McBrian v Pouhila

The case of McBrian v Pouhila involved a dispute between a vehicle supplier and consumers regarding a defective vehicle sold. The consumers, Pouhila, sought a refund for the purchase price of the vehicle as well as costs under the Australian Consumer Law (ACL). The matter was initially heard in the Civil Dispute Resolution Tribunal, where the Tribunal awarded the consumers $25,000 for the purchase price plus allowable costs. McBrian, the supplier, applied for leave to appeal the decision, arguing that the order for a refund and costs was not permitted under the ACL provisions, that the order for costs exceeded the Tribunal’s monetary limit for minor civil disputes, and that the defects did not constitute a major breach of guarantee under the ACL.

The court examined whether the order awarded to the consumers was appropriate under the ACL and whether the Tribunal's decision to award costs was within its monetary jurisdiction. The court also considered whether the defects in the vehicle constituted a major breach of guarantee and whether the consumers could have rejected the vehicle for a minor breach of guarantee. The court found that the Tribunal had correctly applied the ACL and that the award of costs was permissible within the Tribunal’s monetary limit. The court also determined that the defects in the vehicle constituted a major breach of guarantee and that the consumers were entitled to a refund.

The appeal was dismissed, and the respondents were refused leave to adduce fresh evidence on appeal. The court held that the consumers were entitled to a refund for the defective vehicle and that the award of costs was within the Tribunal’s jurisdiction. The court found that the defects in the vehicle constituted a major breach of guarantee, and that the consumers were entitled to a refund under the ACL.