Lemon law

Lemon laws are consumer protection laws that provide remedies to consumers for products, particularly motor vehicles, that repeatedly fail to meet standards of quality and performance. These laws typically apply to new vehicles and may also cover used vehicles under certain circumstances, depending on the jurisdiction.

The term "lemon" refers to a product with significant defects that affect its use, value, or safety. Lemon laws vary significantly by state in the United States, and similar legislation exists in other countries under different names. While vehicles are the most common subject, some jurisdictions also have lemon laws covering other consumer goods.

Key Aspects of Lemon Laws:

• Coverage: Lemon laws primarily cover new motor vehicles, but some may extend to used vehicles, recreational vehicles, or other types of products. The specific coverage is defined by each jurisdiction's statute.

• Definition of "Lemon": A vehicle is typically considered a "lemon" if it has a substantial defect that impairs its use, value, or safety, and if the manufacturer or its authorized dealer has been unable to repair the defect after a reasonable number of attempts. The exact number of repair attempts considered "reasonable" varies by jurisdiction, but it is often around three to four attempts for the same problem.

• Notification and Opportunity to Repair: Consumers must typically notify the manufacturer of the defect and provide them with an opportunity to repair it. Some lemon laws prescribe specific procedures for notification and arbitration.

• Remedies: If a vehicle is determined to be a lemon, the consumer is usually entitled to one of the following remedies:

  • Replacement: The manufacturer replaces the defective vehicle with a comparable new vehicle.
  • Refund: The manufacturer refunds the purchase price of the vehicle, including collateral charges such as sales tax, registration fees, and finance charges. A reasonable allowance for the consumer's use of the vehicle may be deducted from the refund.

• Arbitration: Many lemon laws require or provide for a process of arbitration to resolve disputes between consumers and manufacturers. Arbitration is a less formal and less expensive alternative to going to court.

• Time Limits: Lemon laws typically have time limits within which a consumer must file a claim. These time limits may be based on the vehicle's age, mileage, or the date of the initial purchase.

• Legal Assistance: Consumers who believe they have a lemon vehicle may seek legal assistance from attorneys who specialize in lemon law cases. Many lemon law attorneys work on a contingency fee basis, meaning they only get paid if they win the case.

Variations by Jurisdiction:

Because lemon laws are primarily state laws (in the United States), there are significant variations in their scope, coverage, and procedures. Consumers should consult the specific lemon law statute of their state or jurisdiction for details.