Questions Frequently Asked About the Lemon Law Program
A replacement with a comparable new car.
A refund of the contract price. The arbitrator may or may not award a mileage deduction for the use that you have had of the vehicle. The statutory mileage deduction is computed by multiplying the present mileage of the vehicle times the contract price and dividing that figure by 120,000. Refund or replacement awards may also include reimbursement for other damages or costs. We advise you to have receipts.
If the arbitrator finds the defects in question do not substantially impair the use, safety or value of the vehicle, a “no action” decision is rendered. Therefore, no further action to remedy the problem shall be required of the manufacturer. Your recourse at this point would be to seek legal counsel for private litigation against the manufacturer. You could only reapply for Lemon Law arbitration for a different defect, which meets the eligibility requirements.
What if I’m dissatisfied with the arbitration decision?
When can I expect the manufacturer to comply with an arbitration award?
The written decision will state the exact date for performance. The arbitrator will make every effort to see that the problem is resolved at the earliest possible date. The Department will contact you within ten (10) days after the performance date to determine if the manufacturer has complied with the arbitrator's decision. If the manufacturer has not complied with the award, the case is referred to the Office of the Attorney General.
What if I request arbitration, but the manufacturer and I resolve the problem on our own?
1. The date on which you accepted the manufacturer’s offer of a pre-hearing settlement.
- Was there a Refund or Replacement or Repair or Other Remedy?
- Who will pay for the difference in model/year upgrade? How much?
- Will there be a deduction for mileage?
- Who is responsible for registering the new vehicle, including cost?
- Who is responsible for the difference in sales tax?
- If the settlement is a repair, what happens if the repair does not work?
- What type of warranty will be given with the replacement or repair?
- What monies is the consumer responsible for?
- What monies is the manufacturer responsible for?
3. The date by which the terms of the decision settlement will occur.
Notify the Department of Consumer Protection, Lemon Law Office in writing, if the terms of your settlement are not met within a specified time frame. At that point, the State arbitration process may resume and a new hearing date scheduled. Keep in mind, the Lemon Law legislation does not cover settlements made between a consumer and manufacturer prior to a decision by the arbitrator.
Certified manufacturer’s programs
Your Right To Know: posted notices in dealerships