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the most important question right now is how long have you had it and i hope you are going to say less than three months (to take advantage of the lemon laws) ... this just makes the next bit a lot easier.

Lemon law only lasts 3 months so you can push based a bit on the below but you need to find real parameters on the movement of the wheel independently and verified by VW Aust or VW Globally to support your position. It would also be good to record in writing what VW dealers are saying so you can stick it to them legally with the other info you extract in the process and point out to relevant bodies that they are not in compliance with the law and detrimental to the safety of the public. Dont forget they are trying to fog you over or push you off because they know 3 months inst long and that dealers sell second hand cars without a care in the world.

Moral .... don’t but from a dealer second hand they are usually trash better to buy a well maintained private unit which went through all the checks.

I agree there should be a massive 3-5 cms of movement and I am 168cm tall and I can see your wheel is in a dangerous position for a couple of reasons.

Next point: Australian Consumer Law. "Not fit for purpose" !
Now you have two very important weapons (although it depends how much time and effort you have up your sleeve) to complete the concerns at hand.

1- the info you extracted above as mentioned
2- Australian Consumer Law. "Not fit for purpose" protection law.

Based on (1) you can continue with (2) but a bit of hassle going through a tribunal which you would need to do to point out the concerns. You have 3 years from purchase to do this.
My advice ring ACCC (first thing in the morning so you are not waiting in a phone queue) and see which way they can guide you further.

Best of luck and stay strong.

Key here is to push the worrying inadequate position of the wheel, that it is not safe .... for viewing, and therefore negotiation of the vehicle and that it could be a danger to both you and the people around you.
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