Song-Beverly Warranty Rights | Lemon Law | Coverage (New Vehicle) | "New Vehicles" | Coverage (Old Vehicle)
(New Vehicles)
Overview of Song-Berverly Warranty Rights
The Song-Beverly Consumer Warranty Act (beginning with Civil
Code section 1790) provides protection for consumers who lease
or buy new motor vehicles. The law requires that if the manufacturer
or its representative in this state, such as an authorized dealer,
is unable to service or repair a new motor vehicle to meet the
terms of an express written warranty after a reasonable number
of repair attempts, the manufacturer is required promptly to
replace the vehicle or return the purchase price to the lessee
or buyer. The purchase price that must be returned includes the
price paid for manufacturer-installed items and transportation
but does not include the price paid for nonmanufacturer items
installed by the dealer. The lessee or buyer is completely free
to choose whether to accept a replacement or a refund. Whatever
the choice, the manufacturer is also responsible to pay for sales
or use tax; license, registration, and other official fees; and
incidental damages that the lessee or buyer may have incurred
such as finance charges, repair, towing, and rental car costs.
The lessee or buyer may be charged for the use of the vehicle
regardless of whether the vehicle is replaced or the purchase
price is refunded. The amount that may be charged for use is
determined by multiplying the actual price of the new vehicle
by a fraction having as its denominator 120,000 and as its numerator
the number of miles traveled by the vehicle before it was first
brought in for correction of the problem. For example, if the
car had traveled 6,000 miles before it was first brought in for
correction of the problem, the lessee or buyer could be charged
5% (6,000/120,000 = 5%) of the purchase price for usage.
The law applies for the entire period of your warranty. For
example, if your vehicle is covered by a three-year warranty
and you discover a defect after two years, the manufacturer will
have to replace the vehicle or reimburse you as outlined above
if the manufacturer or its representative is unable to conform
the vehicle to the express warranty after a reasonable number
of attempts to do so.
Song-Beverly does not apply if the problem was caused by abuse
after the vehicle was delivered. Be sure you follow the terms
of the warranty for maintenance and proper use of the vehicle.
Although there is a four-year statute of limitations to bring
a law suit for breach of warranty or for violations of Song-Beverly,
you should act promptly to try to resolve the problem fairly
and quickly without legal action if possible.
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"Lemon
Law "
What is considered a reasonable number of repair attempts will
depend on the circumstances including the seriousness of the
defect. For example, one or two repair attempts may be considered
reasonable for serious safety defects such as brake failure,
depending on the exact situation.
A special provision, often called the "Lemon Law," helps
determine what is a reasonable number of repair attempts for
problems that substantially impair the use, value, or safety
of the vehicle. The "Lemon Law" applies to these problems
if they arise during the first 18 months after the consumer received
delivery of the vehicle or within the first 18,000 miles on the
odometer, whichever occurs first. During the first 18 months
or 18,000 miles, the "Lemon Law" presumes that a manufacturer
has had a reasonable number of attempts to repair the vehicle
if either (1) The same problem results in a condition that is
likely to cause death or serious bodily injury if the vehicle
is driven and the problem 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 problem as provided in the warranty or
owner's manual or (2) The same problem 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 problem as provided in the warranty
or owner's manual or (3) The vehicle is out of service because
of the repair of any number of problems by the manufacturer or
its agents for a cumulative total of more than 30 days since
delivery of the vehicle.
The "Lemon Law" presumption is a guide, not an absolute
rule. A judge or arbitrator can assume that the manufacturer
has had a reasonable number of chances to repair the vehicle
if all of the conditions are met. The manufacturer, however,
has the right to try to prove that it should have the chance
to attempt additional repairs, and the consumer has the right
to show that fewer repair attempts are reasonable under the circumstances.
Be sure to check your warranty and owner's manual for instructions.
You may be required to directly notify the manufacturer of the
problem(s). It is a good idea to send your written notice to
the manufacturer at the address shown in the warranty or owner's
manual by certified mail, return receipt requested so that you
have proof that your letter was received. Keep a copy of all
correspondence.
If the manufacturer maintains a state-certified arbitration
program, the consumer must submit the warranty dispute to the
arbitration program before the consumer can take advantage of
the presumption in court. Arbitration is an alternative to court
proceedings. The consumer may assert the presumption during arbitration.
Information about any arbitration should be described in the
warranty or owner's manual.
Not every manufacturer maintains a state certified program.
You should check with the Department of Consumer Affairs' Arbitration
Certification Program at (800) 952-5210 or on the Internet at
www.dca.ca.gov/acp. You can also ask for the department's free
pamphlet that explains more about arbitration, "Lemon Aid
for Consumers."
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Who is Covered
The law applies to a new motor vehicle that is bought or used
primarily for personal, family or household purposes. The law
also applies to a new motor vehicle with a gross vehicle weight
under 10,000 pounds that is bought or used primarily for business
purposes by a person, including a partnership, limited liability
company, corporation, association, or any other legal entity,
to which not more than five motor vehicles are registered in
this state.
What is a New Motor Vehicle
The law discussed above applies to "new motor vehicles." (Certain
limited protection may apply to used vehicles as described in
Section 2.) The term "new motor vehicle" includes not
only new motor vehicles but also demonstrators; the chassis,
chassis cab, and propulsion system of a new motor home; and any
other motor vehicle sold with a manufacturer's new car warranty.
For example, a two-year old used car sold with the remaining
one year portion of a manufacturer's three-year new car warranty
would be treated as a new motor vehicle. The term "new motor
vehicle," however, does not include motorcycles or exclusively
off-road vehicles.
Coverage
For Vehicles That Are Not "New"
Although the special provisions discussed above apply to new
motor vehicles, Song-Beverly has many general rules that apply
to any consumer product sold with an express written warranty.
As a result, there is important coverage for motorcycles, the
living quarters of a mobile home, used vehicles sold with a dealer's
express written warranty, "lemon" vehicles repurchased
by the manufacturer and sold to consumers with an express written
warranty covering the defect, and vehicles sold with a service
contract.
A full description of warranty rights is beyond the scope of
this message, but you should be aware that coverage is not identical
to the coverage for new motor vehicles. For example, a warrantor
who is unable to conform a consumer product to its express warranty
within a reasonable number of attempts is required to replace
the goods or refund the purchase price less an amount attributable
to the consumer's use. Unlike the special rules on new motor
vehicles, however, there is no set formula for determining the
charge for the consumer's use before the discovery of the defect,
and the Lemon Law presumption does not apply.
Source: Los Angeles
District Attorney's Office
