Resolved Is Dealer Handling or Logistic Charges on New Car Legal to Demand

Yes.. Every where dealers are asking for this logistics/handling charges.

@ Sumit

There was a notification from Transport Department - came in long back - 3 yrs +
Attaching same


However - a clause in notification states as - 'Not authorized by Manufacturer'
Dealers have now changed the name of Dubious 'Logistics charges' and termed it as 'fuel expenses, driver and parking expense, & other service related charges" in the Proforma Price List.

Although to what i understand - ideally as there is no value addition to the car - additional charges should not be levied
Like the way the car sold by Manufacturer - is the same car sold, any accessories fitment has separate cost and are paid.

But - If you visit a dealer now - he may claim that the charges constitutes as part of on road cost and welcome buyer to may even speak to manufacturer - as these are one which even a manufacturer will not deny or call it unauthorized !!!

You may check it out with Manufacturer even on it.

Hope the new Chief Minister of Delhi
whether from Aam Aadmi Party or BJP - take up this route of dubious practice strongly
Every day over 1000 vehicles are sold in Delhi and it implies - 1000* 7000 = 70 Lakh i.e 20 crore i.e 240 crore rupees every year as hard earned money from delhi people is eaten up these dealers.

Let there be a rule which clearly state
> Exfactory
> Exshowroom
> On Road price

If its exshowroom - whats the meaning of dealer handling / logistics charges - car price is available at already stated exshowroom price - let road tax and insurance be the only component which should be paid and no such illegitimate charges be paid

Arent dealers making profit by selling car at exshowroom and procuring car at exfactory price.
Let there be strict law on same !!

Hello,

There is a notification which has come in Times of India Surat - stating that dealers can not charges Handling Charges
Its termed as Illegal charges

Sharing Clipping
As per news 30000 cars are sold in Surat every year - with an estimated Rs 21 crore taken illegally as handling charge
Then - situation is much bigger Pan India - wherein 25 Lakh cars are sold every year - means more than 1500 crore is what charged by dealers as handling charge and is illegal

An update from Kerala - worth to share - where actions are taken against Dealers charging Logistics / Handling Charge

Is this Law same for Maharashtra also,

I want to sue Royalenfield dealer for charging me 4000/- extra fees as dealer handling charges.

Regards,
Dhirne

Additional latest info post that Dealer Handling Charges are marked an unauthorized as per Circular report below

There is an updated that
> Maruti Suzuki
> Hyundai India

has asked dealerships to scrap in Logistics charges

refer report on :- Handling Charges Scrapped by Maruti, Hyundai

Lets await for other Auto makers to initiate removal of this dubious charge.
Update: Handling charges been scrapped from price list of Mahindra and Tata Motors too

I bought new Honda jazz last week. They charged Rs.12000. As handling charges. Is there any options to fight against this issues. If possible we can save other car buyers in that showroom. Pls let me know ur suggestion.

Update - Honda Dealers also has scrapped off dealer handling charge as checked in latest Price list in New Delhi

I purchased Honda amaze from Honda vision, Kerala

Dealer charged 6000/ as handling charges.I claimed back but not refunded.I contacted MD Honda India,Noida. Not settled but supporting dealer.

When I verified sale tax invoice on my vehicle They quoted a different Ex show room price.They collected 6,57 000/ from me as Ex show room Price.But in sale tax invoice Ex show room Price is only 6,16,000/. Dealer cheated me as well as the Government of Kerala.Matter communicated to Honda company.Dealer offered me 100000/- to settle.Honda officers r coming on 26 May to Discuss

Tata motors deogiri auto mumbai are still charging 9.5k from me after purchasing hexa xt from them already lodge complain to tata motors bt no response if thy charge thn wil complain to rto and consumer court

Sir, I purchase a grand i10 asta and dealer charge me many more charges i.e. Handling charge-3000,T/p charge-3500,and registration charge extra. Please suggest me how to collect excess charge by dealer

Respected Sir, I have already booked my car tats altroz XE on 10/2/2020.i complained to the authority but crm sent me below statement. Basis the ruling of the Delhi High Court dated 20 April 2012, automobile dealers are entitled to charge handling charges on the overall service which are provided by the dealership. The same ruling was upheld by the Supreme Court as well.



Handling charges are on account of below mentioned expenses incurred by dealership:



· Fuel expenses for bringing the vehicles from stockyard to the location for delivery purpose

· Fuel expenses for taking vehicle to registering authority for registration purpose(if required)

· Driver cost towards bringing the vehicle to concerned location and to RTO

· Transit risk insurance from dealer stock yard to showroom

· Fuel provided during delivery of the car

· Re-polishing, waxing, cleaning, checking of vehicle

· Delivery ceremony

· Other expenses incurred towards making the car ready for delivery



These charges are within purview of the Supreme Court & High court ruling. (rulings attached)

What I do after that. Please reply