Hidden Defect in a Used Car

Buying a used vehicle can be a great deal, but it's essential to be aware of potential pitfalls, including hidden defects. A hidden defect is a flaw that is not apparent at the time of purchase, which makes the item unsuitable for its intended use or significantly reduces its usability such that the buyer would not have acquired it or would have paid a lower price if they had known about it.

WHAT IS A HIDDEN DEFECT?

A hidden defect is defined by a discrepancy between the actual condition of the vehicle and the condition it should have been in at the time of sale. This includes serious issues like engine problems, transmission issues, or structural failures that are not visible at first glance but affect the use and safety of the vehicle.

BUYER'S RIGHTS

When a buyer discovers a hidden defect, they have several rights under the Swiss Code of Obligations (Articles 197 - 201 CO):

• Price Reduction: The buyer can request an appropriate reduction in the purchase price.

• Contract Rescission: The buyer can return the vehicle and demand a refund, with compensation for the use already made of the vehicle (such as the mileage driven).

• Compensation: In cases of intentional misconduct by the seller, the buyer can also claim damages.

BUYER'S DUTIES

The buyer also has obligations to be able to invoke the warranty for hidden defects:

• Immediate Claim: The buyer must immediately check the condition of the vehicle upon receipt and promptly make a claim for apparent defects, usually within three days.

• Claim for Hidden Defects: For hidden defects, the claim can be made throughout the legal warranty period but must be made immediately after discovering the defect.

LEGAL WARRANTY VS. COMMERCIAL WARRANTY

Legal and commercial warranties offer different levels of protection:

• Legal Warranty: It covers hidden defects for 24 months after the delivery of the vehicle. It can be reduced to one year for used vehicles or completely excluded if explicitly mentioned in the purchase contract.

• Commercial Warranty: Voluntary and contractual, this warranty can cover specific repairs for a certain period or mileage. However, it does not automatically replace the legal warranty unless explicitly mentioned in the contract.

WARRANTY CLAUSES IN THE CONTRACT

It's crucial to read the sales contract carefully to understand the warranty clauses. Here are some common formulations:

• Exclusion of Legal Warranty without Commercial Warranty: "All legal warranties are excluded, including repair and restitution. A commercial warranty is not provided."

• Exclusion of Legal Warranty with Commercial Warranty: "The legal warranty (including purchase price reduction and restitution) is excluded and replaced by the following commercial warranty (specify details)."

HOW TO AVOID HIDDEN DEFECTS

Thanks to SellYourCars' Car-Check, it's possible to avoid these inconveniences. This verification service allows for the detection of potential hidden defects before purchase, ensuring a secure and transparent transaction.

CONCLUSION

When buying or selling a used vehicle, it is essential to clearly understand the warranties offered and to carefully review the sales contract. In the event of discovering a hidden defect, it is crucial to act quickly to assert your rights. Knowing the difference between legal and commercial warranties helps avoid many issues and ensures a safer, more transparent transaction.

For more details, refer to the articles of the Code of Obligations and consult an expert if in doubt. And remember, with SellYourCars' Car-Check, you can buy with confidence.

More information about the Car-Check : https://sellyourcars.ch/en/guides/car-check-the-professional-inspection-that-optimizes-your-sale

WANT TO SELL YOUR CAR TRANSPARENTLY?

https://sellyourcars.ch/en/vendre