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Balnamore Car Trader Fined for False Advertising

Friday, 3 July 2009

Balnamore car trader, James Edward McDonald, of 5 Ashbrook Park, Balnamore, was today fined £600, plus £112 court costs, at Coleraine Magistrates’ Court, for advertising second hand cars for sale without disclosing that he was a motor trader and for falsely advertising the mileage of a car.

In a case brought by the Department of Enterprise, Trade and Investment’s Trading Standards Service (TSS), Mr McDonald pleaded guilty to one charge under the Trade Descriptions Act 1968, one charge under the Fair Trading Act 1973 and one charge under the Consumer Protection from Unfair Trading Regulations 2008.

The case arose following an investigation by TSS into the circumstances surrounding the sale of a second hand vehicle displayed for sale by Mr McDonald in a local car park.

The vehicle was advertised as having travelled 60,000 miles in December 2007. It was later discovered that the mileage on this vehicle was incorrect as it had travelled at least 67,000 miles by that date.

In March 2008, TSS received a complaint relating to a car purchased from Mr McDonald. Shortly after the sale, the car had developed faults and when the complainant sought redress from Mr McDonald, he attempted to avoid liability by claiming that he was a private seller and not a trader.

The TSS investigation discovered a number of advertisements, placed by Mr McDonald in several local newspapers, offering second hand vehicles for sale. In each case, Mr McDonald failed to indicate in the advertisement that he was in fact a motor trader.

Sharon Muldoon of the Trading Standards Service said: “Mr McDonald set out to deceive consumers by failing to disclose his position as a car trader.

“It is a legal requirement that all traders ensure, that when placing advertisements, consumers are in no doubt that the seller is selling in the course of a business. This can be done by simply placing the letter ‘T’ at the end of an advertisement.

“This is an important regulation as it informs consumers whether or not they are buying from a business or a private individual, allowing the consumer to establish what level of legal protection they have, should they encounter problems with their purchase.

“When consumers buy goods from traders, the goods must be of satisfactory quality and fit for their normal purpose. This protection does not apply to goods bought from private individuals. Therefore, if a car is bought from a private seller, the buyer has no come back regarding its quality or fitness for purpose.”

Anyone who believes they have been sold goods which have been falsely described or from a “hidden” trader should contact Consumerline on tel: 0845 600 62 62 / 028 9025 3911 or alternatively log onto link to external websitewww.consumerline.org.

Notes to Editors:

1. Under the Trade Descriptions Act 1968, traders must describe goods accurately. It is an offence to apply a false description to any goods for which a fine up to £5,000 can be imposed.

2. The Business Advertisements (Disclosure) Order 1977 requires any person advertising goods in the course of a business to make it clear in the advertisement that the goods are being sold in the course of a trade or business. It is an offence under the Fair Trading Act 1973 to fail to do so. A fine of up to £5,000 can be imposed. Traders who pose as private sellers are referred to as “hidden” traders.

3. The Consumer Protection from Unfair Trading Regulations came into force on 26 May 2008. This replaces a number of pieces of Consumer Protection legislation including the Trade Descriptions Act 1968 and the Fair Trading Act 1973. Offences committed after this date are brought under this legislation. A fine up to £5,000 can be imposed for an offence under these Regulations.

4. All media enquiries to DETI Press Office: Tel. 028 9052 9297. Out of office hours, please contact the Duty Press Officer via pager number 07699 715 440 and your call will be returned.