Free New York Lemon Law FAQs | Free New York Lemon Law Legal Documents

Does A Used Car Dealer Have To Tell Potential Purchasers Or Lessors Of The Vehicle That It Was Returned As A Lemon?

Tue, 29 May 2007 21:19:00 GMT

Yes, written, conspicuous disclosure is required.

Written disclosure must also be printed on the certificate of title by the New York State Department of Motor Vehicles.

Does The State Of New York Have A Used Car Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

Yes, it is New York General Business Law, § 198b

The law requires dealers to give consumers of used cars a written warranty, to repair—free of charge—any defects in parts covered by this warranty, and to provide a full refund if unable to repair the defects after a reasonable number of attempts.

Under this law, no used car may be sold as is.

I Think I Have A Lemon. What Should I Do?

Tue, 29 May 2007 21:19:00 GMT

If you experience problems, you must report them to the manufacturer or authorized dealer who must correct them free of charge. If the same problem cannot be repaired after four or more attempts, or if your car is out of service for 30 or more days, you may be entitled to a new car or refund. Refunds are for the amount of purchase, plus license and registration fees, minus a mileage allowance if the vehicle has been driven more than 12,000 miles. All new car dealers are required by New York State to provide consumers, at the time of purchase or lease of a motor vehicle, with a copy of the new car lemon law.

I'm Still Not Satisified. What's Next?

Tue, 29 May 2007 21:19:00 GMT

You may sue the manufacturer or participate in an approved arbitration program. The Better Business Bureau offers AUTO LINE, a free and easy way to resolve car problems. In fact, if your car is a Chevrolet, Pontiac, Oldsmobile, Buick, Cadillac, Chevy/GEO/ or GM Truck, you can use AUTO LINE for most engine or transmission problems. In some cases, current ownership is not required to get reimbursement of past repairs. Other cars eligible for AUTO LINE are Honda, Acura, Volkswagen, Audi, Nissan, Infinity, Saab, Saturn, Sterling, Toyota, Alfa Romeo, Izuzu, Hyundai, Kia, Lexus, Hummer, Land Rover, Range Rover and Porsche. To file a complaint through the Bureau`s AUTO LINE program call (800) 9555100.

You may also participate in the New York State Attorney General`s arbitration program upon payment of a $200 filing fee. This program is open to all car models but accepts lemon law replacement or buy back requests only.

What Are My Options For Action Under The Used Car Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

You may seek to receive a replacement vehicle or a refund via the same options as presented in the New York New Car Lemon Law; any action under the Lemon Law must be commenced within four years of the date of original delivery.

What Are My Options?

Tue, 29 May 2007 21:19:00 GMT

If your manufacturer either fails to make a final attempt to repair the defect, or if the defect still exists after such an attempt, you may seek to receive a replacement vehicle or a refund via the following options:

Arbitration: Also known as informal dispute settlement, arbitration is an informal process that consumers may use to obtain speedy resolution of a warranty dispute without having to go to court, and it is legally binding on the manufacturer. At an arbitration hearing, the seller and buyer testify before an arbitrator about the condition of the vehicle. In New York, there are two types of arbitration for new cars:

New York StateSponsored Arbitration: This program is administered by the American Arbitration Association (AAA). To participate in this program, you must request and complete a Request for Arbitration form from any of the Attorney General`s regional offices, and return it to the Attorney General`s New Car Lemon Law Arbitration Unit.
1. Send your Request for Arbitration form to the Lemon Law Unit of the Division of Consumer Affairs : If your case is accepted for arbitration, the AAA will appoint an arbitrator and schedule a hearing within 35 days, and will request from you a filing fee.
2. If your case is rejected, the form will be returned to you, with an explanation for the rejection.
3. You may choose between having an oral hearing, or one which is based on documents only; however, the manufacturer has the right to object to a documentsonly hearing, in which case an oral hearing will be held.
4. You and the manufacturer have the right to have an attorney present at the arbitration hearing if you so desire, although the program is designed to be accessible to consumers without the need for legal representation.
5. You may expect a decision generally within 10 days of the hearing. Decisions made under this program are binding on both parties.
6. Either you or the manufacturer may commence a lawsuit to challenge an arbitrator`s award within 90 days of receipt of the decision; however, the grounds for such challenges are limited by law and difficult to reverse. If you have new facts to present, you may reapply for another arbitration procedure.
7. If the arbitrator finds in your favor, you will be able to recover the program`s filing fee.
8. The manufacturer has 30 days to comply with the arbitrator`s decision. Failure of the manufacturer to comply within this time period entitles you to recover an additional $25 for each business day of noncompliance, up to $500.
9. If the manufacturer fails to comply at all, you can enforce the arbitrator`s decision in court, which you must do within one year of receipt of the decision.
ManufacturerSponsored Arbitration: You may also choose to use the manufacturer`s dispute settlement program.
If the manufacturer`s arbitration procedure is certified in the state of New York, the manufacturer may refuse to provide a refund until the consumer first participates in such procedure or in the staterun arbitration program. The manufacturer may also require that you utilize its arbitration program before you may file for lawsuit in court.
You can find out if your manufacturer sponsors a certified arbitration program by reading the information accompanying your warranties, asking your dealer for information, or by contacting the New York Office of the Attorney General.
Decisions made by manufacturer`s arbitration programs are not binding on you, so if you are not satisfied by such a decision, you may still apply for arbitration under the state`s arbitration program or file a lawsuit in court. However, any prior arbitration decision may be considered at any subsequent arbitration hearing or court proceeding.

What Are The Possible Outcomes?

Tue, 29 May 2007 21:19:00 GMT

If it has been determined that your newly purchased use car is a lemon, you are entitled to receive a refund for the vehicle.

The dealer is permitted to offer you a replacement vehicle instead of a refund, but you have the option of accepting or declining a replacement and demanding a refund instead.

In a refund, the manufacturer is entitled to deduct a reasonable allowance for any damage beyond normal wear or use, or for any modifications made to the vehicle which either increase or decrease its market value. There is no deduction for mileage.

After this reasonable allowance, you will be refunded the full purchase price as well as state and local sales taxes from New York State.

If the car was financed, the refund is divided between you and the lender, according to how much you still owe; if the car was leased, the refund consists of all payments that you had made to date.

What Do I Need To Do Before I Can Claim That My Newly Purchased Used Car Is A Lemon?

Mon, 04 Jun 2007 21:51:22 GMT

It is your responsibility to promptly bring the motor vehicle in to notify the dealer of the problem and give the dealer an opportunity to repair the defect(s).

If you provide such notification within the used car warranty period, the dealer must make the repair even if the warranty has subsequently expired.

If the vehicle is financed or leased, you should continue to make your monthly payments unless otherwise advised by an attorney.

The used car warranty is extended for each day that the vehicle is in the shop for repairs.

The vehicle must have been taken in to the manufacturer or authorized dealer for a reasonable number of attempts to repair the defect(s). It is already presumed that your vehicle has undergone a reasonable number of attempts in the following situations:

If you have taken the car in for at least three repair attempts for the same defect, and the defect continues to exist;
Or, if the car has been out of service for a cumulative total of 15 or more calendar days, while being repaired for any number of defects, and the defect continues to exist. The 15day period may be extended by any amount of time during which repair services are unavailable due to war, strike, or natural disaster.

If the dealer fails to repair the problem after step two has been exhausted, and if the problem substantially impairs the value of the used vehicle, the dealer is required to accept the return of the vehicle and refund the full purchase price.

What If My Problem Does Not Fit The Requirements Of My State's Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

If your vehicle does not meet the term of protection or other specifics of the Lemon Law, it does not mean that your rights stop there. You still may be able to invoke the Lemon Law as long as you can justify that the number of repair attempts or days out of service that you encountered were unreasonable.

You may also have other rights under other state and federal laws, such as the following: the federal MagnusonMoss Warranty Act ; the Uniform Commercial Code (UCC); your service contract or extended warranty; secret warranties; implied warranties; express warranties; unfair and deceptive acts and practices (UDAP); and strict liability and negligence.

Consult an attorney, the New York Office of the Attorney General, or Center for Auto Safety to determine which remedy would be best for your situation.

What Is The New Car Lemon Law Term Of Protection?

Tue, 29 May 2007 21:19:00 GMT

The term of protection is for the first two years or 18,000 miles from date of delivery, whichever is reached first.

It is during this term of protection that you must report the defect to the manufacturer or dealer.

This term of protection may be extended by any amount of time during which repair services are unavailable due to war, strike, or natural disaster.

As long as notice of the defect is given within this term of protection, the manufacturer may not charge for the repairs of any defect covered by the warranty, regardless of when the repairs are performed.

What Is The New Car Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

The New Car Lemon Law (General Business Law 198a) provides a legal remedy for consumers who are buyers or lessees of new cars and certain used cars (see next question) that turn out to be lemons. If the car does not conform to the terms of the written warranty and the manufacturer or its authorized dealer is unable to repair the car after a reasonable number of attempts during the first 18,000 miles or two years, whichever comes first, the consumer can choose a full refund or a comparable replacement car.

What Is The Used Car Lemon Law Term Of Protection?

Tue, 29 May 2007 21:19:00 GMT

The law requires used car dealers to provide their customers with warranties, the length of which depends on the used motor vehicle`s mileage at time of purchase:

If a motor vehicle has 18,001 to 36,000 miles, the dealer must provide his customer with a warranty for 90 days or 4,000 miles, whichever is reached first;
If a motor vehicle has between 36,001 and 79,999 miles, the dealer must provide the customer with a warranty lasting 60 days or 3,000 miles, whichever is reached first;
If a motor vehicle has between 80,000 and 100,000 miles, the dealer must provide the customer with a warranty for 30 days or 1,000 miles, whichever is reached first.

What Types Of Defects Are Covered Under The Used Car Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

The law requires a dealer to repair any material defects that substantially impair the use, value, or safety of the used vehicle; that are covered by the warranty, that occur during the applicable warranty period; and that are not the result of your abuse, neglect, lack of maintenance, or an accident. As The law requires that the warranty cover specific parts; contact the New York Office of the Attorney General to find out if the defective part on your vehicle is covered.

The cumulative effect of numerous lesser defects may add up to a substantial impairment of value.

What Types Of Defects Are Covered?

Tue, 29 May 2007 21:19:00 GMT

It covers defects that are covered by the warranty; that substantially impair the use, safety, or market value of the vehicle; and that were not caused by an accident, abuse or neglect, or unauthorized modifications or alterations to the vehicle.

The cumulative effect of numerous lesser defects may add up to substantial impairment of value to render your car considered a lemon.

What Types Of Vehicles Are Covered Under The Used Car Lemon Law?

Mon, 04 Jun 2007 21:51:22 GMT

This law covers a used vehicle that satisfies all of the following conditions:

It was purchased, leased, or transferred after the expiration of the New Car Lemon Law`s term of protection, being the earlier of the first 18,000 miles or two years from date of delivery to the original owner;
It was purchased or leased from a New York dealer, not a private party;
It had a purchase price or lease value of at least $1,500;
It had been driven less than 100,000 miles at the time of purchase or lease;
And it is used primarily for personal, family, or household purposes.

What Types Of Vehicles Are Not Covered Under The Used Car Lemon Law?

Mon, 04 Jun 2007 21:51:22 GMT

The law does not cover used motorcycles, motor homes, offroad vehicles, and classic cars registered under section 401 of the vehicle and traffic law.

The law does not cover used cars that were purchased from private individuals (rather than from a dealer). Under this law, a dealer is any person or business who sells or leases four or more used cars within a 12 month period.

The law does cover vehicles owned or leased by businesses as long as they are used primarily for personal, family, or household purposes.

What Vehicles Are Covered Under The New Car Lemon Law?

Sat, 07 Jun 2008 18:41:30 GMT

The law covers both new and used cars, including demos, which satisfy the following four conditions:

The car was covered by the manufacturer`s new car warranty at the time of original delivery; and
The car was purchased, leased or transferred within the earlier of the first 18,000 miles or two years from the date of original delivery; and
The car either: (a) was purchased, leased or transferred in New York, or (b) is presently registered in New York; and
The car is primarily used for personal purposes. Some examples of cars that are covered by the new car lemon law are:
- a new car purchased or leased from a New Jersey dealer and registered in New York;
- a yearold, demonstrator car with less than 18,000 miles purchased from a New York dealer and registered in New Jersey;
- a used car with less than 18,000 miles and less than 2years old, purchased from a Connecticut dealer and registered in New York;
- a used car with less than 18,000 miles and less than 2years old, received as a gift from a friend and registered in New York.

The following table summarizes what is covered, how many times the vehicle has to be repaired for the same defect and the warranty period.

Vehicles Covered

Repair Interval and Coverage Period

Any noncommercial motor vehicle purchased or leased, except for motorcycles, certain motor homes, and offroad vehicles.

4 repair attempts or 30 calendar days out of service.

2 years or 18,000 miles.

Note:

Generally, the term Repair Attempts, as it relates to Lemon Law, refers to one or more attempts to fix the same defect although some states consider a vehicle to be a lemon if it required the specified number of repairs within the coverage period.

A car is out of service while being repaired or waiting for parts.

Warranty Period refers to the Manufacturer`s Express Warranty. Where the Coverage Period lists more than 1 option, the period applies to that option which occurs first.

This is only a summary, to get the complete Lemon Law Statute select your state from the combo box menu on the right side of this page, and click Get Statute.

Where Can I Get More Information About The New And Used Car Lemon Law?

Tue, 29 May 2007 21:19:00 GMT

New York Office of the Attorney General
The Capitol
Albany, NY 12224
5184745481, OR
120 Broadway
New York, NY 10271
2124168345
Information and Complaint Line: 8007717755
www.oag.state.ny.us

New York State Bar Association
Lawyer Referral and Information Services
8003423661
www.nysba.org/lris/lris.html

New York Department of Motor Vehicles (DMV)
Albany State Office: 5184748943

Attorney General`s New Car Lemon Law Arbitration Unit
New York State Department of Law
120 Broadway, New York, NY 10271
For Request for Arbitration forms on the Web, go to: www.oag.state.ny.us/consumer/consumer_issues.html

Center for Auto Safety (CAS)
2001 S Street NW
Washington DC 200091160
2023287700
www.autosafety.org
CAS is a non profit consumer group specializing in auto issues. They can help you find out about safety recalls, Lemon Law, secret warranties, and other general information.

Car Talk Car Reports:
You might want to run a Car Talk Car Report (http://cartalk.cars.com/Tools/carreport.pl) on your car, to see if there have been any recalls, Technical Service Bulletins, or a large number of complaints on file relating to your particular problem.

National Highway Traffic Safety Administration (NHTSA)
400 Seventh Street SW, Washington, DC 20590
Auto Safety Hotline: 8004249393
NHTSA can give you information on the safety recall history of your vehicle.

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