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California Lemon Law offers remedies to the owners of defective motor vehicles. Lemon Law America® helps them research California Lemon Law statutes, and provides links to lemon lawyers practicing in the state of California.
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California
Lemon Law Statutes
Cal Civ Code § 1793.22
Cal Civ Code § 1793.22 (2004)
§ 1793.22. Reasonable number of attempts to conform vehicle to warranties; Dispute resolution process; Transfer of vehicle
- This section shall be known and may be cited as the Tanner Consumer Protection Act.
- It shall be presumed that a reasonable number of attempts have been made to conform a new motor vehicle to the applicable express warranties if, within 18 months from delivery to the buyer or 18,000 miles on the odometer of the vehicle, whichever occurs first, one or more of the following occurs:
- The same nonconformity results in a condition that is likely to cause death or serious bodily injury if the vehicle is driven and the nonconformity has been subject to repair two or more times by the manufacturer or its agents, and the buyer or lessee has at least once directly notified the manufacturer of the need for the
repair of the nonconformity.
- The same nonconformity has been subject to repair four or more times by the manufacturer or its agents and the buyer has at least once directly notified the manufacturer of the need for the repair of the nonconformity.
- The vehicle is out of service by reason of repair of nonconformities by the manufacturer or its agents for a cumulative total of more than 30 calendar days since delivery of the vehicle to the buyer. The 30-day limit shall be extended only if repairs cannot be performed due to conditions beyond the control of the manufacturer
or its agents. The buyer shall be required to directly notify the manufacturer pursuant to paragraphs (1) and (2) only if the manufacturer has clearly and conspicuously disclosed to the buyer, with the warranty or the owner's manual, the provisions of this section and that of subdivision (d) of Section 1793.2, including the requirement
that the buyer must notify the manufacturer directly pursuant to paragraphs (1) and (2). The notification, if required, shall be sent to the address, if any, specified clearly and conspicuously by the manufacturer in the warranty or owner's manual. This presumption shall be a rebuttable presumption affecting the burden of proof,
and it may be asserted by the buyer in any civil action, including an action in small claims court, or other formal or informal proceeding.
- If a qualified third-party dispute resolution process exists,
and the buyer receives timely notification in writing of the
availability of that qualified third-party dispute resolution
process with a description of its operation and effect, the presumption
in
subdivision (b) may not be asserted by the buyer until after
the buyer has initially resorted to the qualified third-party
dispute
resolution process as required in subdivision (d). Notification
of the availability of the qualified third-party dispute resolution
process is not timely if the buyer suffers any prejudice resulting
from any delay in giving the notification. If a qualified
third-party dispute resolution process does not exist, or if
the
buyer is dissatisfied with that third-party decision, or if the
manufacturer or its agent neglects to promptly fulfill the terms
of the qualified third-party dispute resolution process decision
after
the decision is accepted by the buyer, the buyer may assert the
presumption provided in subdivision (b) in an action to enforce
the buyer's rights under subdivision (d) of Section 1793.2. The
findings
and decision of a qualified third-party dispute resolution process
shall be admissible in evidence in the action without further
foundation. Any period of limitation of actions under any federal
or California lemon laws with respect to any person shall be extended
for a
period equal to the number of days between the date a complaint
is filed with a third-party dispute resolution process and the
date of
its decision or the date before which the manufacturer or its
agent is required by the decision to fulfill its terms if the
decision is
accepted by the buyer, whichever occurs later.
- A qualified third-party dispute resolution process shall
be
one that does all of the following:
- Complies with the minimum requirements of the Federal Trade
Commission for informal dispute settlement procedures as set
forth in Part 703 of Title 16 of the Code of Federal Regulations,
as those
regulations read on January 1, 1987.
- Renders decisions which are binding on the manufacturer
if the
buyer elects to accept the decision.
- Prescribes a reasonable time, not to exceed 30 days after
the decision is accepted by the buyer, within which the manufacturer
or
its agent must fulfill the terms of its decisions.
- Provides arbitrators who are assigned to decide disputes
with copies of, and instruction in, the provisions of the Federal
Trade
Commission's regulations in Part 703 of Title 16 of the Code
of Federal Regulations as those regulations read on January 1,
1987,
Division 2 (commencing with Section 2101) of the Commercial Code,
and
this chapter.
- Requires the manufacturer, when the process orders, under
the terms of this chapter, either that the nonconforming motor
vehicle be
replaced if the buyer consents to this remedy or that restitution
be
made to the buyer, to replace the motor vehicle or make restitution
in accordance with paragraph (2) of subdivision (d) of Section
1793.2.
- Provides, at the request of the arbitrator or a majority
of the arbitration panel, for an inspection and written report
on the
condition of a nonconforming motor vehicle, at no cost to the
buyer,
by an automobile expert who is independent of the manufacturer.
- Takes into account, in rendering decisions, all legal and
equitable factors, including, but not limited to, the written
warranty, the rights and remedies conferred in regulations of
the Federal Trade Commission contained in Part 703 of Title 16
of the
Code of Federal Regulations as those regulations read on January
1, 1987, Division 2 (commencing with Section 2101) of the Commercial
Code, this chapter, and any other equitable considerations
appropriate in the circumstances. Nothing in this chapter requires
that, to be certified as a qualified third-party dispute resolution
process pursuant to this section, decisions of the process must
consider or provide remedies in the form of awards of punitive
damages or multiple damages, under subdivision (c) of Section
1794,
or of attorneys' fees under subdivision (d) of Section 1794,
or of consequential damages other than as provided in subdivisions
(a) and
(b) of Section 1794, including, but not limited to, reasonable
repair, towing, and rental car costs actually incurred by the
buyer.
- Requires that no arbitrator deciding a dispute may be a
party to the dispute and that no other person, including an employee,
agent, or dealer for the manufacturer, may be allowed to participate
substantively in the merits of any dispute with the arbitrator
unless
the buyer is allowed to participate also. Nothing in this
subdivision prohibits any member of an arbitration board from
deciding a dispute.
- Obtains and maintains certification by the Department of
Consumer Affairs pursuant to Chapter 9 (commencing with Section
472)
of Division 1 of the Business and Professions Code.
- For the purposes of subdivision (d) of Section 1793.2 and
this
section, the following terms have the following meanings:
- "Nonconformity" means a nonconformity which substantially
impairs the use, value, or safety of the new motor vehicle to
the
buyer or lessee.
- "New motor vehicle" means a new motor vehicle
which is used or bought for use primarily for personal, family,
or household
purposes. "New motor vehicle" includes the chassis,
chassis cab, and that portion of a motor home devoted to its
propulsion, but does not
include any portion designed, used, or maintained primarily for
human habitation, a dealer-owned vehicle and a "demonstrator" or
other motor vehicle sold with a manufacturer's new car warranty
but does not include a motorcycle or a motor vehicle which is
not
registered under the Vehicle Code because it is to be operated
or used exclusively off the highways. A "demonstrator" is
a vehicle assigned by a dealer for the purpose of demonstrating
qualities and
characteristics common to vehicles of the same or similar model
and
type.
- "Motor home" means a vehicular unit built on,
or permanently attached to, a self-propelled motor vehicle chassis,
chassis cab, or
van, which becomes an integral part of the completed vehicle,
designed for human habitation for recreational or emergency
occupancy.
- Except as provided in paragraph (2), no person shall sell,
either at wholesale or retail, lease, or transfer a motor vehicle
transferred by a buyer or lessee to a manufacturer pursuant to
paragraph (2) of subdivision (d) of Section 1793.2 or a similar
statute of any other state, unless the nature of the nonconformity
experienced by the original buyer or lessee is clearly and
conspicuously disclosed to the prospective buyer, lessee, or
transferee, the nonconformity is corrected, and the manufacturer
warrants to the new buyer, lessee, or transferee in writing for
a
period of one year that the motor vehicle is free of that
nonconformity.
- Except for the requirement that the nature of the
nonconformity be disclosed to the transferee, paragraph (1) does
not
apply to the transfer of a motor vehicle to an educational
institution if the purpose of the transfer is to make the motor
vehicle available for use in automotive repair courses.
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The
Magnuson-Moss Warranty Act
The Magnuson-Moss Warranty Act is a Federal Law that protects the buyer of any product which costs more than $25 and comes with an express written warranty.
This law applies to any product that you buy that does not perform as it should.
Your car is a major investment, rationalized by the peace of mind that flows from its expected dependability and safety. Accordingly, you are entitled
to expect an automobile properly constructed and regulated to provide reasonably safe, trouble-free, and dependable transportation – regardless
of the exact make and model you bought. Unfortunately, sometimes these principles do not hold true and defects arise in automobiles. Although one defect
is not actionable, repeated defects are as there exists a generally accepted rule that unsuccessful repair efforts render the warrantor liable. Simply
put, there comes a time when “enough is enough” – when after having to take your car into the shop for repairs an inordinate number
of times and experiencing all of the attendant inconvenience, you are entitled to say, ‘That’s all,’ and revoke, notwithstanding the
seller’s repeated good faith efforts to fix the car. The rationale behind these basic principles is clear: once your faith in the vehicle is shaken,
the vehicle loses its real value to you and becomes an instrument whose integrity is impaired and whose operation is fraught with apprehension. The question
thus becomes when is “enough”?
As you know, enough is never enough from your warrantor’s point of view and you should simply continue to have your defective vehicle repaired – time
and time again. However, you are not required to allow a warrantor to tinker with your vehicle indefinitely in the hope that it may eventually be fixed.
Rather, you are entitled to expect your vehicle to be repaired within a reasonable opportunity. To this end, both the federal Moss Warranty Act, and
the various state “lemon laws,” require repairs to your vehicle be performed within a reasonable opportunity.
Under the Magnuson-Moss Warranty
Act, a warrantor should perform adequate repairs in at least two, and possibly three, attempts to correct a particular defect. Further, the Magnuson-Moss
Warranty Act’s reasonableness requirement applies to your vehicle as a whole rather than to each individual defect
that arises. Although most of the Lemon Laws vary from state to state, each individual law usually require a warrantor to cure a specific defect within
four to five attempts or the automobile as a whole within thirty days. If the warrantor fails to meet this obligation, most of the lemon laws provide
for a full refund or new replacement vehicle. Further, this reasonable number of attempts/reasonable opportunity standard, whether it be that of the
Magnuson-Moss Warranty Act or that of the Lemon Laws, is akin to strict liability – once this threshold has been met, the continued existence of
a defect is irrelevant and you are still entitled to relief.
One of the most important parts of the Magnuson-Moss Warranty Act is its fee shifting
provision. This provision provides that you may recover the attorney fees incurred in the prosecution of your case if you are successful – independent
of how much you actually win. That rational behind this fee shifting provision is to twofold: (1) to ensure you will be able to vindicate your rights
without having to expend large sums on attorney's fees and (2) because automobile manufacturers are able to write off all expenses of defense as a
legitimate business expense, whereas you, the average consumer, obviously does not have that kind of economic staying power. Most of the Lemon Laws contain
similar fee shifting provisions.
You may also derive additional warranty rights from the Uniform Commercial Code; however, the Code does not allow you
in most states to recover your attorney fees and is also not as consumer friendly as the Magnuson-Moss Warranty Act or the various state lemon laws.
The narrative information on Magnuson-Moss, UCC and lemon laws on these pages is provided by Marshall Meyers, attorney.
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Uniform
Commercial Code Summary
The Uniform Commercial Code or UCC has been enacted in all 50 states and some of the territories of the United States. It is the primary source of law
in all contracts dealing with the sale of products. The TARR refers to Tender, Acceptance, Rejection, Revocation and applies to different aspects of
the consumer's "relationship" with the purchased goods.
TENDER -
The tender provisions of the Uniform Commercial Code contained in Section2-601 provide that the buyer is entitled to reject any goods that fail in
any respect to conform to the contract. Unfortunately, new cars are often technically complex and their innermost workings are beyond the understanding
of the average new car buyer. The buyer, therefore, does not know whether the goods are then conforming.
ACCEPTANCE -
The new car buyer accepts the goods believing and expecting that the manufacturer will repair any problem he has with the goods under the warranty.
REJECTION
-
The new car buyer may discover a problem with the vehicle within the first few miles of his purchase. This would allow the new car buyer to reject
the goods. If the new car buyer discovers a defect in the car within a reasonable time to inspect the vehicle, he may reject the vehicle. This period
is not defined. On the one hand, the buyer must be given a reasonable time to inspect and that reasonable time to inspect will be held as an acceptance
of the vehicle. The Courts will decide this reasonable time to inspect based on the knowledge and experience of the buyer, the difficulty in discovering
the defect, and the opportunity to discover the defect.
The following is an example of a case of rejection: Mr. Zabriskie purchase a new 1966 Chevrolet Biscayne. After picking up the car on Friday evening,
while en route to his home 2.5 miles away, and within 7/10ths of a mile from the dealership, the car stalled and stalled again within 15 feet. Thereafter,
the car would only drive in low gear. The buyer rejected the vehicle and stopped payment on his check. The dealer contended that the buyer could not
reject the car because he had driven it around the block and that was his reasonable opportunity to inspect. The New Jersey Court said;
To the layman,
the complicated mechanisms of today's automobile are a complete mystery. To have the automobile inspected by someone with sufficient expertise to disassemble
the vehicle in order the discover latent defects before the contract is signed, is assuredly impossible and highly impractical. Consequently, the first
few miles of driving become even more significant to the excited new car buyer. This is the buyer's first reasonable opportunity to enjoy his new vehicle
to see if it conforms to what it was represented to be and whether he is getting what he bargained for. How long the buyer may drive the new car under
the guise of inspection of new goods is not an issue in the present case because 7/10th of a mile is clearly within the ambit of a reasonable opportunity
to inspect. Zabriskie Chevrolet, Inc. v. Smith, 240 A. 2d 195(1968)
It is suggested that Courts will tend to excuse use by consumers if possible.
REVOCATION -
What happens when the consumer has used the new car for a lengthy period of time? This is the typical lemon car case. The UCC provides that a buyer
may revoke his acceptance of goods whose non-conformity substantially impairs the value of the goods to him when he has accepted the goods without
discovery of a non-conformity because it was difficult to discover or if he was assured that non-conformities would be repaired. Of course, the average
new car buyer does not learn of the nonconformity until hundreds of thousands of miles later. And because quality is job one, and manufacturers are
competing on the basis of their warranties, the consumer always is assured that any noncomformities he does discover will be remedied.
What is a noncomformity substantially impairing the value of the vehicle?
- A noncomformity may include a number of relatively minor defects whose cumulative total adds up to a substantial impairment. This is the "Shake
Faith" Doctrine first stated in the Zabrisikie case. "For a majority of people the purchase of a new car is a major investment, rationalized
by the peace of mind that flows from its dependability and safety. Once their faith is shaken, the vehicle loses not only its real value in their eyes,
but becomes an instrument whose integrity is substantially impaired and whose operation is fraught with apprehension".
- A substantial noncomformity may include a failure or refusal to repair the goods under the warranty. In Durfee V. Rod Baxter Imports, the Minnesota
Court held that the Saab owner that was plagued by a series of of annoying minor defects and stalling, which were never repaired after a number of attempts,
could revoke, "if repairs are not successfully undertaken within a reasonable time", the consumer may elect to revoke.
- Substantial Non Conformity and Lemon Laws often define what may be considered a substantial impairment. These definitions have been successfully used
to flesh out the substantial impairment in the UCC.
Additional narrative information on Magnusson-Moss, UCC and lemon laws on these pages is provided by T. Michael Flinn, attorney.
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