MIOSA supported the cancellation of the sale of a high-performance 2021 Toyota GR Yaris after the buyer discovered multiple defects shortly after taking delivery.
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The Motor Industry Ombudsman of South Africa (MIOSA) has backed the cancellation of a sale involving a high-performance 2021 Toyota GR Yaris after the buyer found significant defects, shortly after taking delivery. This included worn tyres, a cracked aftermarket exhaust, and the absence of a spare wheel or tyre repair kit.
The ruling comes after IOL reported that Moksham Soundarajan was unhappy with the R600,000 car he bought in July 2025 from WP Motors dealership in Cape Town.
According to the complaint lodged with MIOSA in August 2025, Soundarajan began noticing serious concerns after driving the vehicle roughly 420 kilometres.
He reported a strong smell of petrol and exhaust fumes entering the cabin, raising immediate concerns about the car’s safety and condition.
Soundarajan said he had been told by the dealership’s sales executive that the vehicle was fitted with run-flat tyres, making a spare wheel unnecessary. However, no spare wheel or tyre repair kit was supplied with the car.
An independent roadworthy inspection conducted on July 26, 2025, uncovered additional problems. The report found that both front tyres were severely worn on their inner edges and identified a crack in the aftermarket exhaust system.
Compounding the issue, the vehicle had previously been inspected by DEKRA on July 11, 2025, and was issued a roadworthy certificate. DEKRA later acknowledged that the certificate was granted due to human error.
Based on these findings, Soundarajan sought a full cancellation of the transaction and requested reimbursement of his trade-in value, all finance instalments, and insurance premiums paid in connection with the purchase.
WP Motors acknowledged the dispute and said it had initially offered to replace the two front tyres, repair the cracked exhaust, and pay R1,650 to repaint damaged wheel rims. The dealership said these proposals were rejected because Soundarajan insisted on cancelling the deal altogether.
The dealership also explained that, after attorneys became involved, both parties agreed in principle to cancel the sale. WP Motors proposed that the buyer repay the over-allowance of R103,312.52 granted on his trade-in vehicle, while also paying for the use of the vehicle based on the kilometres driven. The dealership further suggested charging R6,500 to collect the vehicle if the buyer did not return it himself.
After reviewing evidence from both parties, MIOSA found that the defects identified in the tyres and exhaust provided reasonable grounds to conclude that the vehicle did not meet the quality standards required under the Consumer Protection Act.
The ombudsman referred to Section 55(2) of the Act, which guarantees that consumers are entitled to receive goods that are of good quality, free from defects, and reasonably suitable for their intended purpose. MIOSA also cited Section 56(2), which allows consumers to return defective goods within six months of delivery at the supplier’s risk and expense.
Although DEKRA admitted that the roadworthy certificate had been issued in error, MIOSA found no evidence that WP Motors knowingly sold the vehicle with a fraudulent or improperly obtained certificate. As a result, no misconduct was attributed to the dealership on that basis.
When buying the car, Soundarajan traded in his 2019 Honda CR-V which was sold by the dealership during the dispute.
He complained that WP Motors had sold his trade-in vehicle despite his explicit instructions not to do so until the dispute was resolved.
However, the ombudsman dismissed Soundarajan's allegations. Instead, MIOSA found that once the dealership settled the outstanding finance and the relevant agreements were signed, the trade-in became the property of WP Motors and could be sold lawfully.