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Ruling Puts a Squeeze on Defective Cars

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When I was in high school, my sister and I picketed in front of a local car dealer. We marched back and forth holding signs covered with lemons. We were desperate. Her car had been in the shop more than it had been on the freeway. We wanted the dealer to replace her lemon with a new car, and we knew of no other way to get the dealer’s attention.

If you have the same problem today with a new car, there is a way to get the dealer’s and the manufacturer’s attention: the Lemon Law.

Passed in 1982, the law is actually an amendment to another state statute, the Song-Beverly Warranty Act, which requires that manufacturers refund or replace consumer products sold with a written warranty if a material defect cannot be repaired after a reasonable number of attempts.

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Term Defined

The Lemon Law defines what is meant by a “reasonable number of attempts” when it comes to repairing a motor vehicle. If within the first year or 12,000 miles, four or more unsuccessful attempts are made to repair the same problem or if your car is out of commission for more than 30 days (they don’t have to be consecutive), then the law creates a “rebuttable presumption” that you’ve made a reasonable attempt to repair the car.

That means that unless the manufacturer can defeat that legal presumption by showing specifically that it has not had a reasonable opportunity to repair your car, you are entitled to a refund or a replacement car.

As with any legal requirement, there is some fine print. The law only applies to new cars, vans or trucks sold in California for personal, family or household use. It covers demonstrator models sold with a new-car warranty, and it covers the chassis of a motor home, but not the living quarters. It does not apply to motorcycles or off-road vehicles.

For the Lemon Law to apply, the vehicle’s problems must be covered by the warranty in the first place. You must also notify the manufacturer about the problem if the manufacturer has clearly and conspicuously informed you of such a requirement. (Check your warranty, owner’s manual and any other papers you received when you bought the car.)

Perhaps most important, in order to receive the benefit of the Lemon Law’s “rebuttable presumption” about what is a reasonable repair attempt, you must first take your complaint to a “qualified” third-party dispute resolution program.

Check Your Warranty

You only have to do this if the manufacturer has informed you in writing (check your warranty) that such an arbitration program is available. The arbitration boards must meet Federal Trade Commission standards, comply with state law requirements, and be certified by the state Bureau of Automotive Repair.

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The whole arbitration process should take less than a few months. The panel will review your written complaint and copies of all your records. (That’s why its extremely important to save all repair invoices and other records.) The manufacturer will also present its side of the story in writing.

If your car’s troubles stem from your own abuse or a failure to service your car properly, you’ll lose. And even if you win, there is no guarantee that the manufacturer will promptly refund or replace the vehicle. You may have to retain a lawyer and file a lawsuit. At least the decision of the arbitration board will be admissible in court.

The Lemon Law also allows the judge to order the manufacturer to pay your attorney’s fees. And if your lawyer can prove that the manufacturer’s refusal is “willful,” then you might be able to double your recovery.

It all may sound like a time-consuming, bureaucratic ordeal, but if your car is truly a lemon, it’s probably a lot more effective than picketing with a sign topped with lemons.

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