Australian Debt from a holiday being chased in the UK

[shelby86]

Hi Everyone,

 

This is my first post and I'm really hoping for some advice.

 

I recently (April 2011) went on a three week holiday to Australia. On this holiday we hired a Motorhome to travel across the country. At one point during the travels the vehicle was filled with unleaded rather than diesel. We immediately called the hire company, before starting the engine. They sent a mechanic, who towed the vehicle to his garage. The vehicle stayed at the mechanics all day and at the end of the day he came back from his various jobs and drained the tank of petrol. He then said it was safe to continue. I had to pay approx $200 for this rather than pay the $1000 excess.

 

So we drove thought the night back to Melbourne, as it was approaching the end of my holiday. After about 1000km the vehicle completely broke down. The engine warning lights all came on and the car was driving extremely slowly with no power. So again we called the motorhome company. This time they were much slower but eventually sent a local mechanic who advised us to drive slowly and follow him to the nearest town. When we arrived at the town he said the vehicle was too big for him to have a look at. We called the company (Apollo motorhomes) who advised we should take the vehicle to a local VW garage who can determine the cause of the problem.

 

We took it to the nearest VW garage who had the vehicle for the entire day, performing diagnostic tests. Eventually they came back to us and said there is no way the damage was caused by using the incorrect fuel. Apparently the fuel filter system was blocked to 99% which was causing the lack of power. This kind of damage could only be caused by years of build up. The VW mechanic explicitly confirmed that we did not cause the problem.

 

The garage then called Apollo direct and told them the news. Apollo were not happy with this diagnosis so decided to tow the car to their own garage and perform their own tests to determine the cause of the fault. They said the tow truck would come the next morning and tow the car away but could only take 2 of us, despite there being three of us on the holiday. They also said we have to pay for the full cost of repair and the cost of towing the vehicle. We eventually decided to leave the vehicle and the keys with the VW garage and get an overnight bus to Melbourne.

 

I checked my credit card and they had taken $1000 which was the excess on the insurance policy. They then attempted to take a further $1000 as apparently in the contract it states that if the damage to the vehicle was due to driver negligence then I would be liable for the full cost of repair. This charge was later cancelled and not taken from my credit card.

 

After days of testing, surprisingly they determined the damage was my fault and I was liable for the full cost of repairs. Apparently they would bill me for the damage.

 

I left Australia a few days later and returned to the UK. It’s only yesterday that my parents received a letter addressed to the address on my driving license which is my parent’s old address. The letter was forwarded onto them at their new address. The letter is from Debt Recovery Australia and threatens court action. There is no detailed breakdown of charges, no initial bill or opportunity from Apollo motor homes to pay and no evidence. The first contact we have had is from the debt recovery agency. I obviously do not feel I should have to pay this and don’t know how to proceed with a dispute. I am also wondering about their jurisdiction in the UK. The letter is outlined below:

 

DRA Mercantile

NOTICE OF INTENTION TO SUE

Our ref: *****

Our Client: Apollo Motor Homes

 

DRA Mercantile on behalf of Apollo Motor Homes, intends to issue a summons through the court for the recovery of $4,525.06 relating to damage sustained on 07/04/2011. In addition, we will be seeking recovery of legal costs, court costs and added interest. Please be aware that the potential consequences of a Court Judgement are:

 

Seizure of property under Writ Of Execution

Garnishee of Salary or Wages

Bankruptcy proceedings

 

You are advised to attend to this matter immediately to avoid legal proceedings and additional expenses that will be involved

 

Payment is to be made to DRA Mercantile by Cheque or Electronic Transfer to ANZ Bank, BSB *** *** ACC ********* quoting Ref No: *****.

 

Signed

Rina ******

Legal Executive

PH:**** *** ***

 

Sorry it was such a long read but I felt I needed to fully explain the situation. If there is any advice anyone could give me it would be greatly appreciated.

 

Many Thanks,

[cerberusalert]

They will have to take you to court in the UK & as your agreement was made in Oz it would have to be heard using Oz law & you can argue that a UK court does not have legal jurisdiction. They can't take you to court in Oz as you are a non-Oz resident

[cerberusalert]

BTW it's an offence not to notify DVLA of your change of address so you should deal with that ASAP.

 

If your parents receive any further letters they should return them unopened and marked 'Not At This Address'. In UK law you have to receive any court papers in order to defend. If they are sent to the wrong address or an old address you can apply for any judgement to be set-aside.

[shelby86]

Thanks for your advice.

 

I feel the letter was clearly to threaten and had no real substance, did not refer to invoices, bills, time frames, etc.

I will definitely ask my parents to send any other correspondence back as “not known at this address”

 

Does Oz law require the same as UK law regarding paperwork. Do you know how I stand regarding the fact that I have received no preliminary paperwork, ie invoice, breakdown, time to react, time to argue my case, etc. Can this somehow get onto my UK credit file?

 

In the UK you have a default, 2nd default, 3rd default, arrears, 2nd arrears, 3rd arrears then it goes to debt collectors/court action, followed by a CCJ. My point is there is a very strict process companies have to go through in order to take matters to court, giving you plenty of time to react. Is this the same in Oz law?

[cerberusalert]

Does Oz law require the same as UK law regarding paperwork.

Yes.

Do you know how I stand regarding the fact that I have received no preliminary paperwork, ie invoice, Breakdown, time to react, time to argue my case, etc. Can this somehow get onto my UK credit file?

At the moment it is a 'speculative' letter they've sent inviting you to pay, albeit in a threatening way. As I said they have no chance of taking action in Oz and they'd be extremely stupid to try in the UK. No it will not affect your UK credit file.

In the UK you have a default, 2nd default, 3rd default, arrears, 2nd arrears, 3rd arrears then it goes to debt collectors/court action, followed by a CCJ. My point is there is a very strict process companies have to go through in order to take matters to court, giving you plenty of time to react. Is this the same in Oz law?

yes, in fact it is stricter in OZ.

[shelby86]

Thanks so much for your help

[Mark&Janice]

Tell them to take a running jump into the Yarra