If you follow our blog, you’ll see we’ve tackled a number of gray area lemon law topics. The main principle is always: that to qualify as a lemon, a vehicle must exhibit a substantial, unfixable defect. The other parts of the puzzle (apart from proving the defect, which can be complicated) usually are straightforward: you have either a vehicle owner or someone who leases the vehicle, pursuing a lemon law claim.
Today’s Subscription-based Business Models
As you’ve likely experienced, so many aspects of life today involve subscriptions. What if a gray area under lemon law involves car subscriptions? The car subscription model is a few years old, and is gaining traction around the world and in the US. Fortune Business Insights reports that the 6-12 month subscriber segment is the most used, with the 1-6 month segment exhibiting the fastest growth rate.
It may turn out that the subscriber and the car subscription provider both need to consult a lemon law attorney in certain situations, due to the uncommon nature of the subscription ownership model, on top of the problems involved with the malfunctioning vehicle.
We’ll review what a car subscription is, and some scenarios that could come up under this ownership model, potentially triggering, or complicating, a lemon law claim. Through it all, we will note how the expertise of a lemon law attorney can help protect your rights.
What is a Car Subscription?
The car subscription was born out of a desire to have an all-inclusive monthly payment (short of gas, tolls, parking fees, EV charging). With a subscription, a person gets access to a vehicle for a specified period of time, without the hassle of daily or weekly rental costs. In addition to usage, (mileage varies between providers), the subscription usually also covers insurance, maintenance and roadside assistance. Those are major responsibilities conveniently folded into the monthly payment. The subscriber doesn’t have to deal with ownership problems like selling the car later or not being able to get out of a lease.
For more information on arbitration and other frequently asked lemon law questions, click here.
It all sounds good. And, likely, most of the time it probably works out well. Like everything else in life, though, there are unforeseen complications.
How the Attorney Pursues a Lemon Law Claim?
Under typical circumstances, a lemon law attorney will determine, first, if a car qualifies as a lemon under state law due to exhibiting a substantial defect that is unfixable, and also if the manufacturer has had the required number of repair attempts allowed by law. There are a number of other variables, including warranty issues, that the lawyer will pursue, as each case is unique. With the additional complexities that a car subscription may introduce, it’s even more vital to seek out a lemon law attorney’s counsel in these matters. The trend is for continued growth in car subscriptions, so scenarios like the ones we’ll discuss below, and others, may come up as car subscriptions evolve.
How a Car Subscription Issue Could Lead to a Lemon Law Claim?
We’ll explore how the subscriber and the service provider may both need the help of a lemon law attorney if a car subscription vehicle should exhibit a substantial defect. Note how each party reacts in our examples and how the attorney’s expertise can help deal with ambiguities.
Please note: The hypothetical scenarios below are examples only. These defects could potentially occur with any ownership model. Car subscription cases may be treated differently, state to state. It is important to have a lemon law attorney review your case to determine how lemon laws will apply in your unique circumstances.
Scenario 1: The Persistent Engine Failure
A tech fan of new services was attracted by the ease of a monthly car subscription. She wanted to get all her costs set in one monthly payment that bundled comprehensive maintenance, too. After three months in, the vehicle started stalling unpredictably on highways, posing serious safety risks.
Think you have a lemon, click here to fill out a 30 second form.
The subscriber followed the service requirements in her contract: she arranged multiple repair appointments, but the provider’s repeated part replacements failed to resolve the issue. Growing impatient, the subscriber turned to a lemon law attorney, who explained that the subscription resembles a lease under state laws, potentially qualifying for refunds or replacements after unsuccessful repairs. The main point was if the car was still covered under the manufacturer’s warranty, and if the number of repair attempts required by state law had been fulfilled.
In this case, the provider resisted, protesting that such protections exclude subscriptions and pointing to the shared maintenance obligations. As tensions rose, the subscriber withheld her payments to the service provider. The attorney helped negotiate a vehicle exchange in the end.
Scenario 2: Electrical System Glitches and Downtime Disputes
Opting for a car subscription’s flexibility with generous mileage and full maintenance included, a sports car enthusiast had a great time with his new car, when six months in, the dashboard electronics malfunctioned repeatedly. Screens flickered out, navigation halted without warning, too. Some of the safety systems deactivated at random times, making the vehicle unreliable even for everyday short drives.
Image Source: Unsplash
The subscriber brought the car in for three service visits, yet the provider’s authorized service center’s temporary fixes didn’t work, and each time, within days, the glitches returned. In this case, the subscriber and the car service provider, both enlisted separate lemon law attorneys. These lawyers explored how state statutes would treat these “lease-like” subscriptions.
Thanks to the subscriber’s detailed service records, the case gained traction, though the provider attributed the flaws to overlooked early warnings by the user. What started as effortless transportation grew into arguments over lost usage time and alternative transport costs. Through mediation, they agreed to three months’ fee reimbursement and expedited fixes, revealing how even careful maintenance can fall short in this evolving legal landscape.
Scenario 3: Delayed Dashboard Warnings
A busy professional joined a car subscription for its all-in maintenance perk. Two months in, warning lights flickered on the dashboard. They signaled electrical glitches that dimmed the display and potentially hinted at deeper issues. Busy with work, the subscriber ignored them at first. He figured they were minor bugs, and drove on without booking the required repair. When the system fully failed during a long trip, stranding him, he finally sought service. The subscription provider noted the delay worsened the damage, voiding full coverage.
Lemon laws are confusing. Read our guide to the lemon law complaint process.
The subscriber, now facing repair bills, hired a lemon law attorney to argue the subscription acts like a lease, deserving defect remedies despite his not taking the car in for a repair sooner. The provider countered with the policy’s prompt-reporting rule. They put partial fault on the user. This easy-access dream became a true nightmare. The lawyer, using their negotiation expertise, got the parties to agree to a split-cost fix and partial refund.
How a Lemon Law Attorney Can Help You in Car Subscription Cases?
It may be that your experience with car subscription services turns out just fine. But, like with other ownership models, unforeseen issues can crop up. When in doubt, it is best to protect your rights. A lemon law attorney is well acquainted with new technologies and ownership models. There is too much at stake, especially in ambiguous situations involving new tech and new types of ownership. Since lemon law attorneys offer free consultations, it costs nothing to find out if your claim is valid.
As we’ve seen in our examples, (and not only with car subscription cases) the negotiation skills of the lemon law attorney are invaluable. The attorney provides the benefit of their experience to not only meet challenges head on, but to anticipate them, so your rights will be protected.
Contact Allen Stewart, P.C. for Expert Lemon Law Representation
Allen Stewart, P.C. offers you the benefit of our experience in car subscription cases and all forms of lemon law claims. We are noted lemon law attorneys who have won cases across the US, and are well-known lemon law lawyers in California, New York and Texas. Our attorneys work aggressively to hold manufacturers accountable when vehicles exhibit substantial defects.
If you’ve wondered about contacting an attorney, please know: the manufacturer will have its own legal team representing its interests. It’s vital you protect yourself with experienced legal counsel. Also, if you are worried about cost, it is their obligation, under state lemon laws, for the manufacturer to pay your attorney fees when you win your case.
We encourage you to take advantage of our free case review. Discuss your claim with our lawyers, and if it is valid, we will determine next steps to pursue your case. Time is of the essence with lemon law claims. Call Allen Stewart, P.C. now (866-440-2460) or contact us online.