Don’t get run over by the warranty

MANY of our readers have had warranty problems with several brands.

1966 Shelby 427 Cobra_courtesy Auctions America (4).jpg

ON June 1, 2011, Sydney hire-car driver EB took delivery of what he thought was a new Audi Q7 from Wollongong’s Southern Classic Cars.

The paperwork, of which we have copies, shows the car was sold as a new car. During the past three years, Mr B has had a recurring rear seal problem, not uncommon with Q7s. The seal issue had been repaired under warranty until April this year when, he was told by Audi, that the SUV’s three-year warranty had run out. When Mr B protested, he was told the car had been registered on May 29, 2011.

The Audi dealership, which was working on the repairs, told Mr B he would have to pay.

After several emails, Audi’s general manager corporate communications, Anna Burgdorf, confirmed the Q7 “was registered in the dealership’s name approx. one month before Mr B purchased it, and was therefore technically a demonstration vehicle — although it was never driven. It appears the selling dealer failed to properly communicate the warranty start and end date at the time of sale to Mr B. Audi Australia was not aware of this situation, and nor do we condone the practice of selling a pre-registered vehicle to a customer without clearly outlining the warranty conditions at the time of sale. Any registered vehicle such as this should be sold as a ‘new vehicle demonstrator’.”

Most of this is cold comfort for Mr B. His car, which is his workplace, has been off the road at the Audi dealership from late May until July. Audi wasn’t going to work on the car until warranty/ payment was sorted. Then he was told the parts had to come from Singapore. So six weeks later Mr B is seriously out of pocket. What’s going on here?

Well, many of our readers have had the same problem with several brands. According to industry insiders, the problem is not as prevalent as it was before the global financial crisis. Registering cars that weren’t sold was a common practice to meet targets. New-car dealers work on low margins and are under pressure from the factory to perform.

Reader and fellow warranty sufferer Bruce Finlay tells us you can check the date of registration by going online with your vehicle identification number at www.revs.com.au.

Moving on to happy news. If you’re dissatisfied with the performance of your new muscle car then have we got a deal for you. Brands don’t mean much any more. Porsche sells more SUVs in Australia than real cars. Per capita, Mercedes sells more AMGs in Australia than anywhere else.

OK. Here is the answer. When the first 289 Shelby Cobra turned up in 1963 it subverted the dominant paradigm (no, I don’t know what it means either), winning the US manufacturers championship three years running and the 1965 FIA world manufacturers championship and having a hit song written about it.

But then the competition caught up. Of course Carroll Shelby knew what to do: more power. This nearly 50-year-old car is still faster out of the blocks than a new Maserati. Auction America is selling a pristine example later this month. They are saying it’s yours for a mill. I say, given RM Auctions sold a 289 in March for a mill, dig a bit deeper for a car that will say you are the man (or woman or both).

[e-mail]