Is it illegal for a car sales company to sell a car when they can't transfer ownership immediately?

In May I ordered a new car from an internet car broker who then went into liquidation and could not be contacted. Fortunately I paid the deposit by credit card and claimed my money back from the credit card company, but some customers apparently paid by debit card and may lose their deposits.

More worryingly, the car would have been pre-registered and would probably not have been registered to me for 3-6 months.

Asked on 15 September 2012 by JS, via email

Answered by Honest John

On 12-6-2012 in the case of Regina (House of Cars) v Derby Car and Van Contacts Ltd, HHJ Burgess ruled that it is a Misleading Omission under the Consumer Protection from Unfair Trading Regulations 2008/1378 (and therefore a criminal offence) not to warn a purchaser that they could be committing an offence under Section 43C of the Vehicle Excise and Registration Act 1994 if they buy a car that is not immediately registered to them as the keeper. The only way you could keep a car that was not registered to you would be if you were renting or leasing it. My advice is never to buy a car unless keepership is transferred to you as soon as the DVLA can do it.

Tags: legal advice registration transfer

Similar questions

How do I get a number plate for a car that has only ever had a private registration?

My partner will be looking to sell her car in the near future and is struggling to find out how to deal with number plates. She bought her current 2012 Corsa brand new. It has only ever had a private plate...

How do I transfer a cherised registration?

Three years ago my wife gave up driving through illness and I sold her car, which had a cherished number plate. I kept the number on a Retention Certificate but it was, of course, in her name as the owner...