Company cars should not be registered in the names of their owners, since they risk losing their driving licences because of the penalty points system, the GRTU – Malta Chamber of Small and Medium Enterprises said.

With the exception of speed camera tickets, penalty points cannot be imposed unless the driver of the car is stopped. However, the GRTU, which described the system introduced in December as “half-baked”, claimed there were instances where points were struck off even if the driver of the car was never stopped when a contravention was noticed.

The GRTU noted in a statement a few days ago the owner of a car-leasing company had his driving licence suspended after a client committed four offences. Yet it was the company’s owner who lost his licence, since the vehicle was registered in his name.

It said that despite raising the alarm at the very outset and also holding talks with the relevant authorities to address various issues, they were still pending, to the detriment of its members.

GRTU CEO Abigail Mamo pointed out the issue was mainly about companies managing large fleets.

Having company cars registered under the owner’s name was resulting in added paperwork and the submission of hundreds of declarations, apart from them having to convince third parties that they should accept liability for the penalty points, since they were the ones actually using the car, she said.

“Yet there are instances in which company owners are still incurring penalty points themselves,” Ms Mamo said.

In the past, she continued, business owners would at worst incur fines, which they would settle and then sort out the matter with clients or employees. But under the penalty points system the distress caused was much higher, because business owners might end up being unable to use their personal cars. 

The GRTU is, therefore, proposing that the law be changed, so that it would be the user and not the vehicle owner who will be held liable for contraventions.

“Contrary to the perception out there, we do not want to absolve our members from their responsibility. What we are seeking is a fairer implementation of the system,” Ms Mamo insisted.

Insurers have warned against making any exceptions to the system, saying such a move would be counterproductive, as it would detract from its purpose – to increase responsible driving on Maltese roads.

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