State lemon laws help consumers who buy or lease new motor vehicles and have repeated problems getting their vehicles properly repaired under the manufacturer’s original warranty.
Lemon laws can help a consumer get the vehicle repurchased, replaced, or repaired through a process that is less complicated and expensive than filing a lawsuit and going to court.
A car is a “lemon” when it is determined that the vehicle is defective beyond repair. Most states have some form of a lemon law to protect car buyers. These laws generally only apply to new cars purchased or leased by consumers and small businesses.
But a used car may also be covered if it is still covered by the manufacturer’s original warranty (not an extended service contract), or if the defect started and was reported to the dealer while under the manufacturer’s original warranty, and the defect continues to exist.
Lemon laws often do not cover repossessed vehicles, non-travel trailers, boats, or farm equipment.
Lemon laws only cover defects that substantially impair the use or market value of the vehicle—which does not include issues like minor rattles, noises, and car audio imperfections.
Each state has its own requirements, but common factors to qualify as a lemon include:
• The vehicle has a substantial manufacturing defect
• The defect is covered by a manufacturer’s written warranty
• The owner reports the defect to the dealer or manufacturer within the warranty term
• The owner gives the dealer a reasonable number of attempts to repair the defect or condition
• The owner gives the manufacturer written notice (preferably by certified mail) of the defect and at least one opportunity to fix the defect
• The defect persists and substantially impairs the vehicle’s use or market value or creates a serious safety hazard
Lemon laws are usually located in a state’s statutes and are often administered by the state’s department of motor vehicles or a specified consumer protection agency.
In Vermont, the Lemon Law covers new motor vehicles that have a substantial defect covered by the manufacturer's warranty which substantially impairs the use, value, or safety of the vehicle, and which has not been repaired after a reasonable number of attempts. The law applies to new cars, motorcycles, and trucks under 12,000 pounds, and the defect must occur and be reported to the dealer within the first 15,000 miles or one year from the original delivery date, whichever comes first. If the vehicle is determined to be a lemon, the consumer may be entitled to a replacement vehicle or a refund. Vermont's Lemon Law does not cover used cars unless they are still under the original manufacturer's warranty and the defect began while under this warranty. The law also excludes vehicles such as repossessed vehicles, non-travel trailers, boats, or farm equipment. To qualify for relief under the Lemon Law, the owner must report the defect within the warranty term, allow the dealer a reasonable number of attempts to repair the defect, and provide the manufacturer with written notice of the defect and an opportunity to fix it. The Vermont Attorney General's Office administers the Lemon Law through its Consumer Assistance Program.