Automotive dispute
Court awarded over RUB 10 million for a CHERY destroyed by fire
A car worth RUB 3.4 million burned out completely due to spontaneous combustion. The insurer did not pay, the dealer went bankrupt, and the brand’s official representative refused to settle the dispute voluntarily.
What happened
The client bought a new CHERY car in 2023 for RUB 3.4 million. A little over a year into operation, the car, left in a parking lot, burned out completely. According to the state fire examination, the cause of the fire was established as spontaneous combustion of the car.
The Task
To achieve compensation for the value of the destroyed car and related consumer rights payments in a situation where the insurance company refused compensation and the car seller was in bankruptcy proceedings.
Why the Case Was Difficult
- the car was destroyed completely;
- the insurance company refused to pay;
- the dealer was in bankruptcy proceedings;
- the brand’s official representative did not voluntarily compensate the car’s value;
- in the court proceedings, the defendant disputed the findings of the examinations and asked for a repeat investigation.
How the Work Proceeded
What We Did
- 01
Analyzed the circumstances of the fire and the conclusion of the state fire examination.
- 02
Identified the proper defendant — the manufacturer’s official representative in Russia.
- 03
Sent a claim to Chery Russ LLC.
- 04
After the refusal of voluntary settlement, filed a lawsuit.
- 05
Participated in the court proceedings and the investigation of the causes of the fire.
- 06
The court examination also confirmed the spontaneous combustion of the car.
- 07
Objected to the need for a repeat examination.
- 08
Achieved satisfaction of the claims.
Two examinations confirmed spontaneous combustion
First, the cause of the fire was established by the state fire examination. Already during the court proceedings, a court examination was ordered, which also confirmed the spontaneous combustion of the car. Despite this, the representative of Chery Russ LLC asked for a repeat examination. The court refused to order it and accepted the results of the already completed studies.
Result
The court satisfied the claims against the manufacturer’s official representative
The court ordered Chery Russ LLC (ООО «Чери Рус») to pay our client the vehicle’s price of RUB 3.4 million. The total award exceeded RUB 10 million, including penalties, a fine payable to the consumer, compensation for non-pecuniary harm and other awarded amounts.
Why this case matters
In such disputes, it is important not to stop at the insurer’s refusal or the dealer’s bankruptcy. If the cause of the car’s destruction is a manufacturing or other defect of the car itself, it is necessary to assess the liability of other participants in the chain, including the manufacturer’s official representative.
In this case, the proven cause of the fire was of key importance: spontaneous combustion was confirmed both by the initial study and by the court examination.
Practice Areas
Practices Related to This Case
Managing Partner, Konsultant Law Firm
Nikolay Nemkov
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