Lemon laws are consumer protections specifically related to automobiles. Each state has its own law, but most follow similar approaches. Lemon laws provide criteria for identifying a lemon, or a vehicle with a serious defect. The laws instruct consumers how to get a refund or replacement vehicle.

Significant Defect

Lemons protect against significant defects that affect the operation, safety or value of the vehicle. Minor imperfections or other variations that do not count as serious defects are not covered, and any modifications by anyone other than a manufacturer-approved repair shop will void Lemon Law protection.

Types of Vehicles

Lemon laws usually describe the types of vehicles covered and usually limit coverage to consumer and family cars, though some states make allowances for recreational vehicles. Lemon laws almost always apply to new cars only, though some states allow a used car to be covered if it is within the original buyer's warranty period.

Repair Attempts

The presence of a serious defect alone does not make a car a lemon. Instead, the owner must make three or four attempts (depending on the state) to have the problem repaired and yet the problem persists. Or, the car must be in repair and out of commission for a specific number days to count as a lemon.

Manufacturer Notification

If a car fits the definition of a lemon, the owner must notify the manufacturer and give one final opportunity to make repairs. If the defect still cannot be repaired, most states require the owner to participate in the manufacturer's informal resolution process to negotiate a settlement.

Remedy

The typical remedy for a Lemon Law violation is a replacement car or a refund. Though many states reduce the refund amount for reasonable wear on the vehicle, they also allow a refund of any taxes, repair costs and the cost of obtaining alternate transportation while repairs were being made.

Magnuson Moss

The Magnuson Moss Warranty Act is considered the federal lemon law. It requires manufacturers to provide a warranty that also ensures the products meet basic usability standards.

Source:

Lemonlawamerica.com: Lemon Law Statutes by States

Carlemon.com: Lemon Law Information

Free-lemon-law-guide.com: The Magnuson-Moss Warranty Act

More Information:

Better Business Bureau: Learn More About State Lemon Laws