Frequently Asked Questions Regarding Lemon Law
What is “lemon law”?
How does lemon law protect a consumer?
To what types of defects does lemon law apply?
Is there an explicit number of repair attempts that must occur before a consumer can file a lemon law claim?
Does exercising my consumer rights cost a great deal of money?
Does lemon law apply to lease vehicles?
Does lemon law apply to previously owned vehicles?
Does lemon law apply to vehicles bought “as is”?
Does lemon law apply to vehicles after their warranty period has expired?
Does lemon law apply to vehicles bought with a limited service contract?
Does lemon law apply to consumer products besides cars?
What are some common examples of situations that give rise to lemon law litigation?
What happens after a lemon law suit is filed?
What is automotive fraud?
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What is “lemon law”?
“Lemon law” generally refers to the area of law aimed to protect consumers from unreasonable manufacturers who provide defective products incapable of repair. In California, the applicable lemon law is the Song-Beverly Consumer Warranty Act, found in California Civil Code Sections 1790, 1791, 1792-1795.7, 1795.90-1795.93, 1796-1796.5, 1797-1797.7, 1797.8-1797.86, 1797.90-1797.96. Generally, this body of law permits consumers to seek replacement or reimbursement for major consumer products that are both defective and which cannot be repaired within a reasonable number of attempts. A federal lemon law, the Magnuson-Moss Warranty Act found at 15 United States Code Sections 2301 to 2310, offers similar protections to the California law. In most cases, either law can apply, but the Song-Beverly Act provides more protection in most cases.
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How does lemon law protect a consumer?
The lemon law provides the legal basis for consumers to file claims seeking compensation for a vehicle or major consumer product where the manufacturer or dealer in unable to repair a defect within a reasonable number of attempts. The manufacturer’s liability may be reduced in proportion to the value of use of a vehicle. When a court offsets an award due to the owner’s use of the vehicle, typically the only use that offsets the award is that which took place prior to the first time the consumer brought the vehicle back to the manufacturer or dealer for the un-repairable defect.
Manufacturers sometimes try to negotiate much larger offsets with consumers. This type of negotiating practice violates the law. Under Song-Beverly, the manufacturer is only entitled to an offset equal to the fraction of the purchase price. This fraction consists of a numerator made up of the number of miles at the time of the consumer’s first repair attempt and a denominator of 120,000, a figure designated by the California legislature as representing the average lifetime mileage of a passenger car.
To what types of defects does lemon law apply?
California lemon law applies to defects constituting substantial impairment to the use, value, or safety of the vehicle. This law seeks to protect both owners and lessees. Minor inconveniences, such as persistent radio static, normally will not justify recovery in a lemon law claim. However, problems involving brakes, transmission, engine function, inoperable air conditioning, persistent water/gas/oil leakage or even a malfunctioning Check Engine light or other warning lights may result in significant compensation for the plaintiff in a lemon law claim.
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Is there an explicit number of repair attempts that must occur before a consumer can file a lemon law claim?
No, the claim by many manufacturers’ that a consumer does not have a valid lemon law claim unless there have been four repair attempts to the same defect within the first 12,000 miles is misleading and inaccurate. A valid lemon law claim arises when the consumer has given the manufacturer a reasonable opportunity to repair the vehicle within the warranty period and the manufacturer has failed to do so.
A “reasonable opportunity” usually involves more than one repair attempt. The judicial system is well aware that manufacturers and dealership repair personnel cannot correctly identify and correct every problem every time. However, manufacturers and dealers are expected to act reasonably and address customer concerns in an effective manner. Case law indicates that courts generally expect consumers to allow three failed repair attempts before turning to the judicial system.
“Within the warranty period” means that the consumer can hold the warranty-issuing party responsible for the warranty agreement during the warranty period. For instance, if a vehicle manufacturer has agreed to a transmission warranty for 100,000 miles and the transmission proves to be defective within 100,000 miles, the manufacturer is liable for making the necessary repairs. Where the manufacturer fails to meet its responsibilities, the consumer has a lemon law claim. Where the manufacturer is unable to repair the problem within the warranty period, but the manufacturer has been put on written notice of the problem within the warranty period, then the warranty does not expire as to that defect.
“Lemon law presumption” is a component of the lemon law which requires four repair attempts within the first 18,000 miles. This is a legal presumption which influences the burden of proof in a lemon law lawsuit. Normally, the plaintiff bears the burden of proving that he or she has given the manufacturer a reasonable number of repair attempts to repair the vehicle. If, however, the consumer proves that he or she brought the vehicle in for repairs for the same defect four times within the first 18,000 miles, or if he or she proves that the vehicle was out of service 30 or more days within the first 18,000 miles, then the law shifts the burden of proof to the manufacturer to prove that it was not given a reasonable opportunity to fix the vehicle.
Many lemon law cases proceed without the plaintiff meeting the lemon law presumption. The only requirement upon the consumer is that he or she give the manufacturer a reasonable number of repair attempts within the warranty period. If this is accomplished and the vehicle remains in disrepair, the consumer has a lemon law claim.
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Does exercising my consumer rights cost a great deal of money?
In lemon law litigation, most or all legal expenses are paid by the manufacturer. Therefore, lemon law claims are generally very affordable for consumers to litigate, since they are responsible only the up-front retainer and possibly some case costs. In California, the lemon law provides that a prevailing consumer in a lemon law claim can collect his or her attorney’s fees from the manufacturer.
Does lemon law apply to lease vehicles?
Yes, lemon laws protect both buyers and lessees. When damages are awarded, the lessee’s award is calculated according to his or her obligations under the lease. Where the plaintiff has purchased the vehicle, the damages are calculated in accordance with his or her obligations under a purchase contract.
Does lemon law apply to previously owned vehicles?
`Yes, if the used car is covered by a warranty. If the used car is covered by a manufacturer’s warranty, then the consumer can bring a lemon law claim against the manufacturer just as if the vehicle were new. If a consumer buys a used vehicle from a dealership without a manufacturer’s warranty, but with a dealer’s warranty, the consumer can pursue the dealer for a lemon law claim.
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Does lemon law apply to vehicles bought “as is”?
No. For a lemon law claim, there has to be a warranty. When a consumer buys a car “as is,” the buyer has expressly disclaimed any warranty. However, a fraud claim may still exist since fraud claims are not invalidated by “as is” purchase provisions. Further, if the dealer or manufacturer does not clearly and conspicuously disclose the “as is” purchase provision terms, the consumer may have a lemon law claim.
Does lemon law apply to vehicles after their warranty period has expired?
Generally, no. The exception is where the defect arises within the warranty period, and is not fixed within the warranty period, and the consumer gives the manufacturer and dealer written notice within 60 days of the last unsuccessful repair attempt for the defect. In such a case, the warranty is extended as to that defect until it is repaired.
Does lemon law apply to vehicles bought with a limited service contract?
A recent California Supreme court case has limited a consumer's lemon law rights under a service contract. However, If a car is purchased with a service contract, there is a an implied warranty for up to a year's time after purchase. A car that comes with a service contract cannot be an "as-is" purchase. The consumer would then at least have rights against the service contract provider.
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Does lemon law apply to consumer products besides cars?
Yes, the law was not intended to protect cars alone. Major consumer purchases, like trucks, boats, motorcycles, mopeds, recreational vehicles, jet skis, vans, and sports utility vehicles, may be the subject of a lemon law claim.
What are some common examples of situations that give rise to lemon law litigation?
Some common examples would include faulty brakes, ABS brake failures, transmission failures, engine failures, faulty check engine warning lights or other malfunctioning warnign lights, major electrical difficulties, on-board computer malfunctions, repeated no-start situations, and more. Any defect which substantially impairs use, value or safety of the vehicle can be the subject of a lemon law lawsuit
What happens after a lemon law suit is filed?
The general remedy is a refund of purchase price, less a vehicle use offset, or a replacement vehicle. Out-of-pocket expenses connected with the defective vehicle or product may also be reimbursed. In some instances, the jury or judge can award a civil penalty of up to two times plaintiff’s damages. Also, the prevailing plaintiff may have has his or her attorney’s fees paid by the manufacturer or dealer.
What is automotive fraud?
Generally, fraud occurs when the sale or lease of cars takes place without a proper disclosure of known defects or dangerous conditions. There are many different types of fraud and typical defendants include insurance companies, vehicle dealers, auto manufacturers, extended warranty companies, service contract companies, and finance companies.
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The Law Offices of Charles A. Pernice works with clients throughout California to answer their lemon law questions, protect their rights aggressively, and secure the best recovery possible in every type of lemon law matter. Do not judge the merits of your case alone. If you or a loved one has fallen victim to an unreasonable manufacturer, call
The Law Offices of Charles A. Pernice now at 949-440-0860 or toll-free at 800-440-3554 or
CLICK HERE TO SUBMIT A SIMPLE CASE FORM. Do not delay! Waiting to secure legal representation only jeopardizes the proper preservation of evidence and adherence to legal deadlines. You may have a valid claim and be entitled to
compensation for your vehicle or product, but a lawsuit must be filed before the
statute of limitations expires.
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