MG Rover owners lose their rights

18 April 2005

Eleven MG Rover dealerships have gone into administration and could leave motorists without any support for cars which develop faults.

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Eleven MG Rover dealerships have gone into administration and could leave motorists without any support for cars which develop faults.

The outlets in the Midlands, North West and South of England, run by Phoenix Venture Motors Limited, went into administration with PricewaterhouseCoopers today with losses of £2.5 million.

The 11 Phoenix Venture Motors Limited dealerships are in Preston, Chorley, Coventry, Northampton, Rednal, Bromsgrove, Kidderminster, Hatfield, Romford, Oxford and Muswell Hill in London.

Buyers will lose their rights of redress for faults that had existed under the Sale of Goods Act if the dealerships cannot be kept open.

This Sale of Goods act allows owners to argue that their cars are not of satisfactory quality if faults develop, and that they should be repaired by dealers as a result.

All owners have also already lost the support of warranties since MG Rover went into administration and PricewaterhouseCoopers said it could no longer afford to honour them.