Jul 30, 2010 Other auto news
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New cars with defects that are not fixed after repeated attempts are called lemons.
New motor vehicles typically come with a warranty that is designed to provide consumers with peace of mind, knowing that if there is a problem with their major purchase, the manufacturer or its agent will make it right. In some cases, a vehicle may have a significant defect that requires repeated attempts at correction without success. These vehicles are referred to as lemons. Indiana’s state lemon law provides consumers with legal recourse if they purchase a lemon.
Criteria
Indiana’s Motor Vehicle Protection Act, commonly referred to as the Indiana Lemon Law, provides protection for Indiana citizens who purchase vehicles that meet the criteria of a lemon, according to the Consumer Protection Division of the Office of the Indiana Attorney General. To meet state legal criteria, the vehicle must be leased or purchased for personal use. It must have been purchased from an Indiana auto dealer within the previous 18 months and had less than 18,000 miles on it when it was purchased. The vehicle must have a defect that has not been repaired after a reasonable number of attempts.
Consumer Responsibility
In order to be protected by Indiana’s Lemon Law, the consumer must report the defect to the manufacturer or its agent within 18 months of purchase or 18,000 miles, whichever comes first. The consumer must take the vehicle to an authorized repair center and allow the manufacture or its agent a reasonable number of opportunities to repair the defect. According to Indiana’s Consumer Protection Division, a vehicle that has been out of service for more than 30 business days during the warranty period or that has been brought in to repair the same defect four separate times meets the reasonable number criterion. Consumers must typically notify the manufacturer of their claim for redress under the Indiana Lemon Law. If the manufacturer fails to satisfy the claim, the consumer has the right to file a lawsuit within two years of first reporting the defect.
Manufacturer’s Responsibility
Manufacturers are required to fulfill their obligations as set forth in their warranties and as provided by Indiana law. This includes making repairs of defects in a timely manner. If a vehicle cannot be repaired after four attempts, the the manufacturer may receive a notice of claim from the consumer under the Indiana Lemon Law. The manufacturer must accept the return of the vehicle and refund the purchase price or replace the vehicle within 30 days. Manufacturers who fail to comply may be subject to a lawsuit. Manufacturers who lose such lawsuits will be liable for all costs, including attorney fees.
Considerations
Vehicles that are returned to the manufacturer as lemons may be resold provided the manufacturer or its agent obtains a new title that is branded with the phrase: “Manufacturer Buyback-Disclosure On File.” This brand must be included on the vehicle’s title for life. The manufacturer or its agent must provide a written notice to the buyer that the vehicle was returned under the Indiana Lemon Law. The manufacturer or its agent must provide the buyer with a warranty good for 12 months or 12,000 miles, whichever comes first.
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