How to Take a Car Dealership to Court: A Complete Step-by-Step Guide

Common Reasons to Take a Car Dealership to Court

There are several common reasons why people take a car dealer to small claims court. These include:

• Purchasing a new or used car that develops a fault within 30 days, and the dealership denying your right to return it under the Consumer Rights Act (CRA).
• Experiencing a vehicle fault within six months of purchase, and the dealer refusing to offer a repair or refund, as required by the CRA.
• The dealer carrying out repairs that are substandard, unfinished, or unreasonably delayed within six months of purchase.
• Being involved in an accident caused by a defect the dealership should have identified and addressed before the vehicle was handed over.

If you’re claiming more than £10,000 or dealing with a particularly complex issue, such as a faulty vehicle involved in a serious accident, you won’t be able to use the small claims court. In these situations, the legal process can be more complicated. If you’re unsure whether you can take a car dealership to small claims court, it’s a good idea to speak with a specialist solicitor who can guide you on the best course of action.

Assessing Whether You Have a Strong Case

Bought a new or used car from a dealer recently? If a fault is discovered within six months of purchase, the law presumes the issue existed at the time of sale. Under the Consumer Rights Act 2015, the dealer is legally required to repair the fault at no extra cost or to allow you to return the car for a full refund if the fault is discovered and reported within 30 days of purchase. 

If you’re considering a compensation claim, arranging an independent vehicle inspection from a qualified mechanic can strengthen your case by establishing the severity of the fault and how long it’s been present. This report can serve as valuable evidence if negotiations with the dealership fail and you decide to go to small claims court for a faulty car claim against the dealership. In many cases, if the judge rules in your favour, you may also be able to recover the cost of the inspection as part of your compensation.

Attempting to Resolve the Issue Before Going to Court

Taking a car dealership to small claims court should be a last resort, pursued only after you’ve sent the required written notices and attempted to reach an amicable resolution. 

If efforts to resolve the issue with the dealership fail, you might wonder, “Can I take a car dealership to small claims court?” The answer is usually yes for straightforward cases involving claims under £10,000, provided you’ve taken the necessary steps to try to settle the dispute amicably first.

Here are the steps you should take when preparing to take a car dealership to small claims court:

1. Contact the car dealership and notify them of the fault: Ideally, do this within 30 days of purchase to ‘stop the clock’ and preserve your rights under the Consumer Rights Act, which entitles you to return the car back to the dealer if a fault emerges within that period. You should notify the dealership that you intend to invoke your right to reject and wish for a full refund of the amount you paid for the car, as well as compensation for any incurred costs, such as alternative transport to work. Keep written records of all communications with the car dealership.

2. Follow up with a Final Demand letter: If the car dealership doesn’t respond to your initial communications, send them a Final Demand letter that clearly outlines the facts of the case and the compensation you are asking for. Ensure that you include any supporting evidence of the vehicle fault, such as an independent mechanic’s review, and reference your rights under the Consumer Rights Act, providing a clear timeline for response, usually seven days. 

3. Prepare to go to court: If the car dealership does not respond to your Final Demand notice or responds with a refusal, you can send a Letter Before Action, which is required before starting a small claims court case. The Letter Before Action should clearly outline your intention to seek resolution through legal means. 

4. Filing at small claims court for a faulty car: Once these important steps have been taken, if your case is appropriate for small claims court, you can proceed with filing your claim. CaseCraft.AI makes it easier to file with small claims court. You can use the simple, secure platform to organise important documents, review court information, and get advice on managing your claim.

Understanding Your Legal Rights as a Consumer

As a consumer, you can reject a faulty car purchased from a car dealership within 30 days of purchase under the Consumer Rights Act (CRA). You can also require that a car dealership repair any vehicle fault that develops within six months of purchase. 

You can generally only proceed with a private car sale small claims court case if the description given by the private seller was misleading, and you can prove that the original car advertisement is for a vehicle significantly different from the car you received. Otherwise, a privately listed car is considered to have been bought “as seen”, and the seller is not liable to fix faults that develop or become known after purchase.

Your consumer rights are much better protected when you buy a car from a dealership than they are when you purchase from a private seller. That’s why it’s worth checking whether the dealer is accredited by The Motor Ombudsman or registered as an approved RAC dealer before you buy. This helps protect your rights and gives you access to third-party alternative dispute resolution if something goes wrong with the vehicle.

Preparing to Take the Car Dealership to Court

Before going to small claims court for car repairs or to request a refund, it is important that you gather evidence to support your claim. Supporting evidence can include photographs of visible faults or a report from an independent mechanic clearly outlining what’s wrong with the car. If you’re claiming for faulty repairs, include images showing poor workmanship and evidence that the issue remains unresolved or the job was left incomplete.

Once you’ve gathered your evidence, you must notify the dealership of your intent to seek restitution, providing the required notices and copies of your proof, along with a clear response deadline, typically seven days.

If your claim is complex or the total amount you are claiming is over £10,000, it is unlikely to be considered a small claims court car dealership case. Seek professional advice from an expert lawyer to help you bring your case to the appropriate court track.

Filing a Lawsuit Against the Car Dealership

If you are wondering, “Can I take a car dealership to small claims court?” the yes or no answer depends on how complex your claim is and the amount of compensation you are claiming. 

Should small claims court be the appropriate track, you can file a lawsuit against the car dealership online and track the progress of your case via CaseCraft.AI’s simple, secure platform. Here, you can see updates to your case, get advice, and set alerts for court updates – it makes managing a small claim much easier. 

Putting right problems with the repair work or servicing

If a car dealership has carried out servicing or repairs poorly, taken too long, or charged unreasonable fees, you have the right to claim compensation. You’re entitled to have substandard work corrected at no extra cost. If the original garage can’t fix the issue within a reasonable timeframe, you can claim back the cost of having the work completed properly by another garage.

You can also claim other reasonable losses or expenses caused by poor repair work or improper vehicle servicing. For instance, you may need to use alternative transport to get to work while your vehicle is in for repair. Make sure to retain evidence of losses and expenses and evidence of unsatisfactory work, such as an independent third-party mechanic report or a failed MOT.

Taking a car dealer to small claims court is easier with CaseCraft.AI. Our simple, secure platform keeps all your paperwork organised and alerts you to important court dates, while making it easier to file and manage your case – all without any need for prior legal knowledge. Don’t drown in files and risk missing mandated deadlines – give yourself the best chance at getting the compensation you deserve, with a little help from CaseCraft.AI.