The Australian Competition and Consumer Commission (ACCC) is taking legal action against Ford Australia for misleading and deceptive conduct regarding its PowerShift transmissions.
Ford Australia has vowed to fight the allegations it inadequately dealt with consumer complaints over gearbox issues in Fiesta, Focus and EcoSport models using the PowerShift transmissions from 2011 to 2016.
Of the 70,000 cars Ford Australia sold in that period, about half have had at least one repair carried out after customers complained about significant shuddering, vibration and jerking motions when accelerating, excessive noise, inability to select gears and at times, total power loss.
“The ACCC alleges that Ford misrepresented to customers who made complaints that the issues with their vehicles were caused by the way the driver handled the vehicle,” says chairman Rod Sims, “Even though Ford was aware of systemic issues with the vehicles from at least 2013.”
From 2011 to 2015, it’s also alleged Ford provided a “PowerShift Ownership Loyalty Program” requiring consumers to make $7000 contributions toward replacement vehicles, despite vehicles having undergone multiple repairs.
“The ACCC is alarmed about the level of non-compliance with the Australian consumer law in the new car industry,” Sims says.
“Ford’s conduct towards customers who had complained of issues with their vehicles was unconscionable. Ford then on-sold vehicles surrendered…to wholesalers and customers without disclosing the systemic issues experienced.”
Ford Australia chief executive Graeme Whickman says the company will defend the allegations.
“We acknowledge that some customers may have had a poor experience when the PowerShift transmission issues first came to light; we are sorry for that,” Whickman says.
“But we have been working hard to fix that,” he told reporters yesterday, saying that repairs were available on PowerShift transmissions, with all new cars on the market receiving the latest updates, Morgans reports.
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