Undertaking date

Undertaking end date

Undertaking type

s.87B undertaking

Section

Section 87B of the Competition and Consumer Act 2010 (Cth)

Industry

New car industry

Company or individual details

  • Name

    Stellantis (Australia and New Zealand) Pty Ltd

    ACN

    125 956 505

Undertaking

The ACCC has accepted a court-enforceable undertaking from Stellantis (Australia and New Zealand) Pty Ltd ACN 125 956 505 (Stellantis Australia) to address ACCC concerns about the way it has handled complaints by consumers who have experienced problems with their Jeep vehicles.

Stellantis Australia is the importer and distributor of Jeep vehicles in Australia.

The ACCC investigated Stellantis Australia’s response to consumer guarantee complaints after receiving many complaints from consumers about Jeep vehicles and their difficulties in obtaining remedies under the consumer guarantees which are in the Australian Consumer Law. The reasons for the complaints included lengthy delays in obtaining a remedy, vehicles requiring multiple repairs for the same issues, and delays in parts being provided.

Stellantis Australia has acknowledged the ACCC’s concerns that its staff may not have properly understood the company’s consumer law obligations when dealing with customer complaints, due to deficiencies in its internal policies.

Stellantis Australia has provided the ACCC with a court-enforceable undertaking under section 87B of the Competition and Consumer Act 2010 (Cth) that it will:

  • review its procedures for handling customer complaints and make any necessary changes to:
    • ensure that consumers who experience a ‘major failure’ with their vehicle are given the refund or replacement they are entitled to,
    • improve its inclusion of Australian Consumer Law rights in its internal systems, so customers are not wrongly denied remedies that they are entitled to, and
    • ensure consumers who seek to rely on their consumer guarantee rights and request a refund or replacement vehicle, receive a written response and, if applicable, are informed of the reasons why Stellantis Australia has not agreed to the requested remedy,
  • review its training for staff and dealers, and make any necessary changes to ensure staff and dealers have sufficient information to achieve compliance with the Australian Consumer Law, and
  • ensure all customers who buy a new Jeep vehicle are advised in writing of their consumer guarantees rights within 30 days.

Stellantis Australia is required to report on these changes to the ACCC and has undertaken to appoint a director or a senior manager to conduct an annual review of the commitments Stellantis Australia has made to the ACCC. Additionally, Stellantis Australia will involve an independent expert with suitable experience in consumer law in the review of its procedures, training, correspondence to consumers and annual reporting to the ACCC.