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Home / New Zealand

Law puts onus on car dealer

15 Jun, 2004 01:19 PM4 mins to read

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By JULIE MIDDLETON

A rash of safety recalls involving used, imported vehicles has come as the numbers of cars on New Zealand's roads hit an all-time high.

The Land Transport Safety Authority says 156,972 used cars were registered here for the first time in 2003, a 15 per cent increase on the
year before.

Seventy per cent of imported used cars hail from Japan, said spokesman Andy Knackstedt.

The chief executive officer of the Independent Motor Vehicle Dealers Association, David Vinsen, said this year's tally would probably be 160,000.

Between 125,000 and 130,000 cars fall permanently out of the national fleet each year, he said.

The LTSA last week recalled 843 used-import Mitsubishi Fuso vehicles, including 485 trucks and crane-carriers, 255 buses - of which at least 72 carry schoolchildren - and 103 motor caravans.

All will eventually have their wheel hubs replaced, but eight trucks have so far been ordered off the road after failing inspections.

On Monday, Mitsubishi New Zealand said 380 of the recalled used trucks, and 20 which it imported new, would need a clutch-bell housing repair yet to be prescribed.

Yesterday, the LTSA ordered 343 used imported Mitsubishi Galant and Legnum vehicles with potentially serious brake defects off the road until new parts were fitted.

Mr Knackstedt said the order - in effect revoking their warrants of fitness - was made because the faults were so serious.

He said it was rare that the LTSA took such a step.

No such orders had been issued in the past 2 1/2 years.

The Ministry of Consumer Affairs' legal adviser, Jeanette Harris, said buyers of second-hand imports were covered by the Consumer Guarantees Act.

The legislation says that what is being sold must be safe, and requires the retailer who supplies the goods to sort out any problems.

A car dealer can't pass responsibility back to the manufacturer, even if your make of car is represented by a company in New Zealand.

Ms Harris said that whether manufacturers felt a moral duty to solve problems with used imports was another matter.

Faults "may affect their name in New Zealand, and that might drive them to do something. But there is no legal liability". Ms Harris doubted that would change.

Mitsubishi in New Zealand was reported as having "leaned on" its related company Mitsubishi Fuso for it to supply replacement parts for the second-hand imported trucks that have been taken off the road.

But Mr Vinsen said used car importers should have redress against the manufacturers, especially when the problem was a design fault.

"Just as information [about recalls] comes down from the manufacturers," he said, "so the responsibility should sheet up the same channels. We believe there are legal grounds for taking a case against the manufacturer when the LTSA issues a recall."

Motor Trade Association chief executive Stephen Matthews and Consumers' Institute head David Russell said that "if you have a basic problem in manufacture, you would expect the manufacturer to pick up the tab".

Mr Vinsen, whose group has 400 members, said that at present "the fights [over liability are] behind the scenes".

Ministry of Consumer Affairs


Land Transport Safety Authority

Independent Motor Vehicle Dealers Association

Recalled vehicles

Cars recalled in New Zealand 2000-2004:

June 2004: 343 Mitsubishi Galant and Legnum VR4 vehicles, 1996 and 1997 with automatic transmissions and an "automatic stability control" function (brakes).

843 used imported vehicles manufactured by Mitsubishi Fuso Truck and Bus Corporation (wheel hubs).

Saab 900/9-3 vehicles (1998-2003) fitted with tow bars (tow bar mounting points).

May 2004: 8500 Holdens, seven different makes, including 550 police cars (cooling hose fault).

Honda Logo and Civic (headlight switch).

Mazda Premacy (battery watertightness).

Hyundai Getz (brakes).

Saab 9/3 (seatbelts).

Porsche 911 Carerra, Turbo, GT3 (seats).

March 2004: Volvo S60, S80, V70 (steering and suspension).

April 2004: 74 Isuzu Troopers (accelerator).

February 2004: Mazda Tribute (seatbelts).

Volvo S40 and V40 (fuel line).

December 2003: 1000 Peugeot 206s (brakes).

November 2003: 3800 Nissans, 2.5 million worldwide (engine defect).


October 2003: Nissan, 15 different makes (engine sensor).

April 2003: Mitsubishi Nimbus and RVR vehicles (brake hoses) and Galants (fuel tanks).

March 2003: Saab 900 (air bag control unit).

February 2003: Holden Astra, Vectra and Barina (cambelt).

January 2003: Pre-1991 Nissan and Datsun vehicles, 15 models (suspension).

June 2002: Hyundai XG30 (air bags and seat belts).

March 2002: Hyundai EF Sonata (air bags and seat belts).

February 2002: Saab vehicle towbars (towbar tongues).

November 2001: Holden vehicle towbars (towbar tongues).

September 2001: SAAB 900 (passenger airbag).

July 2001: Hyundai XG 3.0 (brakes).

May 2001: Mitsubishi Magna and Diamante station wagons (electrics) and Pajero Junior (airbags).

February 2001: BMW X5 (steering column).

Daimler-Chrysler A-Class Mercedes Cars (brakes).

Ford Falcon (throttle).

December 2000: Honda S2000 Roadster (seatbelt).

November 2000: Honda TRX350 all-terrain vehicles (suspension).

August 2000: Mitsubishi vehicles, eight models involving 13,000 NZ cars (10 faults, two safety-related).

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