Ford Company Powershift Case

1797 Words 8 Pages
Introduction
Ford Company had introduced “PowerShift” transmission which worked efficiency and provided unique shift feeling as compared to the conventional automatics. The “PowerShift” had been applied in to the particular vehicle model such as Focus, Fiesta, and Ecosport. However, plaintiff who had the particular car model with “PowerShift” transmission found the obvious problem when they drove the car. The car would slip, buck, jerk and harshly engage when driven. Thus, it would make the plaintiff to have difficulties to stop the car when met sudden or delayed acceleration. Furthermore, due to the transmission problem, the plaintiff returned back the vehicle to dealerships to get cars fixed up to 10 times for repair or replacement and also
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Neighbour principle stated that a person should take reasonable care to avoid acts or omission that can be reasonably foreseen as likely to cause damages or loss to the neighbor. Neighbor includes all people who are closely and directly affected by the act or omission. In this case, the neighbour principle is applied to the Ford Company. Ford Company had introduced the particular models of car with the “PowerShift” transmission that cause plaintiff feel unsafe to drive on road. Plaintiff will directly affected by the underperformed and defective transmission and they will start concerning their safety when driving the car. Moreover, this transmission will lead plaintiff suffering from loss of their budget as they need to send their car into the repair shop to repair or replace the defective …show more content…
Consumer can define as a person who purchases a good or service for less than $40 000; or any person who buys a good or service for personal, domestic or household use regardless of cost; or a person who buys any car or trailer designed for use on public roads. Under Section 55 of the Australian Consumer Law, Ford Company did not give one of the consumer guarantees which is goods should be fit for the purpose. In the 55 Section, guarantees as to fitness for any disclosed purpose have stated that if a person (the supplier) supplies, in trade or commerce, goods to a consumer; and the supply does not occur by way of sale by auction; there is a guarantee that the goods are reasonably fit for any disclosed purpose, and for any purpose for which the supplier represents that they are reasonably

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