Is your car a lemon? How to tell — and what to do about it



Does your car spend more time in the shop than in your driveway? And for the same repairs, over and over again?

Congratulations — you might just have a lemon.

The term 'lemon' is often tossed around to refer to any beat-up car, but it’s actually a legal distinction, indicating a defective product that is therefore covered under applicable statutes and special lemon laws in your state.

Ok, it's not exactly something to celebrate, but the good news is you do have the leverage to seek a refund or replacement and maybe reimbursement for repairs.

All thanks to lemon laws.

What are lemon laws?

Before I talk about what lemon laws cover, let me be clear about what they don't: any complaints about a vehicle’s fundamental design or other non-critical issues such as squeaks and rattles, minor vibrations, or fading paint.

Lemon laws only apply to problems that either impair the normal operation of the vehicle or affect its value, intended use, or safety — problems that the manufacturer has failed to fix satisfactorily after ample opportunities to do so.

If you have a vehicle that breaks down or fails in some way, even frequently, but in different ways each time, then you're probably NOT going to be covered. The awful truth in that case is probably that you don't have legal grounds to be reimbursed; you simply have an unreliable, trouble-prone, or poorly designed car.

The term “lemon” is often tossed around to refer to any beat-up car, but it’s actually a legal distinction, indicating a defective product that is therefore covered under applicable statutes and special lemon laws in your state.

Lemon laws vary from state to state. In some states, used vehicles are covered, and in others, the law applies only to new vehicles. Some states may also include motorcycles and RVs in lemon laws.

How do I find my state's specific lemon law?

Check the Center for Automotive Safety for state-by-state lists, including details about what’s covered under lemon laws and contact numbers for more information on each state.

How do I know if my car is covered?

Here are three basic conditions you need for your car to qualify for lemon law coverage:

1. They’re doing the same repair over and over again.

The vehicle has an issue that's ongoing or has occurred repeatedly that you've first given the manufacturer (through a dealership service department) several chances to repair. Lemon law usually applies only after the manufacturer has tried to fix a particular problem three or four different times (depending on the state) and has failed to provide a lasting solution.

Again, if your car has had many different but unrelated repairs during the warranty period, then it is not covered by lemon law. Your best solution in that case would be to contact the manufacturer and inquire about the possibility of a warranty extension.

2. It’s a nearly new vehicle (to you).

Lemon law only applies during the first year or two and first 12,000 or 24,000 miles of vehicle ownership, depending on the state. Identification of the problem and all of the repair attempts must be made during this period. If the problem first occurred in the first year of ownership but subsequent repairs were not made until later years, then the vehicle will likely not be covered under lemon law.

3. You own rather than lease.

Lemon law does not usually apply to leased cars. That’s because the manufacturer or a bank is the actual owner of a leased car, and lemon law often only applies to the original buyer even if the car was bought used when less than a year old.

How do I strengthen my case?

1. Keep all your repair documentation.

Document each repair done during the warranty period. Keep all of your receipts. Consumer laws won’t apply unless you keep your own records as proof of all repairs done. Keep copies of the original repair order for each repair and make sure that the dealership correctly documents your problem and how long your car was in for the repair (In some states, 30 days in repair in the course of a year defines a lemon car). Also, make sure you get a repair invoice for repairs covered by technical service bulletins.

2. Create and keep your own documentation.

If a component of your car that has already been repaired fails in a situation where it puts your safety in jeopardy or causes an accident, document it with pictures, witnesses, and a police report, if applicable.

How do I file under lemon law?

Filing a complaint and getting the lemon law process underway again depends on what state you reside in and where you purchased the car.

In some states, filing a lemon law complaint involves no more than filling out a formal complaint form, but in many other states, it is a more complicated legal process and involves the hiring of an attorney.

In either case, the advice of an attorney who is familiar with your state’s lemon laws will increase your chance of getting the refund.

If satisfactory action still isn't taken, be sure to lodge a consumer complaint with the National Highway Traffic Safety Administration. Consumer complaints are the primary signal for the NHTSA to launch an investigation on a particular problem. This often leads to recalls (if it relates to safety in some way) or technical service bulletins regarding the problems.

NOTE: The 30-day lemon law for used cars means that if a car is being repaired for 30 days out of a year, it is a lemon. However, the nuances of the law vary by state. Whether or not the lemon law can be applied to a used car with no warranty depends on the issue with the car and the specifics of the state’s laws.

So never buy a car that says “no warranty expressed or implied” as you will have no protections. Buyer beware.

What if my car isn't covered?

In the case that the lemon law doesn’t apply to you or if lemon law doesn’t give you the retribution you desire, there are often other laws that may apply.

If your car is highly troublesome but not covered under lemon law, first try contacting the regional service representative of the manufacturer. Document and request return receipts for all communications. Manufacturers will often take generous actions to maintain their reputations.

I hope you don't need the above information. But if you do, I hope you find it useful — and don't get too frustrated with the process. We all know what they say about life giving you lemons.

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