What Is the Michigan Lemon Law?
Michigan's lemon law protects buyers of new vehicles from gross manufacturing defects. In order to enjoy the refund or replacement awarded by the lemon law, the consumer's vehicle has to have a defect that is unrepairable. This is evidenced by the fact that at least four separate repair attempts have failed, or the vehicle has spent a cumulative 30 days in repair during the first year.
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Covered Vehicles
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The lemon law in Michigan covers new motor vehicles purchased in the state or by residents of the state, and which are subject to an express warranty. This definition includes passenger cars, SUVs, pickup trucks and vans, but excludes motorcycles, off-road vehicles, recreational vehicles, buses and large trucks.
Warranty Period and Other Conditions
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The lemon law remains in effect for either the full term of the vehicle's express warranty period or one year from the date of delivery of the vehicle to the consumer, whichever occurs first. To qualify as a consumer under the Michigan lemon law, a person must purchase less than 10 vehicles in a year, or must purchase those vehicles for personal, family or household use.
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Nonconformities
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To be covered by the lemon law, a vehicle must have an express warranty. Only a defect or condition that prevent the vehicle from conforming with the warranty can trigger the lemon law, and even then, only if it impairs the vehicle's value or use. Nonconformities resulting from abuse, neglect or unauthorized modification by the owner do not count as nonconformities under the lemon law.
Repair Attempts
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The defect or condition must be reported and a repair attempt made while the lemon law period is still in effect. If the condition continues, the owner of the vehicle must then make at least three additional repair attempts for the same defect within two years of the first attempt. If, however, the vehicle is out of service for a total of 30 or more days during the initial lemon law period, the number of repair attempts becomes irrelevant.
Remedies
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A consumer who successfully files a claim under the lemon law is entitled to either a replacement vehicle or a refund. The refund will be the purchase price of the vehicle plus costs of towing or obtaining a replacement vehicle during repair attempts, but less a reasonable deduction for wear of the lemon. If the manufacturer, however, has an alternative dispute resolution program, no claim under the lemon law can be brought until the vehicle owner has exhausted the options under the manufacturer's program.
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References
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