What is the Lemon Law?
The lemon law refers to legislation designed to protect consumers from being sold defective goods. Specifically, the lemon law relates to the purchase of defective vehicles. When you purchase a vehicle, you have certain expectations of that vehicle in terms of safety, reliability, and comfort. However, if a manufacturer sells a vehicle that has known defects that directly affect one or more of the expectations discussed previously, the consumer is now the owner of a lemon. Lemons are a significant problem for consumers and manufacturers within the United States. The lemon law allows the owner of a defective vehicle to file a lawsuit to recover damages.
Lemon laws vary from state to state , but the general requirements have essentially remained the same. In Massachusetts, Connecticut, New York, New Jersey, and Florida, individuals must allow the dealership or manufacturer to repair a vehicle three times before the matter may be brought before an arbitrator. In addition, the vehicle may be out of service for fifteen days or more. Similar processes exist in other states, however, many have differing time frames for repairs and car being out of service. Further, different states have different monetary limits for vehicles that fall under the lemon law.
Overview of the Statute of Limitations
A statute of limitations is a law that sets the maximum time frame for litigants to commence legal proceedings after the actual event (or occurrence) happened. Statutes of limitation apply to both civil and criminal cases. The failure to bring a lawsuit within the prescribed period may result in the defendants’ successful dismissal of the lawsuit. To be more specific, a statute of limitations is a defendant’s right to assert the expiration of his or her statutory time limit as an affirmative defense. The expiration of the statutory time limit on a legal claim is a default rule that courts may not override without specific legislative authority. The expiration of a statute of limitations results in the loss of the ability to pursue that claim.
With automobile lemon law claims, the statute of limitations for any claims arising under the Magnuson-Moss Warranty Act is four years after the vehicle is relinquished. However, California’s lemon law statute of limitations is more restrictive, and one who pursues a lemon law claim must do so within four years after the owner knew of the alleged defect.
Impact of the Statute of Limitations on a Lemon Law Claim
One of problems affecting lemon law cases is the statute of limitations. To be brief, the statute of limitations is a law that restricts the time within which an action must be brought in court. If a party fails to file a lawsuit within the time limit set by the statute of limitations then the complaint may be barred. So, how does the statute of limitations affect a lemon law case.
First, determining which statute of limitations applies to a lemon law case is important. Different lemon laws are governed by different statutes of limitations. For example, car buyers claiming a violation of the Magnuson-Moss Warranty Act program – a federal lemon law – generally have four years to sue for damages and attorneys’ fees. Florida buyers claiming a violation of the Florida Lemon Law (Florida Statute 681) have 60 days to file a suit but only if they have tried to resolve the lemon law claim the manufacturer and the vehicle owner has issued a "final demand letter" with the vehicle defects.
There are more than 30 lemon laws throughout the US. Each lemon law will have its own statutes of limitations so its very important that a vehicle owner consults a lemon law attorney to determine whether the case will be barred once the statute of limitations has expired. In my practice I have seen vehicle owners wait to long to bring lemon law claims and their failure to contact an attorney to file a lemon law claim may be their demise when the lemon law claim is time barred.
State-Specific Lemon Law Time Limits
This disparity is not unique to the federal Lemon Law statute; state laws governing lemon law claims can impose a wide range of time restrictions for bringing such actions. For example, Illinois allows consumers up to 2 years to initiate a lemon law action where Michigan has a statute of limitations of only 1 year. New York, like Michigan, has a 1 year statute, but residents of the Empire State should not be discouraged if they don’t bring their lemon law action within that time frame. New York also provides a 4 year statute of limitations for breach of contract claims. Other states allow greater flexibility in statutory time limits. For instance, Massachusetts, Missouri, and Pennsylvania have no stated time limits whatsoever and leave the decision on timeliness of file location to the courts like New Jersey.
Exceptions to the Statute of Limitations
There are several exceptions or extensions to the statute of limitations that have been found by Courts. First, there are tolling provisions contained in the Statute itself for Northern District of Georgia Cases. The statute provides that it does not apply to actions brought pursuant to the Federal Magnuson-Moss Warranty Act if the action is commenced within one year after the expiration of the term of the written warranty.
Tolling provisions have also been created by Court decision. Where the defendant misrepresents a defect in a vehicle by either denying its existence or encouraging the plaintiff to postpone the repair, the statute of limitations will not begin to run until the repair is either performed , or the plaintiff is put on notice that the repair will not be performed. This exception would not apply where the plaintiff is given a repair to do it herself – offered a temporary fix while waiting on parts, for example.
One more exception has been created by the courts, however, and it is important to note because it is a way to extend the time for bringing the lawsuit. A suit may be filed later that the statute provides because the defendant fails to disclose the defective condition of a vehicle. If the plaintiff can show this failure to disclose, the statute will begin to run from the time the plaintiff discovered, or by due diligence and reasonable effort should have discovered the defect with the vehicle. Therefore, the date on which you discover the defect may be used as the starting point for the statute of limitations period for filing a case.
Best Practices for Submitting a Timely Lemon Law Claim
The best course of action in case of a lemon vehicle is to promptly get your vehicle repaired and/or replaced – sooner is always better. Promptly pursue warranty or lemon law relief. Under Pennsylvania’s Lemon Law, manufacturers have 30 days to fix a defect. If you have given the manufacturer plenty of opportunities to fix the problem, you should be back in your vehicle and celebrating. If the dealer or manufacturer gave you a hard time and they continue with repair attempts, or if you are still having problems, then it may be time for lemon law relief. If you think you have a lemon, you have to file your claim quickly. The statute of limitations requires you to file suit on a lemon law claim within 4 years and 30 days of the failure or defect. This is the period of time you have under Pennsylvania law to file suit with the court or arbitration for lemon law relief.
Keep records. You need to keep all records of your vehicle repairs. The lemon law claims are all about the paperwork. You probably have a warranty booklet or a service record book that will provide information about when you presented the vehicle for repair or a defect and another passage of time when you returned it to the dealer. Always make sure you get a copy of all service orders. If you receive any kind of invoices, include them. You should be able to obtain the repair history from a car dealership you had business with, as they have an obligation to keep those records for a period of time. You have a legal right to obtain copies of all repair records regarding your vehicle. If they give you a hard time, speak to a lawyer about it.
Contact an attorney to discuss your claim. After you have reviewed your records, if you believe you have a lemon claim, you should contact a lemon law lawyer who is experienced in handling lemon law claims. You need to contact an attorney that is familiar with lemon law cases. There are strict requirements for lemon law claims and not all law firms are equipped to handle them.
Obtaining Legal Help and Resources
Navigating the legal landscape and maximizing your chances of success in a lemon law case can be complex and nuanced. The statute of limitations plays a crucial role in determining whether you can effectively bring forward a lemon law claim and obtain a refund or replacement vehicle. For this reason, connecting with a legal professional who can provide guidance on how to handle your case is always advisable. The following legal assistance and resources should prove helpful: Lemon Law Administration: A state lemon law administrator is available to provide information about the lemon law and help auto manufacturers verify warranty problems. Many lemon law administrators maintain a Web site that lists replacements or refunds in states with mandatory lemon law arbitration, so consumers can see how others fared in similar cases. Consumer Action: Consumer Action is an independent, nonprofit , multilingual organization dedicated to consumer education and advocacy. Their Web site includes a national lemon law database with information on state-by-state lemon laws. Consumer Federation of America: The Consumer Federation of America is a nonprofit organization dedicated to consumer advocacy. Their Web site gives information on lemon laws, with links to more lemon law resources. National Highway Traffic Safety Administration: The NHTSA makes available information on recalls and the warranty rights consumer are entitled to under federal law. Their Web site offers a form for reporting defects found in a vehicle. Bureau of Automotive Repair – California: The California Department of Consumer Affairs Bureau of Automotive Repair oversees the state’s regulation of automotive repair, warranties on new vehicles, lemon law, and more. Their Web site discusses lemon law and offers links to lemon law resources. State Attorneys General: A state attorney general’s office can provide information about warranty rights. In some states, the Lemon Law Unit of the attorney general can receive and follow up on complaints.