ACCC sues LDV over rusty utes
The ACCC said it instituted proceedings in Federal Court against Ateco Automotive, the importer of LDV utes, alleging that the cars turned rusty when driven as advertised.
A statement published by the ACCC claims LDV made 'misleading representations to consumers about the durability and suitability of particular models of LDV branded vehicles in breach of the Australian Consumer Law'.
'The ACCC alleges that those vehicles had a propensity to rust or corrode within five years of being manufactured,' it says.
The ACCC says LDV 'made misleading representations' about the T60 ute and G10 van, by claiming they were 'durable and tough, and that they were suitable for use in, near, or on, a variety of environments and off-road terrains'.
Advertising and marketing material showing cars driving in wet and muddy areas also misled customers about the car's capabilities, according to the ACCC.
The government body said LDV received more than 5000 customer complaints regarding rust or corrosion between 2018 and 2024.
Advertising for the model included statements such as 'The T60 is up to any challenge you care to take on – work or play, on-road or off … It turns the toughest tracks into a walk in the park', and 'Why take a long walk on the beach when you could take a drive in the LDV T60 Ute?'
ACCC chair Gina Cass-Gottlieb said 'a new car is a significant financial purchase, and consumers rightfully expect that the vehicle they purchase will live up to the quality and uses that it was advertised to include'.
'We allege that despite being aware of the propensity for the vehicles to rust, LDV continued to make representations for a number of years that the T60 and G10 vehicles were durable and suitable for use in a variety of terrains,' she said.
'As a result, we allege that LDV's conduct is likely to have caused harm to affected consumers, including because the propensity for rust or corrosion lowered the value of their vehicles, and because consumers lost the opportunity to make an informed decision that may have involved purchasing an alternative vehicle that did not carry the same risks.'
LDV Australia says it 'acknowledges the announcement today by the Australian Competition and Consumer Commission in relation to the commencement of proceedings against LDV Australia in the Federal Court of Australia'.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
AU Financial Review
an hour ago
- AU Financial Review
Australia's critical minerals dream finds support from unlikely source
Chinese lithium pioneer Tianqi is backing Australia's dream of becoming a critical minerals processing powerhouse, saying its refinery for the battery metal in Western Australia has a bright future despite its partner in the project writing it off. Tianqi chief executive Frank Ha dismissed fears from the ASX-listed co-owner of the Kwinana lithium processing facility, IGO, that the $1 billion operation was doomed to failure and attributed the gloomy outlook to the Australian company's short-term view.
Perth Now
2 hours ago
- Perth Now
Australia's ‘critical' offering to the US
Australia is key to Donald Trump's goals of weaning the US off cheap Chinese critical minerals, Australia's envoy in Washington says. Critical minerals are just that – minerals, such as lithium, vital for manufacturing advanced technologies, from smartphones and cars to wind turbines and defence systems. Currently, China dominates the space, but Australia has emerged as a challenger, ruffling some feathers in Beijing. Because of their importance to modern tech, Western countries are increasingly viewing critical minerals as a matter of national security and scrambling to bolster sovereign stockpiles and production. In an interview overnight, Australian Ambassador to the US Kevin Rudd said that Xi Jinping's 'ideology' on China's long-term economic development was 'to ensure that the world is dependent on China while China is not dependent on the world'. 'And that in a nutshell is what we see across the whole breadth of industrial policy, from semiconductors through to critical minerals and rare earths,' the former prime minister told the Center for Strategic and International Studies. Australian Ambassador to the US Kevin Rudd says Australia is key to breaking China's grip on critical minerals. Martin Ollman / NewsWire Credit: News Corp Australia Boasting mineral reserves that 'more or less equals the periodic table' and an advanced mining sector, Mr Rudd said Australia was well-placed to help break the dependence on China. 'Geology has been kind to us,' he said, adding that Australia is 'an ancient continent'. 'We have the best mining companies in the world and the biggest mining companies in the world, some of whom have just been meeting with President Trump here in Washington, DC., as well as a whole depth of technical expertise represented in the research faculties of our major universities. 'So put together the geology … put together our processing capacity … and put together the depth and breadth of our mining expertise, I think we're well-placed to assist in diversifying the supply chains, creating resilient supply chains, and helping the United States, under President Trump's leadership, meet his requirements for a resilient America when it comes to critical minerals and rare earths.' Australia's emergence as a competitor in the sector has not gone down well in Beijing. Despite the Chinese President's warm words to Anthony Albanese in July about fair and open trade, his government's actions have made clear that extends to Australian lobsters rather than Australian minerals. Since 2022, Australia's leading producer Lynas Rare Earths has been subjected to a relentless Chinese disinformation campaign targeting its operations both within Australia and abroad. It has not deterred efforts to grow Australia's presence, driven in large part by the defence industry. Mr Rudd said critical minerals should be viewed as 'defence goods', pointing to the tons used in the nuclear-powered submarines Australia is set to get under AUKUS. He said the American-made Virginia-class 'contains within it something like 4.5 tons of critical minerals, rare earths, highly processed'. 'You go to an F-35, you're looking at a high proportion of the actual aircraft itself being derivative of advanced process to rare earth,' he continued. 'So whether we like it or not, the reality is the sharpest edges of what we do in the military hang off the availability of critical minerals in rare earths supply, as well as processed critical minerals in rare earths, as well as critical ... derivatives, such as magnets. 'So I think what President Trump is seeking to do … is trying to find how this now plays into a secure supply chain the United States. 'And as a US ally, we are ready and able to help, and we have the capacity to do so.'
Sydney Morning Herald
3 hours ago
- Sydney Morning Herald
Two-hatted Melbourne Chinese restaurant is bringing its cult eggplant to Sydney
A near carbon copy of chefs' hatted Melbourne restaurant Lee Ho Fook will open in Sydney next month, its arrival coinciding with a mini boom in Chinese restaurants in the Harbour City. The two-hatted Lee Ho Fook will land at Castlereagh Street in the Sydney CBD, hot on the heels of Grandfather's, a late-night Chinese restaurant near Martin Place from the team behind Clam Bar, and Potts Point's Young's Palace, which both open this week. It'll be something of a homecoming for Lee Ho Fook's owner-chef, Victor Liong, who grew up in Sydney before opening the award-winning Lee Ho Fook in 2013. The Homebush-raised chef said he knew he'd found Lee Ho Fook's Sydney home when he walked into the Dixson & Sons restaurant at Porter House. 'We're in an old wool store in Melbourne, the building in Sydney (a heritage listed former tobacco factory) was built around the same time, there's the same exposed brick,' Liong said.
