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We handle cases across the United States. Allen Stewart is licensed to practice law in Texas, California, New York, Pennsylvania, Missouri, North Carolina, Ohio and Arizona.

A Quick History of Lemon Laws 

Connecticut State Capitol, Hartford
Image Source: https://commons.wikimedia.org/wiki/File:Connecticut_State_Capitol,_Hartford.jpg/

Anyone shopping for a new car risks buying a lemon. Automotive manufacturers across the world have built and sold lemons, from American companies including Ford and General Motors to overseas manufacturers including Volkswagen and Honda. These “lemons” contain repeating, unfixable defects that can cost consumers hundreds and sometimes thousands of dollars in unforeseen costs, such as repairs, lost wages, alternative transportation costs, towing fees, and other expenses their owners didn’t expect when buying a new vehicle.

A lemon car puts a real damper on your excitement of a new car. You can take some small comfort knowing you aren’t alone: the National Highway Traffic Safety Administration (NHTSA) estimates more than 150,000 vehicles sold every year are lemons, containing defects that throw these vehicles “out of conformity” with their written warranties. Manufacturers offer their warranties as a written promise that when the vehicle doesn’t work as it should, the manufacturer will make it right one way or another. When they fail to uphold their end of the bargain, lemon laws give consumers and their lemon law attorneys the tools and knowledge needed to get just compensation through the legal system.

Lemon laws are a relatively recent addition to American jurisprudence. For much of America’s early history, America abided by one guideline when it came to consumer law: caveat emptor – let the buyer beware. Responsibility fell mostly on the consumer themselves to look out for bad deals and to avoid less-than-scrupulous merchants. However, as the nation grew and its economy along with it, so did the space between the producer and the end consumer. Americans cried out to elected officials for new laws protecting them from corporate malfeasance. Enter the Magnuson Moss Warranty Act.

Sen. Warren Magnuson (D-WA) first introduced the Act to the U.S. Senate on May 14, 1973. It passed the Senate on Sept. 12, 1973, before moving to the U.S. House of Representatives where it passed on Sept. 19, 1974. After going through committees, U.S. President Gerald Ford signed it into law on Jan. 4, 1975.

The Act requires companies make clear statements in their warranties, otherwise those ambiguities will be held against the company in court.

For more information on arbitration and other frequently asked lemon law questions, click here.

The Act, signed into law in 1975, in response to allegations of consumer rights violations by businesses in the 20th century. The Uniform Commercial Code (UCC) originally tried harmonizing sales and commercial transaction laws across America. States can adopt the code into their statutes either fully or partially, even though the Code itself is not law. Every U.S. state but Louisiana adopted UCC rules, who instead opted to keep their own civil law traditions.

This didn’t go far enough in stemming manufacturers’ abuse of consumers, and as such consumers demanded change from their elected officials. They wanted government oversight for warranty law and legal support when they take manufacturers to court. The Magnuson-Moss Warranty Act provides consumers and their attorneys the tools and support they need.

The Magnuson-Moss Warranty Act makes manufacturers designate any warranties they offer as either “full” or “limited” and specify exactly what they cover in a single, clear, easy-to-read document. They must also make the warranty conspicuously available for consumer review, allowing consumers to shop for warranty coverage before making a purchase.

The Act also prohibits these companies from disclaiming or modifying implied warranties with their written ones. This means consumers are always entitled to the basic protections of “implied warranties of merchantability;” that a good sold must do what that good is supposed to. For example: a new car should operate and convey passengers and cargo from one place to another safely. A car that cannot do this does not conform to the implied warranty of merchantability.

Lemon laws are confusing. Read our guide to the lemon law complaint process.

Magnuson-Moss makes it easier for consumers to sue for breach of warranty by making it a violation of federal law, bringing the case out of the individual state’s hands and into federal purview. It also lowers the amount of economic damages normally needed for federal jurisdiction.

State lemon laws also provide another layer of protection for American consumers. Connecticut passed the first state-level lemon law in 1982. The law, also knwon as Connecticut General Statute Chapter 743b, protects consumers who purchase a defective vehicle at or under 2 years old or with a mileage of 24,000 miles or fewer. State Representative John J. Woodcock introduced the law into the state legislature, and it was later signed by Gov. William A. O’Neill. Other American states took notice and now every state in the USA has its own lemon law. Each state law varies in its protections, differing in how long a consumer has to report a defect, how many miles a vehicle must have, or how many times the consumer must allow the manufacturer to attempt repairs. Consumers in Texas, for example, must meet one of three “tests” before their car can be considered a lemon.

A vehicle passes the serious safety hazard test if the vehicle owner submits the vehicle for repair of a serious safety hazard once during the first 12 months of ownership or 12,000 miles, whichever comes first, and then once more during the 12 months or 12,000 miles following the first repair attempts without the problem being fixed.

A vehicle passes the four times test if it’s been taken to a dealership for repairs two times for the same problem or defect within the first year or 12,000 miles, whichever comes first, and twice more during the first 12 months or 12,000 miles following the first repair attempt without the problem being fixed.

A vehicle passes the 30-day test if it has been out of service for repair because of problems covered by the original factory warranty for a total of 30 days or more during the first two years or 24,000 miles of ownership without a comparable loaner vehicle offered, and there were two repair attempts during the first year or 12,000 without any success.

The lemon law attorneys of Allen Stewart P.C. know the ins and outs of both state lemon laws and the Magnuson-Moss Warranty Act, and how to best use them to make sure your lemon law claim gets the best resolution possible. The sooner you reach out to Allen Stewart P.C., the better your chances of success. Don’t wait; contact Allen Stewart P.C. today.

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