Court awards buyers refunds for defective cars

Court awards buyers refunds for defective cars

Chevrolet Cruze owners gather to submit their complaint to the Consumer Protection Board on Aug 15, 2013. They were angry their new vehicles had repeatedly broken down, almost from the day they bought them. (Bangkok Post file photo)
Chevrolet Cruze owners gather to submit their complaint to the Consumer Protection Board on Aug 15, 2013. They were angry their new vehicles had repeatedly broken down, almost from the day they bought them. (Bangkok Post file photo)

Six buyers of Chevrolet cars that suffered immediate and repeated breakdowns have won a consumer protection case against the dealers and leasing companies, with the Civil Court ordering refunds of all payments.

The six plaintiffs filed a consumer protection case against Chevrolet Sales (Thailand) Co, the dealers and leasing companies on April 22, 2014 requesting refunds of all down payments and installments. 

They also asked that Chevrolet and dealers pay the leasing firms the full vehicle price, because they had cancelled the leasing agreements due to technical defects attributed to manufacturing, not to ordinary use.

The consumers asked the court to ban sales of that model Chevrolet and to order their recall from market if the manufacturing defects were not corrected. They also sought compensation for mental trauma caused by the defects in the vehicles, identified as the 2013 model Chevrolet Cruze, a compact sedan. (continued below)

The six plaintiffs arrive at the Civil Court on Friday. (Photo by Apichit Jinakul)

Narumol Mekborisut, head of the consumer rights protection centre of the Foundation for Consumers, said the court did not consider the issues of a ban on sales or compensation for mental damages.

The court ruled that the dealers must refund the down payments, plus 7.5% interest per annum from the date of the contract signing, to the consumers. The leasing firms must also refund the amounts paid by the consumers, plus 7.5% interest calculated from the date that the court accepted the case for consideration.

The total amount is involved is around one million baht, she said.

The six plaintiffs are each required to pay the leasing firm 100 baht each day, from the time they took  delivery of the cars until the day the vehicles were sent back to the dealers.

Ms Narumol said the court did not involve Chevrolet Sales (Thailand) in the case because the contracts were signed between the consumers and dealers and leasing firms.

However, the case has not ended yet as the defendants may appeal the ruling within 30 days, she said. 

“This case can set a norm for society, showing that bringing a court case can result in justice, so consumers should exercise their right,” said Ms Narumol. 

The case had taken almost three years from the petition to the company until the court ruling awarding the consumers compensation, she said. 

Suthaporn Maruekkhapithak, representative of the plaintiffs, said the group was happy with the decision, but had to endure a lot for more than two years.

The plaintiffs encouraged other consumers suffering in other cases, such as defective vehicles or damaged housing units, to also exercise their right to seek compensation. 

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