How Lemon Law Lawyers Negotiate Settlements Without Going to Court

If your vehicle is causing you trouble, and you’re about to meet with a lemon law attorney, you might be wondering how long the whole process will take until you receive compensation. Since most lemon law cases settle out of court, your next move is figuring out if an attorney is your best option for resolving your lemon law claim.

Most consumers don’t have negotiation experience. A lemon law attorney bases their entire profession on the power of negotiation. The goal is to hold the vehicle manufacturer accountable. Accountability will look differently depending on the situation, and the attorney will know exactly what can be negotiated and push for maximum compensation for the client.

Some people might wonder what’s entailed in negotiation, and if an attorney actually provides a greater benefit than just going after the manufacturer yourself. As we’ll see, negotiation is a skill that can be applied at multiple points in the lemon law process to not only expedite the claim but get the best resolution possible for the client.

First: Does Your Vehicle Qualify as a Lemon?

The attorney will determine if your vehicle qualifies as a lemon via your state’s lemon laws. Most state lemon laws are based on this premise: the vehicle must exhibit a substantial defect that severely impacts its use, value or safety. Each state lemon law has its own additional points they require, such as various timeframes for reporting, and the number of “reasonable” repair attempts the manufacturer receives.

Please note: The manufacturer must be notified in writing by the attorney regarding the claim and receive the state’s amount of “reasonable number” of repair attempts.

How does the lemon law attorney handle this process?

Example: A consumer purchased a new SUV. The vehicle kept stalling at intersections. The lawyer obtained service records from the dealership showing two failed attempts to fix the issue. The lawyer also received a copy of the warranty from the client. Expert testimony, from an automotive technician that the lawyer consulted, confirmed the stalling stemmed from a defective transmission control module. This problem was covered under the manufacturer’s warranty. Through the gathering and analysis of this evidence, the lawyer built leverage for negotiating with the manufacturer on the client’s behalf, regarding this lemon vehicle.

Attorney’s Demand Letter to the Manufacturer

Once the manufacturer has used up all its repair attempts allowed by law, the attorney will send a formal demand letter to the manufacturer. It will outline the defect, the client’s grievances, and the desired remedy, such as a refund or replacement vehicle. This letter, which is supported by evidence, demonstrates to the manufacturer that the attorney is prepared to pursue legal action if necessary. The sending of a demand letter often provides the opening for meaningful settlement negotiations.

Example: For the SUV with the stalling issue, the lawyer drafted a demand letter to the manufacturer. Included in it was the definition of a lemon vehicle as determined by the state’s lemon law. The two unsuccessful repair attempts over six months were also noted. The letter included repair invoices and a report from the automotive technician. The demand was for a replacement vehicle.

Negotiation skills worked here because in the demand letter the lawyer referenced a prior case (different from the SUV case). In that prior instance, the manufacturer settled a similar claim. These types of letters, supported by evidence and used skillfully, can lead to negotiations with the manufacturer.

Negotiations with the Manufacturer

Negotiations often involve direct talks with the manufacturer’s legal team. Lemon law attorneys anticipate defenses, like claims of owner misuse or negligence. The lemon law attorney uses their negotiation skills to counter the manufacturer’s claims with evidence and expertise, such as in the expert testimony we discussed in our example. They maintain a professional yet firm stance, and highlight litigation risks to encourage a settlement.

Example: During negotiations, the manufacturer’s representative claimed the vehicle owner was at fault. They said that the consumer used the wrong fuel in the vehicle, causing the stalling. The lemon law lawyer presented the technician’s report, which pinpointed the transmission module defect. The attorney pointed out the manufacturer’s obligation under the warranty. Negotiation skills came into play, as a lawsuit was discussed, and the lawyer also pushed for associated expenses, including towing, that the client had incurred. The manufacturer decided to settle for the client’s requested remedy, a replacement vehicle.

Mediation and Arbitration

Some cases resolve through mediation or informal talks. This differs from arbitration. In mediation, a third party (often a professional mediator) works with both sides informally to get the consumer and manufacturer to agree to a settlement. The discussion isn’t binding on either party. In arbitration, the decision is binding on the manufacturer, but not the consumer. The lemon law attorney, in either instance, will use their negotiation skills to protect the client’s rights.

Finalizing the Settlement

Lemon law lawyers ensure the settlement agreement addresses everything relating to the defect. They review terms meticulously to confirm all damages are addressed and the manufacturer complies promptly. The lawyer is ready to hold the manufacturer accountable should there be any delays or barriers to providing the buyback or replacement vehicle agreed to in the settlement.

There are times when the client wins their case and the manufacturer is slow to fulfill their obligation. The attorney can file contempt charges and a motion for enforcement. Filing charges with the FTC and state agencies are other avenues the lemon law attorney can pursue for the client. Winning the case is paramount, and additional negotiation skills will ensure the client actually receives the remedy that was agreed to. Holding the manufacturer accountable is the ultimate use of a lemon law attorney’s negotiation capabilities.

Why You Need a Lemon Law Attorney

As we’ve seen, there are too many ways a lemon law claim can hit barriers, be wrongly dismissed, or needlessly go to court. What the lemon law attorney accomplishes with their negotiation skills is a more expedient and clear path to the resolution you want. From determining if your car is a lemon under your state’s law, to seeing through your claim until you receive a replacement vehicle or buyback, the attorney advocates aggressively to protect your rights.

Trust Allen Stewart, P.C. for Experienced Lemon Law Representation

At every juncture during the claim process, the lemon law attorney uses their negotiation skills to ensure clients have the best opportunity to gain maximum compensation. Allen Stewart, P.C. provides you with years of negotiation experience so you can be assured that your rights are protected against manufacturers who try to evade, minimize or dismiss your case. Our attorneys have won many lemon law cases across the country. We are well-known lemon law lawyers in New York, Texas, California and many more states.

One point that a lot of people wonder about is “what does a lemon law attorney cost?” Please note that you pay nothing out of pocket for our representation. State lemon laws and federal law state that the manufacturer must pay the winning claimant’s legal fees.

Since there is no cost incurred by you, we encourage you to take advantage of our free consultation. You will have the opportunity to present your claim to our attorneys, and they will discuss its merits and the potential path forward, should your vehicle qualify as a lemon. This is a valuable, free service we provide to help people, as it’s important to be timely when making lemon law claims. Call Allen Stewart, P.C. today (866-440-2460) to schedule your free consultation, or contact us online.