Hyundai Paint Disaster: South African Owners Still Struggling
Hyundai Paint Issues Leave South African Owners Facing Ongoing Costs
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The Problem: Premature Paint Failure
Thousands of Hyundai vehicle owners in south Africa are still grappling with the financial fallout from a widespread paint defect affecting models produced between 2018 and 2021. The issue, first reported in 2022, causes the paint to delaminate, leaving vehicles vulnerable to rust and significantly diminishing their resale value.
Affected models include the Grand i10, i20, Creta, Venue, and H1. Owners began noticing the paint peeling or blistering, often within just a few years of purchase, despite Hyundai’s standard five-year/150,000km warranty.
Hyundai’s Initial Response and Class Action
In February 2023, Hyundai Automotive South Africa announced a “voluntary inspection and repair campaign” for vehicles affected by the paint issue.Though, manny owners found the proposed remedy – a full respray – insufficient, as it didn’t address the underlying cause of the problem and frequently enough came with meaningful costs for components not covered by the initial offer.
This led to a class action lawsuit filed in the Gauteng High Court in Pretoria by attorney Kirsty Chaplin of Chapman & Associates on behalf of approximately 3,000 affected Hyundai owners. The lawsuit sought a more comprehensive solution, including compensation for diminished vehicle value and potential future repairs.
Court Settlement and Remaining Challenges
In July 2024, Hyundai reached an out-of-court settlement in the class action. The agreement stipulated that Hyundai woudl cover the cost of a full respray, including planning work, for affected vehicles. Though,the settlement excluded consequential losses,such as diminished vehicle value,rental costs incurred while vehicles were being repaired,and potential future rust repairs.
as of October 28, 2024, many owners report difficulties claiming the respray, citing delays in approvals, disputes over the scope of work, and concerns about the quality of repairs. Some owners are still waiting for their vehicles to be assessed, while others have been informed that their claims have been rejected. Hyundai has stated that the process is complex due to the large number of vehicles involved and the need to ensure consistent quality.
Financial Burden on owners
Even with the respray covered, owners often face out-of-pocket expenses. The settlement doesn’t cover the cost of replacing parts that may need to be removed and reinstalled during the paint process, such as lights, trim, and badges. Owners are also responsible for transporting their vehicles to and from approved repair centers.
The lack of compensation for diminished value is a significant concern for many owners, as the paint defect substantially reduces the resale price of their vehicles. Experts estimate that affected vehicles can lose up to 20% of their value due to the paint issue.
What Owners Can Do
Affected hyundai owners are advised to document all communication with Hyundai and repair centers.They should also obtain independent assessments of their vehicle’s condition and the cost of repairs. Chaplin & Associates continues to provide guidance to owners navigating the claims process and exploring potential options for recovering consequential losses. owners can find more information and resources thru legal counsel specializing in automotive defects.
This situation highlights the importance of thorough vehicle inspections before purchase and understanding the limitations of manufacturer warranties. It also underscores the potential financial risks associated with cosmetic defects that can lead to more serious structural issues over time.