Dealer sold ‘test-drive’ car as brand new; buyer wins over Rs 9.2 lakh payout
- Posted on July 20, 2026
- By The Times of India
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- 1 min read
In brief
India's National Consumer Disputes Redressal Commission has ruled that automobile manufacturers cannot be held responsible when authorized dealers fraudulently sell test-drive vehicles as new cars. The landmark July 15 judgment clarified liability boundaries in the automotive sector, reversing a state-level decision that had imposed joint accountability on Tata Motors alongside the dealer who committed the deceptive practice.
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Dealer sold ‘test-drive’ car as brand new; buyer wins over Rs 9.2 lakh payout
NEW DELHI: The National Consumer Disputes Redressal Commission (NCDRC) has held that Tata Motors, as the manufacturer, cannot be held liable for a dealer selling a test-drive vehicle to a customer as a brand-new car, setting aside a state commission order that had made the manufacturer jointly liable along with the dealer, in its order dated July 15.
