I bought a car only to find out it has hidden defects. What should I do?

Many people have purchased a car that they thought was in perfect condition, but after a few months significant problems start to arise. In these cases, had they previously known this information, under no circumstances would they have bought the car or they would have at least offered a lower price.

The law protects us in these situations and we can file a civil law suit to claim the hidden defects.

What is considered a hidden defect?

The first thing to take into account is what the law considers a hidden defect.

It is interpreted as a serious problem hidden at the time of the sale and that either significantly decreases the value of the vehicle or makes it difficult to use.

In other words, it cannot be a defect that was visible at the time of purchase or does not considerably reduce the value of the car. It must be a defect that, had the buyer known about it, they would have decided not to purchase the vehicle or would have paid significantly less for it.

A broken engine head gasket for example may constitute a hidden defect due to a fault originating prior to the sale or a serious problem with the vehicle's gearbox.

On the other hand, should a windshield wiper not work correctly, this would not be considered a hidden defect that justifies the cancelation of the contract, since it is not a serious problem and can be easily fixed.

Proving the defect

Generally, it is highly recommended to provide an expert witness report explaining the condition of the vehicle, the severity of the fault and its origin.

What can I claim?

There are two options; the first would be to withdrawal from the contract and claim the entire amount paid for the vehicle and the second, to claim the costs of repairing the problem.

In addition, in the event the seller knew about the hidden defects and had not previously communicated them to you, you can also claim additional compensation.

Which steps should I follow?

It would be best to have an expert mechanic assess the defects and indicate their origins in order to determine the approximate value of their repair.

It is then highly recommended to contact the seller in writing, by sending a burofax with proof of delivery before the deadline to claim. This will “stop the clock” to give time to negotiate extrajudicially, and worst case, judicially. The burofax should detail what we want to claim, whether that be the cancellation of the contract and the entire amount paid or the costs of repairing the defect.

If the seller does not agree to the request and it is not possible to reach an agreement, we would need to file a lawsuit with the competent Courts. Together with the claim, we will provide the expert witness report proving the origin and value of the damages.

Deadlines to claim and the difference between a private seller and a company

The deadline for claiming hidden defects varies depending on whether the seller is an individual or a company/dealer, but is six months from the date you receive the vehicle.

If it is a private individual, thanks to the new Royal Decree-Law 7/2021, all second-hand vehicles purchased as of January 1, 2022 will have a one-year warranty (unless the contract expressly states that it is six months).

If the seller is a company, the guarantee is for two years (unless the contract expressly states that it is one year).

Nieto Jones, your trusted lawyers.

If you believe there are hidden defects in your recently purchased vehicle and want to claim them, contact us by phone at 610632963 or by email at contact@nietojones.com. We will be happy to review your case.