Fine for buying and selling vehicles without a licence (Majid Hussain Al Asadi)

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ConsumerMotor industry

A Thornlie man who bought and sold vehicles over a 16 month period without a dealer’s licence has been fined $5,000 by the Armadale Magistrates Court.

Majid Hussain Al Asadi had bought 35 vehicles at auction and then sold 18 of them privately on Gumtree between March 2015 and June 2016 while unlicensed, in breach of the Motor Vehicle Dealers Act. He was also ordered to pay costs of $601.50 on 2 May 2017.

Acting Commissioner for Consumer Protection David Hillyard said backyard car dealers are jeopardising consumers’ rights.

“Unlicensed dealers don’t offer warranties on their second-hand vehicles that are required by law, so consumers who have mechanical issues after their purchase from these illegal operators may find it difficult to get any redress,” Mr Hillyard said.

“The vehicles may also be sub-standard in quality and pose a safety risk to the occupants.

“The activities of backyard operators create an uneven playing field and undermine the integrity of the industry by taking away market share from licensed dealers who comply with the law.

“Consumers should not do any business with unlicensed motor vehicle dealers and report them to Consumer Protection.”

To obtain a motor vehicle dealer licence, a person has to complete an application form and provide a National Police Certificate and pay a fee. Applicants must complete a specified course by an accepted training provider and must show they can meet the obligations of the licence. More information is available on the Consumer Protection website.

Consumers can check whether a car dealer is licensed by doing a search on the Consumer Protection website: Unlicensed car dealers can be reported by emailing or by calling 1300 30 40 54.


Media contact (Consumer Protection)

Consumer Protection
Media release
04 May 2017

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