Published : Sept. 17, 2015 - 18:06
The Korean government and politicians are moving to revise the law on car management so that consumers can get a full refund or an exchange when their new cars are defective.
The moves came after a video of a man smashing up his $200,000 Mercedes-Benz car went viral online last week.
The video shows the man hammering his S-class sedan with a golf club in front of the Gwangju branch of Shin Sung Motors, the German luxury carmaker’s local dealership.
A captured image from a video of Yoo smashing his Mercedes-Benz car. YouTube
The car owner said he was infuriated by the dealership’s refusal to exchange the AMG S63 or give him a full refund, although the engine abruptly stopped three times on the road since he purchased the car in March. The company has sold 614 AMG S63s in Korea since the model was launch here in November 2013.
The Mercedes-Benz dealership filed a suit against Yoo for obstruction of work but, despite dropping the charges later, it faced a backlash.
People who watched the video criticized the company and testimonies of similar Mercedes malfunctions followed.
With the growing controversy, the Transport Ministry said Wednesday that it was reviewing plans to give full refunds or exchange faulty cars when serious defects are found.
“Car manufacturers rarely admit their responsibility when owners discover their cars are defective. We’re thoroughly reviewing measures to protect consumer rights regarding this matter,” said Kim Yong-seok, head of the ministry’s automotive planning department.
Rep. Shim Jae-chul of the ruling Saenuri Party has also proposed a bill that lists guidelines for customers to get a full refund or at least an exchange when serious defects are found.
The bill would require carmakers to take full responsibility if a car breaks down more than twice within 30 days of purchase and if the total repair time of the car exceeds 30 days within a year of purchase.
The lack of support for consumer rights contrasts with the federal lemon law in the United States enacted in 1975, which protects consumers from defective products, the lawmaker said.
The National Assembly’s legislative research service said it agreed on the appropriateness of the bill for the safety of local consumers.
But it pointed out that the bill needs some complementary clauses, including those making the refund and exchange legally binding.
By Suk Gee-hyun (
monicasuk@heraldcorp.com)