in the Report by Mr Cottonaro and his opinion that he believes that in its current state the caravan is unfit for purpose.
(b) Was not acceptable in appearance and finish taking into account the evidence of the Applicant that by 2 September 2022 the caravan had a loose rear bumper (only just hanging on and not welded), paint flaking, hole in the wall on top bunk; cupboard trims stuck on with double sided tape which had become loose, sliding door to the bathroom doesn't close straight so can see straight through to the bathroom, black strip on the front of the caravan flew out and all stickers on the van have bubble/debris under the stickers. Several of these defects were confirmed by Mr Cottonaro's inspection as well as the reported list of defects which identified additional cosmetic imperfections.
(c) Was not free from defects according to the evidence of the Applicant in particular the nine defects identified in the email of 2 September 2022 as well as the other seven additional defects identified on 16 December 2022 and 25 December 2022 in his statement of evidence filed with the Application. The defects identified on 25 December 2022 relating to water ingress to the caravan have already been discussed above in the context that that was the first occasion the caravan was subject to inclement/wet weather conditions. The Applicant's evidence is supported by the Report from Mr Cottonaro which identifies a substantial list of defects which have their origins at the time of supply.
(d) Was not safe because the Applicant's evidence is that the caravan would sway all over the road (even after wheel alignment which was significantly out). Significantly, the Report from Mr Cottonaro refers to major defects which include poor welding of the subframe and the caravan sways while being towed and his opinion the caravan has serious defects which deem it unsafe to use.
(e) Was not durable according to the evidence from Mr Cottonaro as the caravan had been poorly built using inferior parts, roof components which had been secured with excessive amount of sealer was showing signs of failure. Water was leaking through the roof units of the caravan. The flooring is made from chipboard which sags underload when walking throughout the caravan and is also exposed to the elements and has not been properly sealed. The flooring has the potential to absorb moisture and fail within a short period of time. The window units are made from flimsy plastic which are not waterproof when secured.
(a) Caravan HQ Pty Ltd must pay to Christopher Thompson the amount of $96,680.02 on or before 4.00 pm on Friday, 26 September 2025;
(b) In exchange for payment of the amount of $96,680.02 Christopher Thompson will return to the Respondent the Network RV Caravan which is the Dual Axle 22' Family Terrain Tuff Caravan NRV-9 2021, including the "Extra" accessories and or equipment, described in the Contract for the purchase of a New Caravan with the Respondent dated 17 July 2021.
[1] See Application - Motor Vehicle Dispute and to the attached "full timeline" at page 1-2.
[2] See Motor Dealers and Chattel Auctioneers Act 2014 (Qld) sch 1 s 3.
[3] See Report of Mr Cottonaro dated 5 July 2023 at Attachment page 1 and page 2.
[8] (2022) FCA 344, [164]-[165].
[9] Holt-Lea v O'Connor & Anor [2022] QCAT 363, [29]; Sazdanoff-Haynes v MLS Wholesales Pty Ltd [2023] QCAT 37, [38].
Thompson
Caravan HQ Pty Ltd [2025] QCAT 322