Legal rights over a faulty used car

My son purchased an Audi A4 Estate in November, 2014 from Car Giant. He did so on a HP agreement financed through Car Giant. He also purchased an RAC Warranty and GAP Insurance at the time of buying. The car had 95,000 miles on the clock and a full Audi dealership Service record. The car now has done 107,000 miles. Audi diagnosed a failure of a drive chain tensioner and has quoted £10,500 + VAT for repairs stating the car needs a new block and the catastrophic failure has wrecked the engine.

Where does my son stand legally please? Has he any rights under the Sale of Goods Act or the new Consumer Rights Act? Audi have declined to consider a sympathetic warranty claim. Audi admit the failed part is not a serviceable item.

Has my son any rights with the Hire Purchase Finance Company as isn't the vehicle in their ownership until the finance is paid off? I understand the sales RAC warranty only covered up to £2K worth of costs.

Asked on 7 November 2015 by shadow8

Answered by Honest John
Car Giant can only be held liable for any fault that might have been present or developing on the car when purchased for 6 months from date of purchase. The warranty only covered repairs up to a maximum of £2000. It could be that the GAP insurance covers it, so check the term of the GAP insurance. The new consumer legislation did not come into effect until 1st October 2015, and basically only allows a full refund for any faults found within 30 days of purchase. All the law and case law here: www.honestjohn.co.uk/faq/consumer-rights/ If you can't get anywhere, then talk to a member of www.fer.co.uk about replacing the engine with a reconditioned 2nd hand one. Obviously nuts to spend £10,500 on a new engine for a 107k mile A4.
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