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Company director disqualified for not protecting customers

Posted: 26th July 2016   In: Corporate Commercial

A director of a used car business has been disqualified for seven years for breaching consumer protection laws.

Imran Khadam, was a director of Revolution Motors Limited in Oldham. The company went into liquidation in 2013.

An investigation by the Insolvency Service found that the company had conducted its business in a manner that was to the detriment of, or not in the best interests of, its customers. It also discovered that Mr Khadam persistently breached consumer protection legislation, despite receiving advice from Trading Standards.

The Insolvency Service said that Revolution Motors misled customers by providing incorrect and insufficient information about vehicles. The company also omitted details and provided information in an unclear, unintelligible or ambiguous manner, in breach of the consumer protection from Unfair Trading Regulations 2008.

Additionally, the company breached the Sale of Goods Act 1979 by selling vehicles that were not as described, of satisfactory quality or fit for purpose and employed terms and conditions that breached the Unfair Terms in Consumer Contracts Regulations 1999 by attempting to exclude liability and restrict consumer’s legal rights.

The company also failed to deal with complaints received from customers, and of the company’s liabilities of £198,780 at liquidation, £81,485 related to losses incurred by customers as a result of the company’s breaches of consumer protection legislation.

Please contact Sarah Liddiard about the issues raised in this article or any aspect of consumer law and business regulations.

Posted by: Sarah Liddiard
Corporate Commercial
Luton Office