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Once a safety-defect determination is made, the law gives the manufacturer three options for correcting the defect – repair, replacement, or refund. In the case of a vehicle recall, the manufacturer may choose to repair the vehicle at no charge; replace the vehicle with an identical or similar vehicle; or refund the purchase price in full, minus a reasonable allowance for depreciation. In the case of equipment, including tires and child safety seats, the manufacturer may either repair or replace the affected equipment at no charge to the consumer.
In addition, if a vehicle owner or passenger was injured as a result of a defect in the vehicle, the manufacturer may be subject to a lawsuit for the resulting damages.
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