I bought a used car from a dealership. Within two months it needed multiple repairs. Should the dealer have to pay for these repairs?
Two months ago, I bought a 9-year old Toyota Corolla from a dealership. It had 105,000 kms. I paid $8,000. Within two weeks, the driveshaft failed. Two weeks later, the power steering went. Now the brakes and suspension need major work. Can I look to the dealer to cover these repairs?
There are several factors that go into determining the rights of the parties on the sale of a used vehicle that has a problem. They include who the parties are, what they discussed, whether they had a written contract, the age and condition of the vehicle, the price paid, and the nature of the problem(s).
When you buy a used vehicle from a car dealer, certain conditions are implied under the law. The vehicle must be:
fit for the purpose you bought it for
of merchantable quality
durable for a reasonable period of time
as described by the dealer
These conditions are sometimes referred to as the legal warranty. They are established by this law. They apply regardless of whether the dealer mentions them, and are in addition to any warranty the dealer or manufacturer provide. (Note that with a used vehicle, a contract of sale can exclude these conditions — as long as it clearly does so.)
If the conditions aren't met, the dealer is said to have breached the legal warranty.
In your situation, you could argue the vehicle wasn’t durable for a reasonable period of time. What is a reasonable time will depend on many factors, including:
the age and condition of the vehicle
the price paid for it
the nature of the problem
the discoverability of the problem
the use of the vehicle after the purchase
An undetected problem that arises from the regular wear, tear and age of a used vehicle will not result in a breach the implied warranty of durability. For example, in one case an 8-year-old car with 140,000 kms, bought for $5,700, was found to be durable for a reasonable period of time even though its engine failed after one month of normal driving.
That said, when a vehicle with moderate use has extensive problems in a short period of time after the sale, there is an argument the durability condition has not been met. This case is an example.
If you can show the dealer breached the legal warranty, they can be required to pay for the repairs. For claims of under $5,000, you can apply to work out your dispute with the Civil Resolution Tribunal. This is a cheaper and faster option than going to court.
Our page on if you have a problem with a used car you bought from a dealer provides more detail on your rights and options. For example, it includes a template for a complaint letter you could send to the dealer.