Latest news with #CraigWhelan
Irish Daily Mirror
07-07-2025
- Automotive
- Irish Daily Mirror
Irish motor industry given warning by consumer watchdog
The Irish motor industry has been told to stop limiting consumer choice, by the State competition watchdog. The Competition and Consumer Protection Commission (CCPC) said it had received reports from motorists who have been prevented or discouraged from having their vehicles serviced or repaired at independent garages. In an industry-wide letter, the agency has reminded the sector that, by law, consumers cannot be prevented from freely choosing who services or repairs their vehicles, or what parts they use. The CCPC said some motorists claim to have been told that their warranty will be void if they have their vehicle serviced or repaired outside an authorised dealership network, or if they use non-original or non-manufacturer supplied spare parts. Non-original spare parts can be used in repairs not covered by the vehicle warranty without the warranty being affected, so long as they are of "matching quality" with the originals. Others claim to have been blocked from using independent garages because of restricted access to essential diagnostic data or tools which were not made available by the manufacturer or distributor. The CCPC said such practices can break competition law, drive up prices, limit choice, and harm both consumers and independent garages. The watchdog is seeking information from distributors of motor vehicles in Ireland and has urged them to review and, if necessary, amend any arrangements they have in place. On a non-criminal basis, the CCPC may impose administrative financial sanctions on businesses and associations of undertakings of up to €10 million, or 10 per cent of its annual worldwide turnover, whatever is greater, for breaches of competition law. Alternatively, more serious breaches of competition law, including cartel behaviour, may be prosecuted as criminal offences, and fines of up to €50 million, or 20 per cent of a business's annual worldwide turnover, may be imposed by the court upon conviction on indictment. While formal proceedings have not been instigated against any particular firm, the CCPC has emphasised that it will take action if illegal practices are identified. Additionally, the CCPC has informed independent garages of their right to freely repair vehicles, to use non-original spare parts which are of a matching quality, and to access repair and diagnostic tools. Craig Whelan, director of antitrust at the CCPC, said: "Motorists must be free to choose where they service their vehicles and what parts they use without fear of losing their warranty. "Independent garages must not be blocked from accessing essential diagnostic data or tools. "These restrictive practices hurt consumers, stifle competition, and unfairly advantage authorised dealerships." Motor vehicle importers and the main distributors across Ireland have been given until Wednesday August 6 to make a submission to the CCPC after they have reviewed their own arrangements.
Irish Examiner
07-07-2025
- Automotive
- Irish Examiner
Consumer watchdog vows to crack down on motor industry
Ireland's consumer watchdog has vowed to take action against the motor industry for 'anti-competitive practices', such as telling customers their warranty will be void if they go to independent garages for repairs. The Competition and Consumer Protection Commission (CCPC) has written an industry-wide letter to say that consumers must not be prevented from freely choosing who services or repairs their vehicles, or what parts they use. While they have not yet issued formal proceedings against any company, the CCPC said it stands ready to act if illegal practices are identified. 'Motorists must be free to choose where they service their vehicles and what parts they use without fear of losing their warranty,' its director of antitrust Craig Whelan said. "Independent garages must not be blocked from accessing essential diagnostic data or tools." These restrictive practices hurt consumers, stifle competition, and unfairly advantage authorised dealerships. The CCPC said its action was prompted by contacts made to its helpline and complaints mailbox. This included that a warranty on a vehicle had been declared invalid because a consumer got it repaired at an independent garage outside of the brand's network of 'authorised repairers'. It also said that motorists had been warned their warranty would be made void if non-manufacturer supplied parts were used in routine maintenance or repairs. Furthermore, it said certain independent mechanics are unable to repair or service vehicles because they cannot access repair and diagnostic tools and onboard diagnostic data for some cars on Irish roads. Restrictions on competition 'leads to higher prices' Mr Whelan told the motor companies: 'Restrictions on competition between independent repairers and authorised repairers leads to higher prices and lower quality of service for motorists. 'The invalidation of warranties on the basis of getting a vehicle serviced or repaired outside the brand's authorised repairer network further results in increased costs for motorists as they may have to pay out of pocket for repairs that may otherwise have been covered under the vehicle's warranty.' He said the CCPC has the power to take enforcement action against businesses suspected of engaging in these practices with the power to dish out fines stretching into tens of millions of euro. The motor companies have been told to review the agreements they have in place to ensure they do not result in 'anticompetitive conduct'. If the arrangements they do have do constitute this, they should seek to have them amended or revised. 'You should engage with your authorised repairers to ensure that motorists engaging with your partners are not mistakenly led to believe that their warranty may be at risk if they were to use independent repairers or non-original spare parts for routine maintenance and repairs not covered by the vehicle warranty,' Mr Whelan added. The CCPC is also telling independent garages they have the right to freely repair vehicles, use non-original parts which are of a matching quality and to access repair and diagnostic tools. It urged any such garages to report unfair experiences, such as being prevented access to diagnostic data or tools, to the CCPC.
RTÉ News
06-07-2025
- Automotive
- RTÉ News
Competition watchdog issues warning over car sales and repair practises
The Competition and Consumer Protection Commission (CCPC) has issued a warning to the Irish motor industry following reports of anti-competitive practices in the sale, maintenance, and repair of vehicles. In an industry-wide letter sent late last week to car manufacturers and dealerships it received complaints about, the CCPC reminded them that under competition law consumers must not be prevented from freely choosing who services or repairs their vehicle, or what parts they use. The warning follows complaints from motorists who claim they have been prevented or discouraged from getting their vehicles serviced or repaired by independent garages. In some cases, motorists claim to have been told that their warranty will be void if they have their vehicle serviced or repaired outside an authorised dealership network, or if non-original or non-manufacturer-supplied spare parts are used. Others claim to have been blocked from using independent garages, due to restricted access to essential diagnostic data or tools, which were not made available by the manufacturer or distributor. Such practices can break competition law, according to the CCPC. The CCPC said these practices drive up prices and limit choice, harming consumers and independent garages. The letter was also sent to independent dealerships and garages, as well as the industry representative group: the Society of the Irish Motor Industry (SIMI). The CCPC says it has informed independent garages of their right to freely repair vehicles and use non-original spare parts that are of a matching quality, as well as to access repair and diagnostic tools. The consumer agency is seeking information from distributors of motor vehicles in Ireland and has urged them to review and, if necessary, amend any arrangements they have in place. It gave a deadline of 6 August for information to be submitted. No formal proceedings have been instigated against any motor dealer over the issue so far, but the CCPC said it will take action if illegal practices are identified. Under competition law, motorists may bring their vehicle to an independent garage of their choosing to get their vehicle serviced or repaired without it affecting their warranty, so long as this work is done by a competent individual. Similarly, non-original spare parts can be used in repairs not covered by the vehicle warranty without the warranty being affected, so long as the parts are of "matching quality" to original spare parts. "Motorists must be free to choose where they service their vehicles and what parts they use without fear of losing their warranty," Director of Antitrust at the CCPC Craig Whelan said. "Independent garages must not be blocked from accessing essential diagnostic data or tools." Mr Whelan added that "these restrictive practices hurt consumers, stifle competition, and unfairly advantage authorised dealerships. "We will continue to monitor this issue closely and will take appropriate enforcement action where we believe competition law has been breached." The CCPC is urging independent garages to report any experiences of unfair restrictions, including being prevented from accessing essential diagnostic data or tools, by emailing antitrust@ or calling the helpline on 01 402 5555. The watchdog can impose financial sanctions on businesses of undertakings of up to €10 million, or 10% of its annual worldwide turnover (whatever is greater), for breaches of competition law. Alternatively, more serious breaches, including cartel behaviour, may be prosecuted as criminal offences and fines of up to €50 million, or 20% of a business's annual worldwide turnover (whatever is greater), can be imposed.
Irish Times
06-07-2025
- Automotive
- Irish Times
Motor dealers face fines of €50m for blocking car owners' use of independent garages
Motor dealers could face fines up to €50 million for trying to stop drivers using independent garages for maintenance and repairs, competition regulators will warn on Monday. The Competition and Consumer Protection Commission (CCPC) is writing to the Republic's motor industry threatening to clamp down on terms in guarantees discouraging drivers from choosing where they get their cars repaired or which spare parts they use. Conditions that void guarantees on vehicles if owners do not go to authorised dealerships for servicing and repairs, or if they buy spare parts not made by their cars' manufacturers, could break competition law, a letter from Craig Whelan, the CCPC's director of antitrust will set out. Serious breaches of competition law could result in prosecution and fines of up to €50 million, or 20 per cent of a firm's turnover, whichever is the higher, on conviction by a jury. READ MORE On a 'non-criminal basis' the commission itself can impose penalties up to €10 million on companies or groups of associated businesses, the correspondence will explain. 'Restrictions on competition between independent repairers and authorised repairers leads to higher prices and lower quality of service for motorists,' Mr Whelan says. The CCPC has the power to investigate suspected breaches of competition law, resulting in prosecution, or in imposing its own financial penalties which it must get the High Court to confirm. Mr Whelan maintains that terms invalidating guarantees – where a vehicle owner goes to an independent garage instead of the manufacturer's authorised dealer – increase costs because a motorist must then pay for repairs that guarantees would otherwise cover. The commission notes that these practices boost prices, limit choice, and harm consumers and independent garages. 'These restrictive practices hurt consumers, stifle competition, and unfairly advantage authorised dealerships,' Mr Whelan will say in a statement on Monday. The commission will urge motor distributors to review and, if required, change their practices to ensure they comply with competition law. It will assure independent garages that they can freely repair vehicles, use non-original spare parts where quality matches the manufacturer's, and access repair and diagnostic equipment. The commission will ask independent garages to report instances where dealers deny them access to essential tools or diagnostic information. Complaints from motorists and garages prompted Monday's warning to the industry. Drivers have said authorised dealers and repairers have warned them their guarantees would be voided if routine services or repairs not covered under the vehicle warranty were carried out at an independent garage. They have also reported that dealers told them their guarantees would be voided if non-manufacturer supplied spare parts were used in routine maintenance or repairs. Independent garages complained they could not get access to tools or to some on-board data, which helps track and identify problems, preventing them from working on those vehicles. While the commission has not taken proceedings against individual businesses, it warns that it will act where it identifies illegal practices. 'We will continue to monitor this issue closely and will take appropriate enforcement action where we believe competition law has been breached,' it will say.
