Upheld: Goods and services under S75 complaint against Black Horse Limited
Financial Ombudsman decision DRN-6148323 of 2026-07-03T00:00:00+00:00. Goods and services under S75 complaint against Black Horse Limited. Outcome: Upheld.
Decision detail
| Reference | DRN-6148323 |
|---|---|
| Decision date | 2026-07-03T00:00:00+00:00 |
| Firm | Black Horse Limited |
| Product | Motor finance (PCP / HP) |
| Claim type | Goods and services under S75 |
| Outcome | Upheld |
| Remedy | End finance agreement with no liability for monthly rentals after collection; take back car without collection charge; refund deposit of £2,500; refund 10% of monthly instalments from 29 August 2022 until agreement ends; pay 8% simple interest per annum on refunds from date of each payment to settlement; pay £450 compensation for distress and inconvenience; remove adverse credit file information. |
Summary
Mr P purchased a used car via PCP agreement with Black Horse in June 2022. An air conditioning fault was reported in August 2022 and repaired in January 2023, but recurred in July 2024 and again in June 2025. Black Horse initially accepted the 2022 fault was present at supply but argued the later faults were due to wear and tear. The ombudsman found that the recurrence of identical faults (leak, seals, valves) three times within three years indicated the repairs had failed and the car remained of unsatisfactory quality. The ombudsman upheld the complaint and ordered Black Horse to end the agreement, take back the car, refund the deposit and 10% of instalments from August 2022 onwards, pay £450 compensation, and remove adverse credit information.
The Ombudsman's reasoning
The ombudsman found that while the initial fault in 2022 was undisputed as a breach of satisfactory quality, the recurrence of the same air conditioning fault in 2024 and 2025 indicated the repairs in January 2023 and July 2024 had failed. On the balance of probabilities, given the same fault (leak, seals, valves) recurred three times within three years, it was unreasonable to expect a reasonable person to experience this pattern if repairs had been successful. The ombudsman rejected Black Horse's wear and tear argument, finding it unusual for identical faults to recur so frequently. Having had two repair opportunities without success, it was reasonable to allow Mr P to reject the car under consumer rights law.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Black Horse Limited, all decisions | 1,462 | 27% |
| Goods and services under S75, all decisions | 19,913 | 36% |
| Motor finance (PCP / HP), all decisions | 19,529 | 38% |
Source
Read the original decision on the Financial Ombudsman Service website