Over 370 BMWs bound for New Jersey port damaged in shipping

[Tom]

The carrier M/V Courage tipped at the port in Jersey City on Friday causing damage to over 370 BMWs. The ship was loaded with new 3-series and 1-series vehicles, including new M3s. Around 70 of the damaged cars are reported to be total losses with others sustaining major damage. Word is that the M3s bared the brunt of the brutality. Extensively damaged cars will be crushed while those with minor damage will undergo repair at a receiving facility in Elizabeth, NJ, after which they will proceed onto dealers. Bimmers destined for European delivery customers were also on board, although it's not clear how those buyers will be handled in the wake of the incident.

This is a particularly harsh hit to BMW in terms of the new M3 and even more so for the owners awaiting their new V8-powered uber-coupes. We'd expect this unfortunately event will lead to an extension of the waiting period many potential customers will have to endure. It also means many dealerships are out of luck for a demo car. With the M3's competition coming on strong from the likes of Lexus, Cadillac and Mercedes one can only imagine this sort of setback might steer away a few potential buyers.

Source:
http://www.autoblog.com/2008/01/14/over-370-bmws-bound-for-new-jersey-port-damaged-in-shipping/

Pictures:
http://www.autoblog.com/photos/bmw-m-v-courage-shipping-damage/577090/

 

[MTBL525i]

Wow...that's really sad. Who would want one of those cars though, the ones that are going to be fixed and sent on to the dealership? I wouldn't

 

[Big Daddy]

Too bad, wasn't it fairly recently that BMW suffered a loss on some other cars when a transport ship sunk or something?

 

[Kirby]

It tipped AT THE PORT? Sounds like the loadmaster is going to be in the unemployment line!!!!!

"Bimmers destined for European delivery customers were also on board, although it's not clear how those buyers will be handled in the wake of the incident."

When I did Euro Delivery, this was a bit fuzzy. The BMW documents say that since you took delivery in Europe, you are responsible for insurance as soon as it leaves Europe. But my dealer told me HIS insurance would cover it from the time it arrived in the US until I picked it up. I talked to my agent, and he said they would cover any damage during shipping, and then file against the shipping company. So yeah, I can believe it's a bit unclear.

 

[soundmax]

Sorry, I would demand a new one. No way I'd be paying $55M+ for a repaired vehicle.

 

[William330]

Sorry, I would demand a new one. No way I'd be paying $55M+ for a repaired vehicle.

I wouldn't even pay $55K.

I recall seeing such transit damage info on a CarFax report (it said
something such as "repaired scratch on hood") and then the next
CarFax entry stated "new car dealer took delivery."

It was used, and the hood looked mint, but damage like that, or worse
("replaced right fender") would put me off taking delivery of such a
new vehicle.

 

[tool fan]

I just hope that the dealers are honest enough to disclose the extent of the damage. I would take one ..... at a discounted price.

 

[Kirby]

There are laws state by state they dictate the disclosure requirements. This was actually run all the way to the US Supreme Court involving a repainted 7er. The original suit by the car owner awarded punitive damages of $4M. BMW appealed. The appeal details the original suit and the Supreme Court's rationale for not agreeing with, and denying, punitive damages. Interesting insight into how this whole thing works. You can read all the details here.

Bottom Line: The vehicle prep centers at the ports do this work ALL the time. There is more cosmetic damage than you might expect. If a fender gets scratched on the boat, they repaint it. The disclosure laws basically require them to disclose it only if the damage exceeds X% (per state, anywhere from 2% to 6%) of the value of the car, or $XXXX (thousands not hundreds).

In most states, if they repaint a fender, it is under this limit, and will never be disclosed. And it appears that the dealer will not even be aware of the repair.

Don't crucify BMW for this - ALL car manufacturers do this!

 

[E30m42cab]

http://www.cargolaw.com/2006nightmare_cougar-ace2.html
Scroll down through this page... shows a bunch of M/V's tipped over... and one with a bunch of damaged Mazdas.

 

[Kirby]

Nice find!! There is some really interesting stuff there, good reading and pics.

But that web site design is a MESS.

 

[Year1of1]

I work near the port, heard about it. Called my BMW dealer to ask bout it and they confirmed. It's setting shipping dates back at least 2-3 weeks now

 

[enzo90]

hmmm

maby i might be able to pick up a cheap M3 now

or at least an engine to drop in my e30

id hate to see all of those wonderful pieces of German engineering crushed completely

 

[E30m42cab]

hmmm

maby i might be able to pick up a cheap M3 now

or at least an engine to drop in my e30

id hate to see all of those wonderful pieces of German engineering crushed completely

I was thinking the same thing... I could always use 300bhp in my E30 if a 135i was willing to donate!

 

[enzo90]

I was thinking the same thing... I could always use 300bhp in my E30 if a 135i was willing to donate!

or maby 420 from a certain generous m3

 

[Kirby]

Official Announcement by BMW!!!

Some customers waiting patiently for a new BMW have received unhappy news: 122 were totaled during a rough North Atlantic crossing that damaged 430 of the vehicles.

The Courage, a car carrier headed to New Jersey from a North Sea port in Germany, rolled in heavy winter seas on Jan. 2, breaking BMWs from their lashings and sending them pinballing around a cargo hold. The ship docked in Newark on Jan. 11.

“Once one car broke loose, it all started going downhill,” said Tom Plucinsky, a BMW spokesman. “They just beat each other to death.”

The smashed cars included 30 examples of one of the year’s most anticipated models: the high-performance M3 coupe and sedan. Mr. Plucinsky said the M3s were not customer models, but were designated for dealer introduction events.

The 732 BMWs aboard also included 3-, 5-, and 7-Series models, X3 sport utilities and the first 1 Series coupes for the United States. The 1 Series, a new model, goes on sale in March.

Mr. Plucinsky said BMW had contacted the customers affected. For models whose damage is less than 3 percent of its value, buyers can choose to accept a repaired car or a similar model, or have a new car built to order.

Repairable cars with more than 3 percent damage will be driven by company employees. They will eventually be resold as certified used cars, with full disclosure of their history.

BMW estimated that the retail value of the totaled cars was more than $6 million.

 

[William330]

The Courage, a car carrier headed to New Jersey from a North Sea port in Germany,
rolled in heavy winter seas on Jan. 2, breaking BMWs from their lashings and sending
them pinballing around a cargo hold. The ship docked in Newark on Jan. 11.

“Once one car broke loose, it all started going downhill,” said Tom Plucinsky, a BMW
spokesman. “They just beat each other to death.”

I almost shed a tear at that imagery.

 

[Detrich]

if some of those cars were "custom ordered" vehicles, it makes it more interesting. in that case i think customers should hope their cars were totalled and wait another 4-6 months for a new vehicle- whatever the turn-around is. the ones damaged & going for repair are probably f#cked unless they have good lawyers. sad no matter how u look at it.