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Hi , I purchased a fresh import vehicle (first NZ registration) on the 15th drove it home (+/- 500km) on the 17th and the vehicle stopped never to go again . It has been established that the engine has ceased . The establishment from which I purchased the vehicle have agreed to repair/replace the engine BUT require me to (come to the party) pay an additional amount of $1500 on top of the agreed purchase price which was paid in full in cash there is also a question of fees for local mechanics to diagnose the problem .
Could you please advise me as to my and their legal obligations and what I should do .
Regards

The first priority is to establish the reason the engine seized.

If it can be clearly determined it was not your fault and the car was purchased from a Registered Motor Vehicle Trader (Dealer) then they have a responsibility to have the repairs carried out at no cost to you.

You are covered under the Consumer Guarantees Act (CGA) which states a vehicle must be fit for purpose at the time of sale.

If however, the cause of the engine failure was accidental (such as a holed radiator caused by a stone or similar thrown up from the road when you were driving the car creating a loss of water and subsequent engine overheat), then it could be put down to bad luck and you would be responsible for all repair costs.

You need to ask the Dealer concerned what they are basing their decision on. You should also retain possession of the vehicle at this stage.

A call to the Motor Vehicle Disputes Tribunal may also be beneficial. That number is 0800 367 6838.