Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Government Drives Vehicle Sales Bill

15 November 2001

This Government is committed to a better deal for people buying cars and support for motor vehicle dealers who protect consumers.

Consumer Affairs Minister Jim Anderton and Commerce Minister Paul Swain tabled today in Parliament the Motor Vehicle Sales Bill.

“The current Motor Vehicle Dealers Act 1975 is outdated, overly prescriptive, and no longer meets the needs of consumers or the industry. A particular problem was that the restrictions, costs and procedures created a strong incentive for traders to evade the law. These dealers could avoid their obligations under consumer law, such as the Consumer Guarantees Act. Insignificant levels of enforcement made this a low risk way to operate”, said Paul Swain.

“The key features of the new Bill include the establishment of a registration system covering all motor vehicle traders, the ability to ban unsuitable persons from involvement in the trade, accurate information on which consumers can base their decisions, credible and accessible redress through reform of the Motor Vehicle Disputes Tribunal, strong incentives for compliance by traders, and considerably strengthened enforcement,” said Jim Anderton.

“By establishing a more simplified and less onerous registration system covering aIl persons who are in the business of trading in motor vehicles including car market operators, car auctioneers, wholesalers and importers we will be extending the coverage of the law to all motor vehicle sales, except private sales.

“Compliance costs for existing licensed traders will be reduced and spread across the industry.

“The Bill also contains provisions to remove unsuitable people from the trade and ensure that inappropriate persons are prevented from entering the industry.

“Enforcement is significantly strengthened and there will be increased penalties for unregistered trading. A dedicated enforcement unit will be established in the Operations Branch of the Ministry of Economic Development”, said Paul Swain.

“Money owing on vehicles from previous owners must be disclosed in the new window card. Failure to do so will make the registered seller liable for any undisclosed security interests. All persons acting in trade must be registered and these safeguards will provide an increased significant protection for consumers,” said Jim Anderton.

Jim Anderton said, “A new Consumer Information Standard will require better information to be provided than the current window notice including a statement as to whether there is money owing on the car.

“All traders offering vehicles for sale in trade, all sellers at car fairs including private sellers and auctioneers will be required to display the notice attached to the window of the card.

“The Ministry of Consumer Affairs has recently consulted on the proposed content for the Standard. It is intended that it will come into force on the same date as the bill” said Jim Anderton.

“This Bill will do much to promote a better market for the trade in motor vehicles. It will benefit honest vehicle dealers and all car buyers”, said Paul Swain.

The Bill will be sent to the Commerce Select Committee after its first reading. A copy of the Bill is available from Bennetts Government Bookshop.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Werewolf: What Does Winston Peters Want His Legacy To Be?

A lot of people in New Zealand seem to resent Winston Peters and the power that he appears to have. “Appears” being the operative word. In reality, Peters will have power only up to the point that he uses it.

By next week, he’ll have become just another junior player in an MMP governing arrangement, battling to hold onto the gains he was promised. More>>


Rising Toll: Road Safety Needs To Be A Higher Priority

Official advice released to the Green Party under the Official Information Act shows that the previous National Government dismissed an option to make road safety its most important transport priority after being told the road toll was rising. More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election