Laws affecting the motor vehicle repair industry commenced in October 2010.  The Fair Trading (Motor Vehicle Repair Industry) Act 2010 (the Act) created a new licensing regime for repairer businesses and also established the Motor Vehicle Repair Industry Committee (the Committee).  One of the Committee's main functions is to report to the Minister on:

• the impact of the Act on people who carry on businesses as motor vehicle repairers and their employees;
• the level of competences that employees should reach to work in the industry;
• the cost of training employees to reach that level of competence and how that cost should be shared between employers and employees; and,
• what training courses are required for the A.C.T. and who might provide these courses.

In October 2011 the Committee reported on the impacts of the Act. A copy of the report and the Minister's response to this can be accessed under Publications on the right hand side of this page. 

Motor Vehicle Repairers

• How do I apply for a motor vehicle repair licence?
• What is the definition of a motor vehicle repairer?
• Important requirements to remember when conducting day to day business as a motor vehicle repairer.
• Can I transfer the licence to a new owner if I sell my business?
• How do I complain about a motor vehicle repairer?

How do I apply for a motor vehicle repair licence?

You may apply for a motor vehicle repair licence by completing an Application for a Motor Vehicle Repair Licence and paying the prescribed fee.  Before lodgeing your application it is important that you have obtained all the necessary planning and other approvals.  For assistance in determining approvals you may require please refer to the A.C.T. Government Business Licensing Information Service.

What is the definition of a motor vehicle repairer?

A person carries on business as a motor vehicle repairer if they perform work on a motor vehicle, motor vehicle part or motor vehicle system including:

• examining or assessing condition or performance improvement;
• diagnosing and detecting of faults;
• overhauling;
• dismantling and assembling servicing and maintenance;
• replacing and adjusting of objects for performance improvement;
• painting and treatment;
• modifying, altering, installing or fitting work; or,
• giving advice on any of the work mentioned above.

Important requirements to remember when conducting day to day business as a motor vehicle repairer.

Under section 23 of the Act it is a condition of a licence that the licensee give a consumer an estimate of the cost of the work if it is expected to cost more than $150 and, if requested, must give the estimate in writing.  This estimate must be given before the repair work.

If it is not practicable to give an estimate of the cost of the work without undertaking diagnostic work the licensee must:

• give the consumer an estimate of the cost of the diagnostic work;
• tell the consumer about any likely damage to the motor vehicle as a result of the diagnostic work;
• obtain the consumer's written authority for the performance of the diagnostic work;
• after the diagnostic work and before the repair work give the consumer an estimate of the cost of the repair work and obtain the consumer's written authority to perform the repair work specified in the estimate;
• where a licensee has given an estimate of the cost of repair work the licensee must tell the consumer about any variation in the cost from the estimate; and,
• where a licensee has given an estimate of the cost of the repair work the licensee must keep records of both the verbal and written quotes and estimates given to people.

Under section 24 of the Act it is a condition of a licence that the licensee must explain to the consumer any additional work or parts needed and the cost that have not been agreed to by the consumer in the estimate.  In addition, the licensee must obtain the consumer's consent to conduct the work or install the part and must agree to the cost.

Under section 27 of the Act it is a condition of the licence that the licensee must give the consumer a  Fair Trading (Motor vehicle Repair Industry) Act 2010 - information sheet approved by the Commissioner for Fair Trading about motor vehicle repair work.  This must be given to the consumer before performing any motor vehicle repair work.

Under section 28 of the Act it is a condition of a licence that the licensee must give the consumer a signed copy of any warranty or guarantee relating to workmanship, parts or service provided by the licensee.  This must be given to the consumer on completion of the motor vehicle repair work.

Can I transfer the licence to a new owner if I sell my business?

Section 17 of the Act provides that a licence is not transferrable.  If you are selling your motor vehicle repair business the proposed purchaser must appy for a new licence and it cannot be assumed that they will automatically receive a licence as the eligibility tests must still be met for the proposed new owner.

However, if the licence is issued under a corporation and there has been a change in directors, at least one new director of the corporation must hold a licence.  The corporation must supply a new company extract issued by the Australian Securities and Investments Commission (ASIC) within 30 days and each new director must supply a police certificate to ensure that no director is disqualified.

How do I complain about a motor vehicle repairer?

If you wish to lodge a complaint concerning an motor vehicle repairer please refer to the Office of Regulatory Services External Complaints Policy, alternatively you may contact the Office of Regulatory Services to discuss your concerns.

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