Claims over $10 000 |
If you have suffered a financial loss because of certain actions of a motor dealer, auctioneer or their employees you may make a claim against the Claim Fund.
Reasons for making claims
You can make a claim relating to a used motor vehicle if a motor dealer:
- does not properly deal with trust money
- does not guarantee clear title on a used motor vehicle, i.e. the used motor vehicle you purchase is encumbered or stolen
- buys a used motor vehicle that you place on consignment with them without disclosing their financial interest (beneficial interest) in the transaction
- does not return the refundable deposit or trade-in vehicle under the 24 hour cooling-off period provision
- does not put you back into the position you were in before you purchased the used vehicle if you avoided the contract, i.e. because they did not give you the cooling-off notice immediately before you signed the contract
- misrepresents a used motor vehicle in some way, such as the make or model, year of manufacture or distance travelled
- steals or misapplies property or money you give them as agent for someone else, e.g. they do not forward the stamp duty and transfer fees to Queensland Transport.
You cannot make a claim if:
- the motor dealer does not honour the statutory warranty on the used vehicle you purchase. The Queensland Civil and Administrative Tribunal handles these disputes
- a motor dealer steals or misapplies money in trust accounts after you authorise them to invest the money rather than leave it in their trust account
- a motor dealer does not disclose their relationship to a professional service provider that they recommend you use
- you are a licensee and have suffered a financial loss in the course of performing an activity, or carrying on business as a licensee, e.g. you are a motor dealer who loses money running your business or dealing with another agent
- you are a financier of a motor dealer´s business.
Try to settle the claim yourself first
Always try to settle the claim first with the licensee through the motor dealer´s complaint resolution process.
If you cannot resolve the dispute, then you can lodge a written claim with us.
Claims process
1. You lodge your claim with us
Complete a PAMD Form 50 - Claim against the claim fund (PDF, 163 KB). Give as much information about the motor dealer as possible. There is no fee to lodge a claim against the Claim Fund.
Tell us the names of the business' proprietors, as a business name is not a legal entity. To find out business or corporation proprietor names, purchase a business name extract from us.
On the form you must provide the business' name in this format:
- ABC Pty Ltd trading as XYZ Realty (if it is a company)
- John Smith trading as XYZ Realty (if it is a sole trader or partnership).
Time limit for making a claim
You must lodge a claim within one year of becoming aware of your loss, or within three years of the event that caused the loss (whichever is earlier). If legal proceedings are under way about the matter, you can lodge a claim within three months of the end of those proceedings, as long as the legal proceedings began within the time permitted to lodge a claim against the Claim Fund.
Extensions
We will decide if you made your claim within the correct timeframe. If you are late but have a valid reason, apply to the Queensland Civil and Administrative Tribunal (the Tribunal) for an extension.
2. We notify the motor dealer
If your claim is in order, we notify the motor dealer of your claim through a Claim Notice, and give them a chance to respond and settle the matter. They may try to contact you directly. If you accept a settlement, you and the motor dealer must notify us.
If you do not settle your claim, the motor dealer may give us their version of the facts within 14 days of receiving the Claim Notice. If you and the motor dealer cannot settle the claim within 28 days of them receiving the Claim Notice, give us written notice that you still wish to proceed with your claim.
3. We may investigate the claim
We may investigate the claim further to try to find more evidence if you and the motor dealer cannot settle.
If an investigation is requested, we send a copy of the Inspector´s Report to all parties and the Tribunal once it is completed.
We do not investigate all claims, so ensure you provide all the material you have when you first lodge your claim.
We refer all claims over $10 000 to the Tribunal for a decision. We send a copy of the claim file and Inspector´s Report (if applicable) to the Tribunal.
4. The Tribunal makes a decision
Once we refer a claim to the Tribunal, you must represent yourself as the applicant. We cannot represent you at the hearing.
When the Tribunal receives the claim, it schedules a directions hearing, which sets a timetable of events for the parties to prepare for the hearing.
When all the actions set out in the directions hearing have completed, the Tribunal sets a hearing date. The hearing is an opportunity for all parties to present evidence, and call and cross-examine witnesses.
All parties must attend the hearing, and prove their allegations and claims.
The Tribunal encourages parties to represent themselves at the hearing; however, you may engage a lawyer if the Tribunal approves.
If the motor dealer does not attend the hearing, the Tribunal can make a decision in their absence. The Tribunal will inform parties in writing of the decision.
The Tribunal may award costs against any party on grounds such as outcome, the parties´ conduct, the claim´s complexity, the claim´s relative strength and anything else the Tribunal considers relevant.
Read more about the Queensland Civil and Administrative Tribunal.
5. We pay the claim
If we or the Tribunal make a decision in your favour, it is subject to a 28-day appeal period during which any party may appeal to the Tribunal or higher. We cannot represent you in any appeal, and costs may be awarded against any party.
If neither party makes an appeal or an appeal is decided in your favour, we can pay you from the Claim Fund. We will not make any payment before the 28-day appeal period expires. After this time, you can expect payment within 21 days in most instances.
Appealing the Tribunal´s decision
If any party is unhappy with the Tribunal´s decision, they can appeal to the QCAT Internal Appeal Tribunal, but only on an error of law or jurisdiction. You must appeal within 28 days of receiving notice of the Tribunal´s decision.
If any party considers lodging an appeal to the QCAT Internal Appeal Tribunal or higher, we recommend that they seek independent professional legal advice. Either party may incur costs as a result of an appeal.
Last reviewed 21/11/2011 |
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