A woman from Singapore, named Virginia Wong, has been mandated by the court to pay SGD20,000 (US$15,300) in damages to dealership Purpose Automobiles due to a discrepancy in the mileage of a Lamborghini Urus she sold them. Wong sold the vehicle to Purpose Automobiles in April 2023, assuring them its mileage was at 9,000 kilometers.
However, a third-party inspection later uncovered that the actual mileage was over 18,000 km, which was twice the amount initially stated by Wong. Following this discovery, Purpose Automobiles took legal action against Wong, claiming SGD145,500 in damages. They argued that they lost a potential sale due to the SUV’s incorrect mileage.
Court Finds No Breach of Contract
On November 17, District Judge Sim Mei Ling found that the failed sale was not a result of Wong’s contract violation. Therefore, Purpose Automobiles was not eligible to receive the profits they might have obtained if the deal had proceeded. The judge pointed out that the potential buyer chose not to finalize the purchase once it became apparent that the car’s warranty had been voided by the authorized dealer.
Judge Sim clarified that Purpose Automobiles was only entitled to compensation for the losses directly linked to Wong’s breach, and not for damages related to the warranty cancellation. As a result, Wong was instructed to pay SGD20,000 in damages, plus interest. This amount represents the difference in the car’s value once the actual mileage was taken into account.
Judge Sim also mentioned that there was no concrete evidence showcasing what caused the mileage discrepancy or if Wong manipulated the odometer.
Dealings & Transactions
Purpose Automobiles initially acquired the car from Wong, the registered owner, for SGD908,000 in April 2023. In June 2023, a potential buyer expressed interest in purchasing the car for SGD965,000, pending an inspection at authorized dealer Eurosports Auto.
It was during this inspection that it became evident that the mileage recorded on several independent electronic components, and shown on the diagnostics protocol downloaded during recovery, was twice the amount displayed on the vehicle’s odometer.
Purpose Automobiles explained that the original sale did not go through, and they were only able to sell the Lamborghini Urus for SGD800,000 in August 2023.
Questions & Answers
What was the discrepancy in the Lamborghini Urus’ mileage?
The car was initially reported to have 9,000 km of mileage. However, a subsequent inspection revealed that the actual mileage was over 18,000 km.
How much in damages was the seller ordered to pay?
The seller, Virginia Wong, was ordered by the court to pay SGD20,000 (US$15,300) in damages.
Why did the potential sale of the car fall through?
The prospective buyer decided not to proceed with the purchase after discovering that the car’s warranty had been voided by the authorized dealer.
