Allan Patterson and Cynthia Patterson, trading as Cohuna Car Sales - Court action

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3 May 2013
Court actions

Licensed motor car traders (LMCTs) Allan and Cynthia Patterson, trading as Cohuna Car Sales, have given undertakings to the Victorian Civil and Administrative Tribunal after contravening the Motor Car Traders Act 1986.

In 2012, Consumer Affairs Victoria inspectors found that the business, which displays cars for sale at three premises in Cohuna, had allegedly:

  • failed in some instances to record disposal details for vehicles as required by the Motor Car Traders Act 1986
  • failed in some instances to ensure that acquisition entries were signed in the dealings book as required by the Motor Car Traders Act 1986
  • engaged in consignment selling by offering to sell and having a vehicle in its possession for the purpose of selling as an agent for someone who is not an LMCT or a special trader
  • failed to properly transfer the ownership of 32 vehicles into the consumers’ names as required by the Road Safety Vehicles Regulations 2009
  • offered or displayed used cars for sale without the prescribed notices/forms attached.

At a disciplinary inquiry, the Victorian Civil and Administrative Tribunal (VCAT) found that it was satisfied with Consumer Affairs Victoria’s grounds for taking action against the business. VCAT made orders by consent against the couple.

Allan and Cynthia Patterson gave an undertaking to VCAT to:

  • ensure Cohuna Car Sales’ dealings book is current, complete and accurate
  • conduct twice weekly inspections on all displayed vehicles to ensure they have the appropriate form attached
  • ensure the appropriate form is signed by the buyer and retained with the contract of sale
  • give VicRoads completed applications for registration transfers, duty and transfer fees and evidence that Roadworthy Certificates have been obtained within 14 days of the sale
  • commission certified practising accountants to inspect the business to ensure they are complying with the terms of the undertaking.

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