An Auckland motor vehicle trader has been fined $6400 in the Auckland District Court for failing to supply Supplier Information Notices (SINs) on cars offered for sale on TradeMe.
Harpers' For Cars Ltd pleaded guilty to 16 breaches of the Fair Trading Act by failing to supply SINs with the cars it sold on TradeMe. All used motor vehicles are required to be offered for sale with a SIN, outlining such information as the make and model of vehicle, odometer reading and whether the vehicle has a security interest registered against it.
Between May 2005 and June 2006, Harpers' For Cars Ltd sold 127 used cars on TradeMe under the user name bonedome without SINs. After being made aware of the need to provide SINs in April 2006, the company still failed to display SINs for a further two months.
"The Supplier Information Notice is very important, as it allows consumers to make accurate comparisons between different vehicles, something they cannot easily do merely by looking at a car, or photograph of a car", says Acting Director Fair Trading Graham Gill.
"This is vital when purchasing a car online, when you cannot visually inspect the vehicle and have to rely solely on the information provided by the trader. Trade Me has made efforts to advise traders selling motor vehicles through its website of the need to comply with the regulations and, regardless of this, as an experienced motor vehicle trader, Harpers' for Cars Ltd should have been very aware of its obligations."
Mr Gill adds: "It is important that all traders ensure they comply with the Fair Trading Act, regardless of whether they are selling goods online or from the shop floor."
Background
The requirement to display a Supplier Information Notice falls under the Fair Trading Act Consumer Information (Used Motor Vehicles) Regulations 2003.
The requirement to display the Supplier Information Notice came into effect on 15 December 2003. The Motor Vehicle Sales Act commenced on the same date, changed the registration requirements for all motor vehicle dealers.
If a vehicle is offered for sale on the internet, a SIN, or access to a SIN, relating to that motor vehicle must be clearly displayed on the same page as the offer for sale and as the contract for sale.
