Toyota Motor Corporation Australia Limited

The Australian Competition and Consumer Commission (ACCC) has accepted a court enforceable undertaking Toyota Motor Corporation Australia Limited (Toyota Australia) to review and improve its compliance processes in relation to the Australian Consumer Law consumer guarantees.  

Toyota has acknowledged the ACCC’s concerns that consumers can be misled about how their consumer guarantee rights under the Australian Consumer Law interact with manufacturer’s warranties. Toyota acknowledged that internal processes should be maintained that ensure consumers are informed of, and able to easily access, their legal rights under the consumer guarantees.

Toyota also acknowledged the ACCC’s concerns that failure to inform consumers regarding mechanical issues with their vehicles (or issues with repairs) may be misleading.  

Toyota Australia
Toyota Australia imports, markets, sells and services motor vehicles and related components, parts and accessories in Australia. Toyota Australia distributes all vehicles via its dealer network.

To address the ACCC’s concerns, Toyota Australia provided the ACCC with a section 87B undertaking that it will:

•  Review its systems and procedures for dealing with customer complaints - including policies regarding repairs and scripts provided to customer service representatives to ensure that:
  • consumers are able to access a refund or replacement vehicle where there has been a major failure;
  • consideration of consumer’s ACL rights is embedded into Toyota’s systems; and
  • consumers who request a refund or replacement vehicle are advised in writing of the outcome of the request.
• Provide a letter to consumers purchasing a new Toyota vehicle which advises them of their consumer guarantee rights. 
• Update Toyota’s existing Vehicle Identification (VIN) lookup service so that, in addition to information about safety recalls, consumers will also be able to access details of any customer service campaigns – repairs or updates carried out by Toyota dealers, relevant to their vehicle.
• Monitor compliance with the Undertaking by a monthly sample review of customer complaints and a mystery shopping program.
• Conduct an annual review of the commitments Toyota has made in the Undertaking and prepare a report to Toyota’s Risk and Compliance Committee.
• Provide an annual report to the ACCC.
• Involve a suitable independent expert with experience in consumer law in the review of Toyota’s systems and procedures, the annual review and other aspects of the Undertaking.