28 August 2019

New ‘lemon laws’ in force from 1 September

New ‘lemon laws’ will afford buyers of defective motor vehicles additional avenues of redress and protections from 1 September 2019.

New ‘lemon laws’ will afford buyers of defective motor vehicles additional avenues of redress and protections from 1 September 2019.

The Queensland Civil and Administrative Tribunal and Other Legislation Amendment Act 2019 (Qld) will come into effect on 1 September 2019 and introduce what have been called ‘lemon laws’. The Act will increase the maximum motor vehicles claims that QCAT can hear and will reinstate certain warranties for older or well-used vehicles bought by motorists.

The Act, passed by the Queensland Parliament in April 2019, will lift the maximum level of claims by buyers of new and used motor vehicle handled by QCAT from $25,000 to $100,000. By increasing the claims that can be heard in QCAT, buyers of ‘lemon’ motor vehicles will be able to enforce their rights through an easier and less expensive avenue.

The Motor Dealers and Chattel Auctioneers Act 2014 (Qld) will be amended to include a 30-day or 1000 km warranty for consumers when buying a vehicle more than 10 years old or with an odometer reading of 160,000 km or more. Warranties for older motor vehicles had previously been repealed. This restored protection will complement the current statutory warranty, which protects buyers of second-hand vehicles less than 10 years old or with less than 160,000 km on the odometer for 3 months or 5000 km after purchase.

The new ‘lemon laws’ will afford buyers greater protections when purchasing older second hand vehicles, and will allow them to more easily enforce their consumer rights.

Contact the team at CGW if you have any questions about your rights under the new laws.

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This publication is for information only and is not legal advice. You should obtain advice that is specific to your circumstances and not rely on this publication as legal advice. If there are any issues you would like us to advise you on arising from this publication, please let us know.

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David-Grace
David Grace
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