Classic cars: No MOT, no problem? – London Business News | Londonlovesbusiness.com

David Stedman, a lawyer specialising in classic car disputes, looks at how useful MOTs are when purchasing a classic car.

Those in the industry will know that there is an MOT exemption for classic cars if they were first registered over 40 years ago and where there have been no substantial changes made in the last 30 years.

Some classic car owners choose to voluntarily get an MOT test to show road worthiness, but it is hardly surprising that these can often end in failure bearing in mind current standards. The failure may then be a millstone around the classic’s neck. Some owners choose not to do so at all – classic cars generally travel fewer miles than the average car and are generally well cared for by enthusiasts and investors.

However, after buying a classic car, an uninformed purchaser may later become aggrieved when they discover that it has failed previous MOT tests (or future ones) and is not, in their mind, ‘road worthy’.

This sometimes leads to claims against sellers (or restorers) for breach of contract or misrepresentation, with a reliance on such MOT tests as evidence.

The legal position is not simple. If bought privately, the general rule will be ‘sold as seen’, with little protection for any purchaser. The same is likely to apply to classic cars bought at auction, where detailed terms and conditions will apply.

If bought from a dealer, a consumer will have the statutory protections set out in the Consumer Rights Act. One such protection afforded by that Act is that a vehicle must be fit for purpose.

When a modern car is purchased, its purpose is usually as a passenger vehicle to be driven on the road, and to do that it needs an MOT to be road worthy. If, shortly after purchase, the vehicle fails an MOT or work is needed for it to pass, a breach of contract may be established and a consumer may be able to return the vehicle.

Where a classic car is involved, the position is not so straightforward: the ‘purpose’ of a classic car can vary.

When considering whether a classic car is ‘fit for purpose’, the key evidence may be the way in which the classic car was advertised or presented, or even its price (the courts recognise that a purchaser paying less for a restoration project cannot have expected the vehicle to live up to ‘concours standard’ or be used for that purpose).

Perhaps the classic was described as “a glorious car on which to hit the open road” or “with many more miles ahead on the road” or “road ready”. That could indicate an agreed purpose that the vehicle was to be road worthy.

Alternatively, the classic may have been described as a “collector’s piece”, “an ideal piece for restoration” or a “beauty to bring back to life”. In the absence of the buyer telling the seller they wanted a road-ready car, where there is a subsequent failed MOT, the seller would be able to point to that stated purpose and argue that the classic is fit for that purpose – its purpose when sold was never as a road-going vehicle.

Ultimately, if you want a road worthy classic car, its MOT status is rarely helpful. The best thing to do is to tell any seller that you intend to use the vehicle on the road regularly, seek confirmation that it is fit for that purpose and to inspect the classic before purchasing it, with your mechanic present.

If you are threatened with or are considering taking legal action after the sale of a classic car that is allegedly non-roadworthy, taking prompt specialist legal advice is recommended.

David Stedman is a partner at national law firm Clarke Willmott LLP. He specialises in, and has extensive experience of, the issues arising from the sale and purchase of misdescribed, defective or faulty classic and sports cars.

For more information visit David Stedman – Commercial & Private Client Litigation Solicitor – Bristol