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Consumer Protection Act, 2008 (Act No. 68 of 2008)


South African Automotive Industry Code of Conduct

Part A

1. Introduction


The South African Automotive Industry Code (the Code) was proposed by the automotive industry and recommended to the Minister of Trade and Industry by the National Consumer Commission in accordance with the provisions of Section 82(3) of the Consumer Protection Act 68 of 2008 (the Act). The Code will regulate the interactions between persons conducting business in the automotive industry and their interactions with consumers.


Purpose of the Code is to regulate relations between persons conducting business within the automotive industry and to provide for a scheme of alternative dispute resolution between consumers and all participants in the industry and to create an industry ombud to provide alternative dispute resolution services. Any provision in the Code that is inconsistent with the Act will be invalid.


The Code is an industry code and it applies to the entire Automotive Industry as defined in this code of conduct irrespective of whether such persons are members of any automotive industry association. The Code relates to the conduct for the supply of goods and services by the Automotive Industry and consumers within the Republic of South Africa and focuses on consumer protection, supplier guidance and fair business practices.


The Automotive Industry for the purposes of this Code means: importers, distributors, manufacturers, retailers, franchisors, franchisees; suppliers, and intermediaries who import, distribute, produce, retail or supply passenger, recreational, agricultural, industrial, or commercial vehicles, including but not limited to passenger vehicles, trucks, motor cycles, quad cycles, whether self-propelled or not or an internal combustion propelled engine for a boat, or import, distribute, manufacture, retail or supply any completed components and/or accessories to such vehicles, and/or renders a related repair or replacement service to consumers in respect of such vehicles; and trailers, and "anyone who modifies, converts or adapts vehicles.


This Code will be implemented by the Motor Industry Ombudsman of South Africa (MIOSA) and its interpretation is vested in the MIOSA.


The Code provides for an Alternative Dispute Resolution process, within the Automotive Industry, and between:

consumers and suppliers; and
suppliers themselves, which will, amongst other things, include instances in which:
a supplier falls within the definition of consumer as envisaged in the Act; and
a supplier falls under the threshold as determined by the Regulations to the Act; and
supplier and manufacturer;
consumer and manufacturer.