Lemon laws are somewhat different in every jurisdiction. People dealing with defective new vehicles in Texas have a slightly different process ahead of them than those making similar claims in Ohio. That being said there are a few truths that are relatively common from one state to the next.
Lemon laws apply specifically to brand-new vehicles, not used vehicles purchased secondhand at a dealership. Different laws protect those buying used vehicles, including mandatory disclosure rules. Additionally, the law typically establishes exactly when a vehicle becomes a lemon, which usually involves a certain number of repair attempts.
Those dealing with a lemon usually have two main options available to them. They can request a replacement vehicle of the same model or an equivalent one from the dealership. Otherwise, they can request a refund of the purchase price of the lemon. Which option is usually the better choice?
Details matter when selecting a solution
There are a number of factors to consider when deciding between a refund request or a replacement vehicle request. How much use the driver got out of the vehicle can be one significant consideration. In a refund scenario, the dealership may reduce the amount refunded based on the mileage put onto the vehicle before the Lemon Law claim began. The gradual but consistent appreciation of vehicle values might also mean that a refund is not enough to purchase another vehicle of comparable value.
That being said, a replacement vehicle isn’t always the best option either. People may have discovered after their purchase that there are many reported issues with the particular vehicle they need to replace. The manufacturer may have had multiple different problematic models, making them seem untrustworthy. The buyer may prefer to purchase a used vehicle instead because at least reviews from other drivers can help them measure whether the vehicle is likely to be a good fit for them or not.
Regardless of whether a driver chooses a replacement or a refund, they may need someone advocating for them to ensure a smooth process and optimal compensation. Understanding the options available during a lemon law claim can help buyers minimize the negative impact a defective vehicle has.