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UAE: Do warranty rules apply to secondhand cars?

Can I claim compensation if my secondhand car requires major repairs?

Question: I recently bought a secondhand car through a classifieds website. I did inspect the car, but did not find any faults in it. A few days later, I had to take the car to the workshop after observing what I thought were minor problems. But the mechanic has advised me that it requires major repairs that would cost me a lot of money. He tells me that the repair work was pending much before the sale happened and that the owner was likely aware of it. Can I file a case against the seller?

Response: Pursuant to your queries, it is assumed that you signed a contract with the seller of the secondhand car or signed the terms of conditions of sale. Further, it is assumed that one of the clauses may include that the secondhand car is in good condition at the time it was sold. Therefore, the provisions of Federal Law No. 15 of 2020 on Consumer Protection (the 'UAE Consumer Protection Law') are applicable.

It is the obligation of the seller to repair or replace the product which he has sold to the consumer if the same has defects or malfunctions. This is in accordance with Article 12 of the UAE Consumer Protection Law, which states: “In the event that a malfunction is found in the product or service, the supplier shall repair or replace the same, return the product and refund its price, or reperform the service without charge, in accordance with what is specified by the implementing regulation of this law."

Further, if the malfunction of the product relapses three times within one year of sale, then the seller needs to replace the product or refund the sale amount to the consumer. This is in accordance with Article 13 of the UAE Consumer Protection Law, which states: “If the malfunction in the product is repeated three (3) times during the first year from the date on which the consumer receives it in a way that substantially affects the quality of the functional performance of the product, the supplier shall replace it at no cost with a new one of the same type and specifications, or recover it and refund its value to the consumer, and that according to what is specified by the Implementing Regulation of this Law.”

Based on the aforementioned provisions of law, the seller may have to repair the secondhand car sold to you. If the seller does not repair the said car, then you may claim compensation in accordance with Article 24(1) of the UAE Consumer Protection Law, which states: “The Consumer shall have the right to claim compensation for personal or material damages sustained by him as a result of using the product or service, in accordance with the legislation in force in the State, and any agreement to the contrary shall be null and void.”

Further, Article 28 to Article 32 of the UAE Consumer Protection Law mentions the penalties and term of imprisonment for various breaches by the seller or supplier or a service provider in the UAE.

Therefore, you may request the seller of the secondhand car to bear the cost of repairs. In the event the seller disagrees, you may initially file a complaint with the Consumer Protection Department in the emirate you reside, or where you had completed the transaction. The department may amicably settle the matter between you and the seller. But if there is no amicable settlement, you may file a civil case against the seller in a court, claiming relevant monetary compensation.

The onus will be on you to prove that the car had major defects at the time you purchased it and that the seller concealed them. The seller may argue that you did inspect the car at the time of sale and purchased it only after you were satisfied.