ACCC takes Australia's largest caravan maker to Federal Court

Jayco denied rights over major failures, ACCC claims.

Caravan maker Jayco will face Federal Court action after the ACCC alleged its redress practices broke the law.

The competition watchdog claims Jayco denied refunds or replacements on four caravans it knew were defective and not functioning properly – even after repeated and failed repair attempts – during a two-year period until 2015.

The faults with the caravans constituted a major failure under the law, says Rod Sims, chair of the ACCC, such as misaligned roofing that wouldn't close properly and would leak.

"Caravans are an expensive item, typically costing tens of thousands of dollars," says Sims.

"People are entitled to expect that the caravan they purchase will be of acceptable quality."

The court action follows a CHOICE investigation that found caravan owners were increasingly facing major problems with their vehicles, and that they struggled to have their rights to a repair, replacement or refund enforced.

The ACCC is seeking declarations, pecuniary penalties, consumer redress orders, injunctions, disclosure and compliance program orders and costs.