Court Orders Seller to Refund and Take Back Used EV After Ownership Transfer Leaves Infotainment System Unchangeable

In December 2024, Chen purchased a used new-energy vehicle for RMB 205,000. After the vehicle was transferred to his name, Chen discovered that the vehicle’s onboard infotainment system could not change its primary user account, severely limiting basic functionality. Further investigation revealed that the vehicle remained under mortgage due to outstanding financial loan payments, exposing it to risks of remote power disconnection and immobilization. Chen repeatedly negotiated with the seller, Company A, seeking a return of the vehicle and refund, but to no avail, prompting him to file a lawsuit. The court held that the infotainment system of a new-energy vehicle is deeply integrated with the vehicle itself, and the inability to change the primary user significantly impairs the vehicle’s functionality while also posing privacy and safety risks. As a professional used-car dealer, Company A failed to exercise due diligence in verifying the vehicle’s status and did not truthfully disclose material information to the buyer, constituting a fundamental breach of contract that rendered Chen’s purpose of purchasing the vehicle unachievable. The court therefore ruled to rescind the sales contract, ordering Company A to refund the full purchase price and compensate Chen for insurance premiums and inspection and repair costs he had already paid. The judgment has taken effect.