My new car has a serious safety defect. Can the manufacturer be forced to recall it?

What the Law Says

The Australian Consumer Law (ACL), which forms Schedule 2 of the Competition and Consumer Act 2010 (Cth), gives the ACCC strong powers to require manufacturers to recall unsafe goods — including motor vehicles — where there is a serious safety defect.

A 'serious safety defect' means a problem that could cause death or serious injury, or has already done so. The ACL does not require proof that harm has occurred — only that the risk is real and significant.

Under section 132 of the ACL, the ACCC may issue a recall notice if it is satisfied a product has a serious safety defect and the supplier has not taken appropriate action. The notice can require the supplier to recall the product, notify consumers, and offer remedies such as repair, replacement or refund — all at no cost to the consumer.

Once a recall notice is issued, the supplier must comply within strict timeframes: notify the ACCC of the defect within 10 days of becoming aware of it, and submit a detailed recall plan within 30 days.

Statutory Text

The ACCC may, by notice in writing, require a person who supplies goods to the public to recall the goods if the ACCC is satisfied that the goods have a serious safety defect.

— Australian Consumer Law, s.132 — Recall of goods with serious safety defects

Statutory Text

A person who supplies goods to the public must, within 10 days after becoming aware that the goods may have a serious safety defect, give written notice of the matter to the ACCC.

— Australian Consumer Law, s.131 — Notification of possible serious safety defect

What to Do

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