Milas v GM Holden Limited

Milas and GM Holden Limited were parties to proceedings in the County Court of Victoria concerning a dispute arising from the sale of a motor vehicle. The applicant, Milas, sought damages from the respondent, GM Holden Limited, alleging breaches of consumer guarantees under the *Australian Consumer Law* (ACL).

The central legal issues before the court were whether the vehicle sold to Milas was of acceptable quality, fit for its disclosed purpose, and whether GM Holden Limited had breached its obligations to provide services with due care and skill. Specifically, the court had to determine if the defects experienced by Milas rendered the vehicle not of acceptable quality and if GM Holden Limited had failed to meet the required standard of care in its dealings with Milas.

Judge O’Sullivan found that GM Holden Limited had breached its obligations under the ACL. The court reasoned that the persistent and significant defects in the vehicle meant it was not of acceptable quality, nor was it fit for the purpose for which such vehicles are ordinarily used. Furthermore, the court determined that the conduct of GM Holden Limited in addressing the issues fell short of the standard of care and skill expected when providing services to a consumer. The court concluded that the defects were substantial and that Milas was entitled to a remedy.