Authorized specialists have mentioned that current legal guidelines are ample to guard customers, due to this fact there isn’t any must rush the lemon legislation which is being thought-about for automobiles patrons, reported The Star.
Present client safety legal guidelines, such because the Sale of Items Act 1957, Client Safety Act 1999 (CPA), Contract Act 1950, Management of Provides Act 1961, and Rent Buy Act 1967 may very well be strengthened to reinforce client safety, in keeping with former president of the Malaysian Bar Salim Bashir who led the Bar Council from 2020 to 2021.
Whereas these legal guidelines supply customers recourse for faulty items, particular provisions required amendments for higher safety, Salim mentioned. “It’s crucial to fine-tune current legal guidelines by means of amendments with out introducing a brand new lemon legislation in Parliament,” he mentioned.
Earlier this month, the ministry of home commerce and price of dwelling (KPDN) launched two interim methods geared toward defending customers concerning the precise to say compensation for faulty or defective merchandise – significantly for motorcar purchases – earlier than a brand new authorized framework earlier than the proposed lemon legislation is finalised, in keeping with its minister Armizan Mohd Ali.
A number of shortcomings had been highlighted by Salim, specifically the absence of a transparent definition of merchantable high quality as said underneath Part 16 of the Sale of Items Act. Whereas the CPA affords supplementary client safety, the act additionally permits events to override client rights by means of particular agreements which weaken its effectiveness in some instances, Salim added.
On this, Salim cited the case of Puncak Niaga Sdn Bhd v NZ Wheels Sdn Bhd in 2012, wherein the courtroom voided the contract over a faulty automotive that failed to satisfy acceptable high quality requirements underneath Part 12 (2) of the Client Safety Act.
Part 51 of the CPA didn’t supply redress in opposition to producers if defects arose from exterior components after the product has left the manufacturing unit, and the CPA additionally didn’t enable curiosity teams to file lawsuits on behalf of customers, thus limiting collective motion.
In the meantime, Datuk Abdul Fareed Abdul Gafoor, who can also be a former Bar Council president, voiced his help for a lemon legislation particularly for automobiles. Whereas the CPA and Sale of Items Act supply some client safety, they lack specifics in addressing recurring automobile defects which go away customers with out clear cures.
Abdul Fareed, who led the Malaysian Bar from 2019 to 2020, highlighted the absence of guarantee requirements and restore cut-off dates, which frequently left customers ready for prolonged intervals for repairs with out a correct framework for claiming damages. “We’d like clearer guarantee requirements and cheap restore cut-off dates,” he mentioned.
The facility disparity between customers and enormous automotive firms complicates efforts for a client to claim their rights underneath the CPA, the place negotiating repairs of refunds may very well be tough, resulting in dissatisfaction and disputes.
A lemon legislation usually shifted the burden of proof to the producer as soon as a automobile was deemed faulty, forcing firms to behave in good religion whereas offering stronger client safety with out extended authorized battles, Abdul Fareed mentioned.
“Introducing a lemon legislation will supply clearer cures and shift the burden of proof to producers, giving customers extra safety,” Abdul Fareed mentioned.
Whereas there are positively potential advantages of a lemon legislation, he warned of unintended penalties corresponding to elevated litigation and better prices for each companies and customers. “Cautious implementation with clear pointers is important to steadiness client rights with enterprise pursuits and keep away from a adverse financial influence,” he added.
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