DEFINITIONS & INTERPRETATIONS

The following definitions, interpretations and expressions shall apply to all Contracts, references
and business dealings with BID4U.

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Under-Bidder

means the person who advanced the Highest Bid at auction for a lot and the bid failed to reach the reserve price on the Fall of the Hammer.

Understeer

means when the steering wheel is turned and the vehicle does not turn as far as it should. (ESC, Oversteer)

Used Car Statutory Warranty

means a warranty applied to all dealer-sold vehicles covering most items on a car relating to safety, reliability and roadworthiness. Used car statutory warranties and the items they cover differ from state to state.   

Under the West Australian Motor Dealer's Act 1973, all dealers must provide a warranty on all used vehicles. The items covered by the used car statutory warranty are detailed below.

Note 1. A used car statutory warranty apples only to vehicles bought from a licensed motor vehicle dealer from the date of purchase.
  2.
In Western Australia used car statutory warranty is applied only to motor vehicles that have a purchase price of $4,000 or more and to motor cycles that cost $3,500 or more together with limits applied to the age and number of kilometres travelled at the time of sale. 
  3.
An extended warranty is no substitute for BID4U purchasing a quality, well serviced, safe, reliable, non-accident, collision or storm damaged, good condition vehicle in the first place.

 

 

 


                   
The below table outlines the statutory used car warranties specified in the
West Australian Motor Dealer's Act 1973:

             4.  The main items covered and not covered by used car warranties are outlined in the below diagram:

     

  5. Used Car Statutory Warranties do not cover:
   
  • Defects that arise from an accident or misuse of the vehicle
  • Consumable items, such as wiper blades and batteries
  • Routine Services
  • Tune Ups
  • Tyres
  • Accessories

 

It is important to note, however, that dealers are obligated under the Western Australian Fair Trading Act 2010 to ensure that any vehicle they sell is of merchantable quality. They are also obligated under the Australian Consumer Law 2011 (ACL) to ensure that any vehicle they sell is:

1. Free from default
2. Fit for purpose; and of,
3. Merchantable quality

The ACL legislation is overarching and takes precedent over both the Western Australian Fair Trading Act 2010 and the West Australian Motor Dealer's Act 1973. This means that a dealer cannot rely on the age and kilometre restrictions specified under the West Australian Motor Dealer's Act 1973 to limit warranty claims because the ACL takes precedent.

The test as to whether a warranty claim exists under the ACL is what a 'reasonable person' would consider to be fair and reasonable in the circumstances.

Vehicles Not more that 10 years old or over 150,000 km

Under the West Australian Motor Dealer's Act 1973 dealers must provide a 3 month, 5,000 km (whichever happens first) used car statutory warranty on all used vehicles not more than 10 years old with an odometer reading under 150,000 km. Essentially this means that, evern though dealers must provide a 3 month, 5,000 km (whichever happens first) used car statutory warranty, they are obligated under both the ACL and the Western Australian Fair Trading Act 2010 to rectify any major faults what occur within a reasonable timeframe after purchase - even where those faults occur outside the obligatory used car statutory warranty period.

Vehicles Between 10 - 12 years old or between 150,000 - 180,000 km

Under the West Australian Motor Dealer's Act 1973 dealers must provide a 1 month, 1,500 km (whichever happens first) used car statutory warranty on all used vehicles not more than between 10 and 12 years old with odometer readings between 150,000 km and 180,000 km. Essentially this means that, evern though dealers must provide a 1 month, 1,500 km (whichever happens first) used car statutory warranty, they are obligated under both the ACL and the Western Australian Fair Trading Act 2010 to rectify any major faults what occur within a reasonable timeframe after purchase - even where those faults occur outside the obligatory used car statutory warranty period.

Vehicles More than 12 years old or more than 180,000 km

Under the West Australian Motor Dealer's Act 1973 dealers do not have to provide a used car statutory warranty on used vehicles more than 12 years old or on vehicles with an odometer reading exceeding 180,000 km. However, they are nevertheless obligated under both the ACL and the Western Australian Fair Trading Act 2010 to rectify any major faults what occur within a reasonable timeframe after purchase - even where no used car statutory warranty is provided.

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These definitions and interpretations may be subject to review and change from time to time


 

*MTA Member Bidding Service DL: 18363*