ormal Complaint Regarding Misleading Sales Tactics, Policy Non-Compliance, and Unfair Cancellation Charges

Good day, MotoVantage Customer Services,

I am writing to formally lodge a complaint against MotoVantage and its affiliate sales agent, Engine Room, regarding the misleading and deceptive practices surrounding the sale and administration of my service plan policy, as well as the ******** imposition of cancellation charges following my request to terminate the agreement.

1. Misrepresentation at the Point of Sale On the date of policy inception, your representative (via Engine Room) affirmatively stated that the service plan would cover all routine vehicle service requirements in accordance with the manufacturer’s specifications. It was never clearly communicated that critical components such as brake pads and brake discs would not be covered. These components are integral to the safe operation of any motor vehicle and are routinely included in reputable service plan. The surprise rejection of my recent brake pad service claim by BMW – on the grounds that MotoVantage had not approved the service – raises significant concerns of misrepresentation. Your website (https://www.motovantage.co.za/service-plans) does not reflect the level of clarity and transparency required for such an important financial decision.

In terms of the Consumer Protection Act 68 of 2008 (CPA), Section 41(1), a supplier must not, directly or indirectly, by words or conduct: "express or imply a false, misleading or deceptive representation concerning a material fact to a consumer." It is evident that the material terms of this service plan were either omitted or misrepresented, in violation of the CPA.

2. Right to Fair and Honest Dealings The CPA, Section 48(1), also prohibits suppliers from: "requiring a consumer to waive any rights, assume any obligation or waive any liability of the supplier on terms that are unfair, unreasonable or unjust." A clause that requires a consumer to pay an unforeseen cancellation or administrative fee, especially when the service has not met its promised or imp**** standards, is in direct contravention of this provision.

Furthermore, Section 49(1)(a) of the CPA stipulates that: “any provision or notice that purports to limit the risk or liability of the supplier, or any indemnity clause, must be drawn to the consumer’s attention in plain language.” The absence of clear disclosure regarding cancellation penalties is a breach of this section. It is not sufficient that such terms are merely included in lengthy terms and conditions—they must be explicitly communicated and acknowledged at the point of sale.

3. Right to Cancel Without Penalty in Cases of Misrepresentation As a consumer, I re**** on the express assurances given by your representative that:

-The service plan covered all manufacturer-specified service items. -No penalties or cancellation costs would apply should I wish to terminate the agreement.

Given that these representations formed part of the basis upon which I consented to the policy, their falsity constitutes a material breach of contract and grounds for cancellation without penalty. The CPA Section 17(3) further provides that consumers may cancel a fixed-term agreement without penalty under certain conditions, particularly where the services rendered are not fit for their intended purpose (CPA Section 55).

4. Call Recording and Proof of Representation During my telephone call to your office on 24 April 2025, your agent—Abokeng—indicated that he would review the sales call recording to determine whether these representations were indeed made. I hereby formally request, in accordance with Section 32(1)(b) of the Promotion of Access to Information Act 2 of 2000 (PAIA), access to this recorded call for verification and further legal steps if necessary.

5. Request for Immediate Resolution In view of the above, I hereby demand:

-The immediate cancellation of my service plan with no cancellation or administrative charges imposed; -A written confirmation that no negative credit reporting or further billing will be pursued; -A full transcript or audio file of the sales call in which the policy was explained and accepted; -A formal apology for the inconvenience, distress, and potential financial prejudice caused by your misleading conduct.

Should this matter not be resolved to my satisfaction within seven (7) business days, I will escalate the matter to the National Consumer Commission (NCC), the Ombudsman for Short-Term Insurance (OSTI), and seek further redress through legal channels as provided by the CPA and common law.

Thank you