Lemon Laws and Your Rights
Is your car a "lemon"? If so, what rights do you have?
What are lemon laws? How do I know if my car is a lemon? Is it covered?
First, automobile lemon laws are consumer protection laws enacted by individual states (not the Federal government) to protect automobile buyers (and leasers, in many states) when their new car proves to be defective.
Here is part of introductory statement in one state's lemon law, which they call "Motor Vehicle Warranty Rights Act." :
"The General Assembly recognizes that a new motor vehicle is a major consumer purchase and that a defective motor vehicle is likely to create hardship for, or may cause injury to, the consumer. It is the intent of the General Assembly to ensure that the consumer is made aware of his or her rights under this article. In enacting these comprehensive measures, it is the intent of the General Assembly to create the proper blend of private and public remedies necessary to enforce this article."
A car manufacturer is required to replace or buy back a vehicle when it meets certain qualifications. Generally, those qualifications are that the vehicle has a recurring problem that can't be repaired in a specific number of attempts or in a reasonable amount of time. If a car meets the qualifications, it meets the legal definition of a "lemon."
Occasionally car buyers may experience a series of different problems with their new car, and get them all successfully repaired under warranty by their dealer. As frustrating as it might be to have so many problems with a brand new vehicle, the car is NOT considered a lemon and the dealer/manufacturer has no legal obligation to replace or repurchase the vehicle. Lemon laws don't typically apply unless the vehicle was in the shop for an unreasonable amount of time.
It is difficult to be very specific about what constitutes a "lemon" situation because lemon laws in individual states differ. Lemon laws generally apply to cars, some trucks, possibly motorcycles, or even motorhomes but the details can vary by state.
Furthermore, the specific conditions that have to be met to qualify as a lemon also vary. The time period in which the law applies can vary. For example, in some states the car must be within its general warranty period. In others, it can be within the longer drive-train warranty period. In others, it might be specific time period, such as within one year or purchase or 12,000 miles, regardless of warranty.
In some states, lemon laws apply to leased vehicles as well as purchased vehicles; in others, not. The laws apply to individual consumers but may, or may not, apply to some business vehicle purchases.
States may devalue a lemon vehicle based on how much it's been used or how far it's been driven — or the original purchase price exceeded "reasonable and normal."
What to do if you think your car qualifies under the lemon laws in your state
Car manufacturers are required to include a booklet with all new cars that explains a consumer's rights and procedures to follow in lemon law situations. Make sure you follow those instructions to the letter. Make copies of all correspondence, send all correspondence by certified mail, keep detailed dated repair receipts, and make notes of any telephone conversations.
Most states provide for establishing an informal arbitration administrator to act as a non-biased third party to resolve lemon law disputes.
Car manufacturers and consumers usually agree to the terms of the arbitration. However, in some cases either the manufacturer or consumer rejects or appeals the administrator's decision, or do not act within a specified time. In such cases, the dispute may be taken to court, with attorney's representing both sides.
If you have a lemon law case that is anything other than simple and straightforward, you would be wise to seek the advice and assistance of a lemon law attorney — a lawyer who specializes and has experience in lemon law cases. Even if you think the situation might be resolved in arbitration, an attorney's guidance may save you money and headaches. Oftentimes, a simple letter from an attorney is all it takes to get fast resolution.
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