“Unfair and illegal”: used-car dealers challenge Jamaica warranty policy

Lynvalle Hamilton, president of the Jamaica Used Car Dealers’ Association, is heading to court to challenge what he calls an “unfair and illegal” Trade Board policy governing warranties on imported vehicles.

Hamilton, who owns Auto Channel Limited, says the policy forces certified motor-vehicle dealers to provide a specific warranty in circumstances where the Sale of Goods Act allows them to choose what warranty they offer. He told the Jamaica Observer that the measure has become a major setback for businesses.

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With this policy in particular, the Trade Board compels us to give a certain warranty and that is not consistent with the law, the Sale of Goods Act. This clearly gives us the right to choose the warranty that we want to give to the customer.

“With this policy in particular, the Trade Board compels us to give a certain warranty and that is not consistent with the law, the Sale of Goods Act,” Hamilton said. He argued that customers can rely on dealers’ expertise when choosing warranty terms, but the Trade Board policy requires a warranty on every occasion and dictates its form.

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This has to be challenged.

Hamilton also alleges that authorities blocked his certification because he refused to comply. He said the certification system was being used as a weapon against his livelihood, while other dealers were complying because they feared losing their businesses or becoming targets.

His attorney, Hugh Wildman, has filed the challenge in the Supreme Court. Wildman said the policy is difficult for dealers to follow and illegal because the Sale of Goods Act governs the sale of imported vehicles, including the warranty offered by the dealer. The Jamaica Gazette stated in 2014 that certified dealers must ensure warranties are not materially less than those offered by manufacturers.

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The Sale of Goods Act is what governs the buying and selling of goods.