Bought a Lemon? Your Rights When Buying a Used Car in the UAE

Published: Sun 5 Jan 2025, 8:13 AM
Updated: Mon 6 Jan 2025, 7:58 AM

Question:

I recently bought a secondhand car listed on a website. However, multiple technical issues have developed. My mechanic says the seller likely hid the problems before selling the car to me. The seller was not a dealer, but someone who owned the vehicle. I called him, but he said it was not his problem. What are my legal options in this case?

Answer:

In the UAE, consumer protection laws are in place to safeguard buyers, even in private sales. As a buyer of a used car, you have rights if the vehicle turns out to be defective, especially if the seller misrepresented its condition.

Key Legal Provisions:

  • Federal Law No. 15 of 2020 (as amended by Federal Decree-Law No. 5 of 2023): This law, along with its executive regulations (Cabinet Decision No. 66 of 2023), protects consumers from misleading advertisements and the sale of defective goods.
  • Article 17: Prohibits sellers from describing goods or services with incorrect data or making misleading claims.
  • Article 8 (Cabinet Decision No. 66 of 2023): Deems a product description deceptive if it creates a false impression, particularly regarding the item's nature, composition, substantial description, quantity, origin, expiry date, or usage warnings.

If you believe the seller knowingly concealed the car's defects, their actions might be considered a violation of these provisions. They were obligated to disclose the true condition of the vehicle, especially if they provided you with a warranty.

Warranty Claims:

If the seller provided a warranty, ensure it includes detailed information as per Article 12 of Cabinet Decision No. 66 of 2023. Article 13 outlines the seller's obligations during the warranty period. If the car's defects are covered under the warranty and occurred within the warranty period, you have the right to make a claim against the seller.

Article 24 (1) of the UAE Consumer Law states that as a consumer, you have the right to claim compensation for damages sustained by you as a result of using the Good or Service, by the legislation in force in the State, and any agreement to the contrary shall be null and void.

Taking Action:

You can file a complaint with the Ministry of Economy or the relevant consumer protection authority in your emirate, as outlined in Article 35 of Cabinet Decision No. 66 of 2023. Be prepared to provide evidence such as:

  • Copies of the advertisement and any communication with the seller.
  • Your mechanic's report detailing the car's defects.
  • Any warranty documents.
  • Proof of purchase (receipt, bank statement).

Penalties for Sellers:

Addendum No. 2 of Cabinet Decision No. 66 of 2023 outlines financial penalties for sellers who violate consumer protection laws. Offering defective used or renovated products without proper disclosure can result in a fine of up to Dh100,000.

Based on the law, you are within your rights to file a complaint against the seller for misleading you about the car's condition. The authorities will investigate and take appropriate action.

Disclaimer: This information is intended for general guidance and awareness. It is not a substitute for professional legal advice. Consult with a legal professional for specific advice tailored to your situation.

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