The dispute originated when buyer Pardeep Kumar learned from local registration authorities that his financed Maruti WagonR had been blacklisted by the high court before his purchase. Despite the dealer's claims that Kumar accepted the transferred registration certificate willingly, the commission ruled that intermediaries must independently verify a vehicle's legal status. True Value was directed to return the full purchase amount alongside interest and litigation expenses, though Kumar's claim for over Rs 3.20 lakh in extra costs was dismissed due to a lack of receipts.
Key points
Commercial automobile intermediaries bear a legal duty to verify court records and encumb…: Commercial automobile intermediaries bear a legal duty to verify court records and encumbrances regardless of customer test drives.
The consumer panel awarded an additional Rs 7,500 to cover the complainant's litigation e…: The consumer panel awarded an additional Rs 7,500 to cover the complainant's litigation expenses.
Unsubstantiated expense claims exceeding Rs 3.20 lakh were rejected because the buyer fai…: Unsubstantiated expense claims exceeding Rs 3.20 lakh were rejected because the buyer failed to provide supporting receipts.
Sources checked by our analysis pipeline: 1
NEW DELHI: A Punjab district consumer commission has directed a pre-owned car dealer to refund Rs 2.52 lakh to a man who purchased a second-hand Maruti WagonR that was later found to be blacklisted in connection with proceedings before the Punjab and Haryana high court. It held that the dealer failed to verify the vehicle’s legal status before selling it, amounting to deficiency in service.
Case background
According to the commission order, Pardeep Kumar, the complainant, approached an automobile dealer called True Value, on June 10, 2022, to purchase a pre-owned car and deposited Rs 2,000 as security. He purchased a second-hand Maruti WagonR, previously registered in the name of Satnam Singh of Ludhiana, for Rs 2,51,700, excluding registration and insurance charges.
Kumar said the dealer assured him that the car was in good running condition and had proper documents. He then purchased it through a final deal slip dated July 1, 2022, by taking a loan of Rs 2.38 lakh from Cholamandalam Investment and Finance Company. He also later renewed its insurance policy.
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