NSW Fair Trading is responsible for the administration of the Motor Dealers and Repairers Compensation Fund (the Fund), including the assessment of all claims lodged.
The following information will assist you lodge a claim with the Fund.
The Fund protects you in many instances, when buying or selling a vehicle through a licensed motor dealer (dealer) or when having repair work carried out by a licensed motor vehicle repairer (repairer).
Dealers and repairers finance the fund through licensing fees.
You can lodge a claim if you have incurred a loss when buying or selling a motor vehicle through a licensed dealer or incurred a loss as a result of repair work carried out by a licensed repairer.
You can claim against a dealer or repairer who is no longer trading.
Claims can relate to:
Before lodging a claim, you should first try to resolve the matter yourself. This may include speaking with the dealer or operator, mediation with a third party or seeking an order through the local court or the NSW Civil and Administrative Tribunal (NCAT).
You are required to complete a claim form and submit documents in support of your claim. Be sure to read through the explanatory notes before you fill in the claim form.
View or download the Motor Dealers and Repairers Compensation Fund claim form and guide from the Fair Trading website.
You should include sufficient information and documentation in your claim to prove your loss, this may include copies of any:
In addition, if you have already taken your matter to NCAT or to court you should provide details of the outcome of any hearing.
It is important that you are specific about the dealer or repairer that relates to your claim, the circumstances that led to your loss and the amount of your loss.
A claim against the Fund must be made within 12 months after the loss is incurred or the claimant becomes aware of the loss.
You can receive a maximum payment of $40,000.
Some of the more common scenarios where you cannot claim a loss:
If your loss relates to any of the following vehicles, you cannot claim your loss:
If you are a trade owner (for example, a dealer, wholesaler, financier, motor vehicle recycler or repairers) you cannot lodge a claim.
If you require further information or assistance lodging a claim, contact Fair Trading on 13 32 20.
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