Jiangsu Province’s First“Whole Automobile Replacement”Case

• Author: Ding Guofeng et al

In November 2009, Ren Caishen spent 210,000 RMB to purchase a car from Guanghaiyuan Auto Dealership in Yixiang Municipality. That winter, the new car cut out twice without apparent reason. Each time, the dealer only mended the car to ensure that it could be started, without investigating the cause of the problem. In March 2011, when the car cut out for the third time, the dealer replaced the gearbox of the car. In October 2011, when Ren and his family were driving on the highway, the car suddenly cut out after braking. As a result of the incident, the gearbox was replaced for a second time, and then a third time, when the car cut out again during a subsequent test drive.

Ren requested for a new car, on the ground of major defects in the car he bought. However, his request was rejected. He then approached a consumer protection group for assistance with no positive results. In November 2011, Ren filed a lawsuit against the retailer before the Yixiang City People’s Court, requesting the court to order the retailer to replace the car with a new one. He supported his case by saying that “sellers of other consumer products allow return of their products and full refund within 7 days of purchase without asking for supporting reasons, hence by analogy the defendant dealer should allow the car to be returned.” In its response, the defendant stated that it was an established industry practice to offer repair warranties, instead of promise that defective automobile be returnable. The attorney for the defendant emphasized that, since there was no agreement between the parties that defective automobile be returnable, and unlike sellers of other consumer products, Chinese law does not...