The IAAF – The Independent Automotive Aftermarket Federation – was prompted to enforce the EU’s Block Exemption Rules after they received a complaint from an independent mobile repairer.
Martin Ryan complained the Korean firm was refusing to accept warranty claims because he was not registered for VAT.
An enquiry from the Federation’s trade secretary Ann Silvester to Hyundai brought confirmation of their position: Hyundai claimed the ruling was designed to prevent what they described as, ‘fraudulent activity’.
Silvester explained to the car importer that the EU’s new Block Exemption Regulation outlawed such restrictions on independent repairers, and Hyundai have since admitted fault.
A Hyundai spokeswoman told Car Dealer: ‘We take on board what they say and we have amended the website and our warranty booklets to make things clearer. These changes are currently with our legal team and will be implemented very soon.’
Ryan added: ‘Many thanks to the IAAF for looking into the VAT situation as regards to the Hyundai website. A very satisfactory outcome to their intervention and extremely helpful to me for future reference as far as my customer’s concerns about the servicing of their vehicles.’