State and federal laws protect consumers who purchase defective automobiles. These laws, known as “lemon laws” after a slang term for a defective car, enable purchasers to have the defect repaired, or to receive a replacement or a refund.
Restitution under the Federal Lemon Law is the difference between what you actually paid for your vehicle, and what you would have paid, back at the time of purchase, if you had known then what you know now about your vehicle.
Implied Warranties
State laws hold dealers responsible if cars they sell don't meet reasonable quality standards. These obligations are called implied warranties — unspoken, unwritten promises from the seller to the buyer.
The dealer and manufacturer are still required to honor whatever is left on the factory warranty, regardless of the fact that it was a lemon law buyback. It is possible that the manufacturer may offer an extended warranty specifically for the part of the vehicle that was the reason for the buyback.
Before you can use it, you must give the manufacturer or dealer a “reasonable number of attempts” to fix the problem. If the dealer cannot fix the problem, the dealer must take back the vehicle and refund your money, including fees and taxes, or replace the vehicle with a comparable set of wheels.
All 50 states have some form of New Car Lemon Law. Only six (6) states have a Used Car Lemon Law. The Six states with a Used Car Lemon Law are Hawaii, Massachusetts, Minnesota, New Jersey, New York and Rhode Island.
The federal lemon law is the Magnuson-Moss Warranty Act. It was enacted in 1975 and protects citizens of every U.S. state. Various states have their own lemon laws, and what they cover and the policies for making claims vary greatly.
(That designation, which is applied to a vehicle that continues to have a defect or defects that substantially impair its use, value, or safety, legally entitles its owner to a refund or "comparable replacement vehicle.") In situations where there is a clear problem with a new or newly purchased used car, the dealer ...
Under the implied category are three major subtypes: the implied warranty of merchantability (only given by merchants), the implied warranty of fitness for a particular purpose, and the implied warranty of title.
30 Used Cars Consumer Reports Gave the 'Never Buy' Label
Taking your car somewhere other than the dealership or using aftermarket parts won't void the manufacturer's warranty, but there are some activities that can void your warranty, including: Off-Road Driving. Racing or Reckless Driving. Overloading.
What is a Lemon Law Buyback? A lemon law buyback is when the manufacturer repurchases your vehicle because it is a lemon. ... Additionally, the balance of your loan on your vehicle will be fully paid.
A Sampling of Vehicle Defects or Symptoms of Defects Often Covered by California Lemon Law
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