What Are The Possible Outcomes?

If it is decided that your vehicle is a lemon, you may choose between receiving either a refund or a comparable replacement vehicle.

In the case of a refund, the manufacturer is entitled to deduct a reasonable allowance for vehicle use, which is computed based on the number of miles driven beyond 12,000 miles, and which cannot exceed ten cents per mile. The manufacturer may also deduct an allowance for any damage not attributable to normal wear or to the defect in question.

After this deduction, you are entitled to receive all sales taxes, license and registration fees, and any similar governmental charges, as well as the refund of the purchase or lease price.

In addition to a refund or replacement, you may be able to receive attorneys fees (if applicable) and any relief available under any other law. If ­ in a state­run arbitration settlement—the decision is against the manufacturer, the latter may be obligated to pay the costs of arbitration.

If the following conditions prevail, you are not eligible for legal remedy under the Lemon Law:

  • The manufacturer proves that it has not had a reasonable opportunity to repair your car. For example, if was proven that the number of repair attempts was not reasonable because you did not follow the terms of the warranty or some event (such as a labor strike, war, or natural disaster) prevented timely repairs, the Lemon Law will not help you.
  • The manufacturer proves that no problem exists or that the problem does not substantially impair the vehicle`s use, value, or safety.
  • If the defect was the result of abuse, neglect, unauthorized alterations or modifications, or an accident.

The information on this page is meant to provide a general overview of the law. The laws in your state and/or city may deviate significantly from those described here. If you have specific questions related to your situation you should speak with a local attorney.

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