Car maker to amend booking rules

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ISLAMABAD : Suzuki Pakistan has agreed that the price of cars will not be changed at the time of delivery except for the change in government taxes and levies following objections raised by the Competition Commission of Pakistan (CCP).

 

Previously this right was enjoyed by car manufacturers as they could have changed the price anytime before the delivery of the car to customer.

 

The changes have been made by Pak-Suzuki Motors in the booking terms and conditions, giving more rights to the customers. The CCP appreciated the Pak-Suzuki for resolving the issue in compliance with the provisions of the Competition Act.

 

One of the most serious customer concerns in Pakistan had been the one sided ‘Booking Order’ issued by car manufacturers for purchase of a new car. The terms and conditions at the time of booking a car are all in favour of the manufacturers.

 

A CCP scrutiny of booking order revealed that terms and conditions mentioned appeared to be unfair trading conditions imposed on customers in terms of Section 3(3) (a) of the Competition Act, 2010.

 

As the CCP shared the concerns with Pak-Suzuki Motor Company Limited and Indus Motor Company Limited, the former promptly responded to address the concerns raised and revised the terms and conditions of its booking order.

 

The terms and conditions which have been rectified by Pak Suzuki include the right of cancellation of booking which was not available to customer before and change in design and specifications without notice to customer only to the extent of minor changes as the car manufacturers were earlier enjoying arbitrary right to change design and specifications without notice to customers.

 

Similarly, price of car will not be changed at the time of delivery except change in government taxes and levies instead of right of car manufacturer to change the price anytime before the car is delivered to customer.

 

In case the car manufacturer cannot make available the colour chosen by the customer at the time of booking, the customer would be given choice of two colors available at that time and if still car is not made available in one of selected colours, the customer would have the right of cancellation without any penalty.

 

Further, in case of dispute the customer has been given right to take the matter to an arbitrator instead of accepting conclusive decision by the Chief Executive Officer of the company.

 

On the other hand Indus Motor Company Limited, which has been issued show cause notice, has requested the Bench to revise the terms and conditions of its booking order.




Courtesy:  Nation


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