IF DEALERS don’t take the correct precautions when distance selling they could run the risk of giving customers one year and 14 days to reject the car, says Lawgistics.
Legal advisor Nona Bowkis explained: ‘If you don’t give them the paperwork, and don’t tell them they have 14 days to change their mind, that 14 day window extends by a year.’
Although if you are delivering a car as a one off or as a favour it would not be considered distance selling, if it becomes more regular you may need to implement some changes.
‘A lot of people have got websites, a lot of people are buying through websites, ringing up to say ‘I’ll have that car’ and doing the deal over the phone,’ added Bowkis.
‘You are going to run the risk that this is going to be a distance selling and if it is a distance sale there are rules about paperwork that you have to give to the client. You have to give them a cancellation form, they buyer doesn’t have to use the cancellation form to cancel the order, but you do have to give it to them.
‘You have to tell them that they have cancellation rights, and those are that the have 14 days to change their mind. That can be for any or no reason.’
Bowkis was joined on the Trade Plates TV panel by legal advisors Howard Tilney and Jason Williams, as well as Lawgistics sales manager Ian Gardner.
The panel also discussed the advertising mistakes that dealers often make and explained how to avoid getting caught up in trademark infringements.
Watch the video in full below.
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