RMI members head into 2026 with a lot happening under the bonnet. New rules for the automotive aftermarket are now fully in force. Consumer protection expectations are rising. Data protection and direct marketing rules have been tightened. Credit regulation is under the spotlight again. At the same time, environmental obligations and the slow but steady shift towards electric vehicles are starting to change how contracts, warranties and risk are structured in the motor industry.
For workshops, dealerships, parts suppliers and fitment centres, 2026 will reward businesses whose contracts, paperwork and compliance are as well tuned as their workshop floor. Commercial law is no longer just “back office”. It sits squarely in your customer relationships, your supplier deals and your ability to win and keep good business.
This article highlights four key commercial law themes for 2026 and ends with a practical checklist for members.
1. Warranties, service plans and the updated aftermarket rules
The Competition Commission’s updated Guidelines for Competition in the South African Automotive Aftermarket (often linked to “Right to Repair”) were finalised in 2024 and became fully effective on 27 March 2025. They are no longer “on the way” – they are part of the landscape you will be working with throughout 2026.
In broad terms, the Guidelines:
- Cover the after-sale market, including maintenance and repair services, spare parts, accessories, tools and motor-vehicle insurance.
- Promote the unbundling of service and maintenance plans, which now also apply more clearly to demo and used vehicles.
- Aim to lower barriers to entry for independent workshops and parts suppliers, while protecting competition and consumer choice.
- Emphasise strict rules around exchanging competitively sensitive information between competitors.
Alongside the Guidelines, the Consumer Protection Act (CPA) continues to sit at the heart of customer-facing documentation. This includes job cards, quotes, invoices, extended-warranty contracts, service plans and online booking terms. The Ombud’s decisions and recent commentary repeatedly stress the importance of clear disclosures, honest marketing and properly drafted limitation-of-liability clauses.
What this means for RMI members in 2026
- Refresh customer documents, front to back
- Make sure your quotes, job cards and invoices clearly spell out labour rates, parts choices (OEM vs alternative), diagnostic fees and any environmental levies or shop charges.
- Use plain language. If you rely on limitation or indemnity clauses, they must be clearly drawn to the customer’s attention to stand a chance of being enforceable under the CPA.
- Align service plan and warranty wording with the Guidelines
- Check franchise, dealer and workshop agreements for clauses that might conflict with the updated aftermarket framework – especially exclusivity, tied selling and restrictions on independent repairers.
- Where you are an independent, ensure your paperwork deals properly with disclosure duties and insurance cover when working on vehicles still within OEM warranties.
- Train staff on what can and cannot be said
- Service advisers and sales staff must understand when their assurances become binding terms, and what they may (and may not) say about warranties, guarantees and “approved” parts.
Done well, these steps don’t just reduce disputes, they also increase customer trust and repeat business.
2. Data, privacy and digital dealings: POPIA in its stricter phase
By the end of 2025, the Protection of Personal Information Act (POPIA) has moved firmly into an enforcement phase.
Two developments are particularly important for motor-industry businesses:
- On 17 April 2025, the Information Regulator’s amended POPIA Regulations took effect immediately, strengthening data-subject rights and tightening organisations’ compliance obligations.
- A long-awaited Guidance Note on Direct Marketing was issued in December 2024 and unpacked in multiple 2025 alerts, reshaping how consent, opt-ins and opt-outs must work in practice.
For a typical RMI member who uses online booking forms, WhatsApp, SMS reminders and promotional e-mails, these changes are not abstract:
- Consent and opt-in: You need clear, provable consent for direct marketing to new prospects, and you must respect opt-outs promptly and across all channels.
- Multiple, easy channels to exercise rights: Data subjects must be able to object, correct or delete their personal information using reasonable channels, not just a single hard-to-find email address.
- Breach reporting: With online portals now available, it is easier for the Regulator to track reported data breaches and follow up.
For many customers, how you handle their data is now part of how they judge your professionalism as strongly as they judge a repair job.
3. Credit, affordability and deal structures
Many RMI members are directly or indirectly involved in credit – whether through instalment sale agreements, in-house workshop accounts, tyre and accessory finance, or by acting as intermediaries.
In August 2025, the Department of Trade, Industry and Competition published draft amendments to the National Credit Regulations for public comment, focusing on credit-bureau data, the submission of consumer information and the criteria for affordability assessments. Part of the draft package dealing with educational institutions was later withdrawn after strong public feedback, but the overall direction of travel is clear:
- More detailed and consistent data must be shared with credit bureaux.
- Credit providers are expected to validate income and financial prospects, not simply rely on assumptions or minimal documentation.
- Affordability assessments must use realistic expense norms, while treating small-business credit applications with appropriate nuance.
Even while the final shape of the regulations is being worked out, the message for 2026 is that “borderline” deals will be under more scrutiny.
RMI members should know their role in the credit chain, refresh credit documentation and train their sales and F&I staff. A sale that is later attacked as reckless credit does not only damage the finance house; it makes your dealership or workshop part of a difficult story.
4. Sustainability, waste and the EV transition
Environmental compliance is moving from the fringes to the centre of commercial planning in the motor industry. On the waste side, South Africa’s Extended Producer Responsibility (EPR) regime under the National Environmental Management: Waste Act has been supplemented by a detailed Guideline and Toolkit for determining EPR fees, published in November 2024. The toolkit helps producers and Producer Responsibility Organisations calculate fees for products and packaging across their full lifecycle – design, production and disposal.
This matters in 2026 because:
- Importers, manufacturers and brand owners of lubricants, batteries, parts and packaged goods bear primary responsibility for EPR – but retailers and fitment centres may be drawn into collection, reporting or fee pass-through via contract.
- EPR can affect pricing, margins and logistics, particularly where old parts, tyres, oils and batteries must be collected or sent to specific recyclers.
At the same time, South Africa is beginning to turn more decisively towards electric vehicles (EVs) and new-energy vehicles:
- The government has announced a R1 billion incentive package to support local production of EVs, batteries and related manufacturing, as part of a plan to shift production towards EVs by 2035.
- EV and charging infrastructure projects – from national production plans to regional off-grid charging investments – are gathering momentum, even though overall EV penetration remains small.
For RMI members, the legal angle is practical rather than theoretical:
- Waste and EPR clauses: Supplier and franchise agreements should clearly allocate who is responsible for EPR registration, fee payment and reporting, and what you will (or won’t) do in-store.
- EV-specific risk clauses: As EV work becomes more common, contracts with suppliers, landlords and insurers need to address battery storage, fire risk, specialised tooling, training and certification requirements, and who carries what liability.
- Marketing and “green claims”: As more businesses promote their environmental credentials, inaccurate or overstated “green” claims can attract regulatory and reputational risk. Ensure any sustainability claims are honest and evidence based.
Getting ahead of these issues in 2026 will help you avoid rushed, one-sided contracts later.
Conclusion
2026 will not be defined only by economic headwinds or sales targets. It will also be shaped by how well RMI members manage the legal frameworks around their businesses.
Well-structured contracts, clear customer documents, disciplined data practices and thoughtful planning for credit, waste and EVs can turn legal compliance from a headache into a competitive advantage. In a market where trust and value are everything, that may be the difference between simply keeping the engine running and really pulling ahead.
RMI4law members enjoy the benefit of legal advice from an attorney 24 hours a day. If you wish to join RMI4law, call 0861 668 677.Auto & General Insurance Company Limited is a licensed non-life Insurer and Financial Services Provider.