Toyota Won't Honor Gen 1 Battery Warranty

December 16, 2010

Dear Fellow Toyota Owners,

I'm hoping you can help me and my family have a more peaceful holiday season. Please take a minute to leave a message for Ralph Fatori, Downtown (Oakland) Toyota at 510-547-4436. Details follow below. Any other suggestions appreciated. Thanks.

Allan

DOWNTOWN TOYOTA HAS SUED US…PLEASE HELP!

December 8, 2010

Dear Fellow Toyota Owner,

We are decades long Downtown Toyota customers. My wife and I own a first and second generation Prius (bought at Downtown), and we repaired our Corolla here for many years before that. We were totally shocked when this dealership sued my family to pay for replacing a Battery that was still under the extended warranty.

My Prius main Battery began showing the common signs of problems in the 80,000 mile range, including consistent recharging when stopped (instead of shutting off as before), a major drop in mileage (approximately 10 mpg), loss of power, etc. Though I reported this to Downtown they said this was nothing unusual since there were no consistent warning light (occasional Battery and other lights would come on for only a short period of time). My battery had been recalled earlier as it was found that serious battery leaks were common in that battery, and a so-called “protective seal” was installed to attempt to stave off any leakage. The attempted “fix” didn’t work and increasing symptoms were so problematic that I requested a complete checkup three times to ascertain the cause while under warranty. I was told that there was no battery problem. Then finally at 97,771 miles all the warning lights came on, including “H/V System Malfunction” and Master/”Triangle of Death” light. Downtown Toyota still refused to replace the battery, which costs $3000, while under the original warranty.

After my original warranty (100,000 miles/8 years) expired, the same lights went off again, and finally Downtown Toyota agreed that I indeed had a bad battery that leaked. If you look on the back of your repair statements, it clearly says: “If a defect occurs within the warranty period, the warranty will not expire until the defect has been fixed.” After Downtown Toyota replaced the battery, I was told that Toyota would cover nothing because it was “past warranty.” The National Toyota Customer Service Rep reviewed my records and said “I’ve investigated, would feel the same as you, and will try to convince the Manager to cover 100% of the cost...I’d process it in full today if he would authorize it.” An independent investigation found that I should not have to pay for the replacement battery, and they did not appeal that ruling. Also, the California Department of Consumer Affairs apologized for the fact that their Department has no authorization to compel Toyota to replace the battery under the warranty specifications.

Instead of honoring the Limited Warranty, Downtown Toyota is suing me for the cost of the battery, and we must go to trial on January 12, 2011 . We can’t afford and shouldn’t have to pay the cost of the new battery nor the cost of an attorney, and Downtown has threatened to sell the car to pay off the “debt”. I can’t work without my car. I am asking that you please help by phoning or writing Downtown Toyota Owner/General Manager Ralph Fatori at 510-547-4436. Ask him to do the right thing for a loyal customer, rather than playing scrooge over the holidays.

Thank you for making this call, and if you have other ideas or can be of further support, let us know.

Sincerely,

Allan Brill brill@sbcglobal.net

December 16, 2010

As you are being sued for $3,000 I would assume this is being handled by the equivalent of a small claims court, something along the lines of Judge Judy without the cameras. If this is the case you should be able to represent yourself with no legal costs.

If you have a copy of all of the written correspondence between yourself and the garage as well as the original warranty details then I cannot see how you would lose the case. You have several points to argue, the first being that the warranty formed part of the initial purchase contract of the car and if the garage are breaking the terms of that contract then they are in breach of it. You then have the fact that the garage have acknowledged the fault with the Battery but made the decision not to repair/replace it and this is the reason it has subsequently failed. The may argue that it continued to work until after the warranty period but they still acknowledged a fault during the warranty period.

I would let them take you to court and make sure you inform the local/national press of the court date so they can report what happens. I am sure the dealership will love to have the publicity that they sue their loyal customers.

December 16, 2010

Report them to the Police for fraudulent behaviour. Raise an action against Toyota? Involve your local politicians ?

Raise an action against the individual manager who made the decision?

December 18, 2010

Yo Herts,

thanks for your comments. Yes it's in small claims, and I've used it against businesses a couple times, but never had it used against me. I have all my paperwork together, as during this fight Toyota claimed I went places for service I didn't, and that I missed several service points under the warranty...none of that was true. I think you're right that the key is that they acknowledged problems with the Battery at 40,000 and recalled it for a "fix" but when the Battery started going bad never acknowledged it--until after the warranty was over and I couldn't drive it any more. The weakness in my case is that the Battery die-off was slow and in only one cell, so that I was able to drive it (with less power, 10 mph loss ofd mileage, etc.) for another 20,000 miles So they're saying it couldn't have been the battery. I'm planning a press conference right before christmas. Do you know any toyota mechanics who can give me insight into the possibility of such a battery "slow death"? thanks for your help and interest!

Allan

As you are being sued for $3,000 I would assume this is being handled by the equivalent of a small claims court, something along the lines of Judge Judy without the cameras. If this is the case you should be able to represent yourself with no legal costs.
If you have a copy of all of the written correspondence between yourself and the garage as well as the original warranty details then I cannot see how you would lose the case. You have several points to argue, the first being that the warranty formed part of the initial purchase contract of the car and if the garage are breaking the terms of that contract then they are in breach of it. You then have the fact that the garage have acknowledged the fault with the battery but made the decision not to repair/replace it and this is the reason it has subsequently failed. The may argue that it continued to work until after the warranty period but they still acknowledged a fault during the warranty period.
I would let them take you to court and make sure you inform the local/national press of the court date so they can report what happens. I am sure the dealership will love to have the publicity that they sue their loyal customers.

December 18, 2010

Report them to the Police for fraudulent behaviour. Raise an action against Toyota? Involve your local politicians ?
Raise an action against the individual manager who made the decision?

Thanks for the suggestions...I've done the Consumer Affairs Dept, leafleting all their customers, and am planning a Scrooge Christmas Press Conference!

allan