Virginia Lemon Law Explained
The Lemon Law in Virginia is a consumer protection law designed to protect buyers of defective vehicles. Generally speaking, if your vehicle is defective and the dealership, or the vehicle manufacturer, cannot fix it after multiple attempts, then you may be entitled to a "buy back" under Virginia’s Lemon Law.
Lemon Laws protect consumers whose new vehicles repeatedly break down within the warranty period, despite multiple repair attempts. A vehicle is considered a "lemon" if it has a defect that substantially impairs its use, value, or safety, and if the manufacturer or dealer has been unable to repair the defect after four unsuccessful attempts. That said, Virginia law actually excludes certain types of vehicles from the protections of the Lemon Law. Namely, the law only covers passenger vehicles, but not trucks, motorcycles, or off-road vehicles . The law also does not cover commercial vehicles, such as buses, taxis, shuttles, or other vehicles mainly used for business purposes.
A "lifetime warranty" typically refers to a manufacturer’s warranty that is not limited in time. In Virginia, however, the warranty must still be in effect at the time the "lemon" vehicle is declared a lemon by the arbitrator or agency. In this case, a vehicle should generally be repaired, at least once, during the warranty period. Under Virginia’s Lemon Law, if your vehicle was defective, then you have two options: (1) the manufacturer will replace it or refund its purchase price and (2) you will be given a replacement vehicle or a refund of the purchase price. However, you must report the issue within a certain time frame after the manufacturer issues a defect statement.
Who Can File a Lemon Law Suit?
Before delving into what you need to do for a successful lemon law claim, you also need to know the criteria the vehicle must meet to qualify as a lemon. The State of Virginia is known as a "demand province" and must follow the Magnuson-Moss Warranty Act (Public law 93-637) in order to become a lemon. The federal acted passed by congress allows Virginia residents with defective automobiles a timely remedy. The lemon law standards underneath this act require that: the car has been given a reasonable number of attempts to be repaired; the car is out of service for at least 30 consecutive days; or the car fails to conform to the manufacturer’s written warranty. A written warranty is defined as any written compliance document handed to the consumer that the consumer uses for injury, damage, or loss. There are two things that could make your vehicle eligible for a lemon law claim in Virginia: nonconformity and nonconformity condition. Nonconformity means that the vehicle or one of its components is not functioning according to the manufacturer’s written specification or guidelines. This means that the car is not operating properly and cannot be used as it was intended. If the nonconformity is noticed within one year of when the car was purchased, or still while under warranty, the car is now a candidate for filing a lemon law claim. As for nonconformity condition, it is defined as when the manufacturer has had a reasonable opportunity to repair the nonconformity two or more times, but it continues, or if the vehicle repairs have been unsuccessful due to the defect even after 30 or more cumulative days. If either of these apply to your vehicle, it is important that you file a lemon law claim in Virginia as soon as possible.
Documents Needed
When filing a Lemon Law claim, appropriately gathering the necessary documentation is one of the keys to a successful claim. In Virginia, certain documentation is necessary for a manufacturer’s review and investigation. This information includes, but is not limited to, a statement of the consumers repair attempts and procedure, the vehicle maintenance records from the time of purchase to the date of claim submission, any and all repair orders for said vehicle for the same period of time, as well as the names and locations of any locations that serviced the vehicle during the time in question. It is very important that this information is outlined in an easy and clear manner for the manufacturer. If the consumer was required to continue making monthly payments after the manufacturer was given notice of the alleged defect, it is also crucial to provide proof of said payments. This information does not have to be submitted at the initial claim filing stage, however, it must be provided prior to the hearing stage of a Lemon Law claim in Virginia. The manufacturer has 30 days from the Lemon Law claim filing to review all of the provided paperwork and decide whether they deny or agree to remedy the situation.
How to Start a Lemon Law Case
The initial step in the lemon law process is to give a written notification of a vehicle defect to the manufacturer. Generally, this should be done in a reasonable amount of time after the last repair attempt. Virginia’s lemon law statute does not provide any corporation about the timing of the notification. As a practical matter, if the manufacturer has been providing service for repairs, then I would recommend that you notify the manufacturer in writing after the most recent repair attempt has not been successful.
The Virginia lemon law does not provide that a particular notice form or language must be used. A notice can certainly be given by letter and include a statement of the problems. In the case where the defect covers multiple problems, it is not necessary to list every problem. Also, for the purpose of the notice, it is not necessary to explain the extent of the nonconformity or the manufacturer’s opportunities for correction. Rather, IRS ยง 327A(d)(2) provides that, for purposes of Virginia lemon law, the notice is "sufficient" if it states:
(i.) the name and address of the person giving the notice;
(ii.) the identification of the vehicle;
(iii.) a specific description of the nonconformity;
(iv.) a statement that a reasonable number of attempts have been unsuccessful; and
(v.) an expression of disappointment in the manufacturer’s ability or willingness to correct the nonconformity.
Just as critical as the notification itself, is how the notice is given. The Virginia lemon law provides that the notice must be mailed by certified mail, return receipt requested, or otherwise delivered by some means which provides verification of delivery.
Lemon Law Arbitration Process
From Our Perspective: The Role of Arbitration in the Virginia Lemon Law Process
As mentioned in the beginning of this article, some manufacturers require all Lemon Law cases to be sent through an Informal Dispute Resolution ("IDR") process or arbitration prior to filing any kind of lawsuit. For example, Ford requires that all lemon law claims must go through their IDR process before a lawsuit will be initiated on behalf of their customer. Although this is not a requirement in Virginia and some manufacturers include that disclaimer in their warranty booklets provided to the consumers, it is something that is required for Ford. Some manufacturers do not require their customers to participate in IDR or arbitration and allow customers the choice of whether to attend, recognizing one of the challenges associated with the process, which is the time that it takes to set up an IDR or arbitration session. Depending on the manufacturer you are dealing with, a typical timeframe of a few weeks will often be suggested as to when a resolution can be expected.
In arbitration, the consumer submits his/her complaint to a third-party arbitrator free of charge who conducts a hearing. The hearing typically lasts no longer than 30 minutes and is generally conducted over the phone due to the federal and state laws that prohibit in-person arbitration hearings. The third-party arbitrator will listen to arguments from both sides of the dispute, ask the consumer and the manufacturer questions that he/she has about the vehicle and problems that have arisen, and then issues a written decision within 30 days of the hearing. Once that decision is reached, the consumer is at a crossroads. They may choose to accept the ruling or they may reject it. If they reject the ruling, they must file a lawsuit against the manufacturer within 45 days of the rejection of the arbitrator’s decision. If they decide to accept the decision from the arbitrator, they are only entitled to the remedy that was provided to them during arbitration. The consumer may not file a civil suit and must accept the decision of the arbitrator.
Suing if Arbitration Fails
If you are not able to reach a satisfactory settlement during arbitration, you are able to pursue legal action. If this happens, you will want to get legal representation to assist you in your lawsuit. Speaking with one of our specialized lemon law attorneys can help you understand what the process of taking your lemon law claim to court would look like . When your case does go to court, you should expect your lawyer to request the following:
- Compensation for any economic losses
- Compensation for any non-economic losses
- Compensation for attorney fees
- Court costs
- Compensation for any punitive damages
The law is on your side if your case goes to court. The statute in Virginia states that you can get up to twice the amount of your economic losses stated in the verdict. Your lawyer will be sure to ask for that amount, at a minimum. The court will likely rule in your favor, especially if you hired a lemon law attorney to represent you, as judges prefer to rule in favor of the underdog.
How to Make a Lemon Law Claim Stronger
While seeking the advice of a qualified attorney is essential to understanding your Virginia Lemon Law rights, below are some steps you can take to strengthen your claim:
Keep those records organized. You need to have on hand, at a moment’s notice, all paperwork relating to the purchase of the vehicle in question, including purchase contracts, repair orders, warranties, and pre-sale inspection reports. A chronological log of all repairs performed on the vehicle will also be of great benefit in substantiating your claim.
Document everything. We recommend documenting every single conversation you have with anyone concerning your car. Date, name of person you talked to, in person or over the phone, and what was discussed. It is also helpful to send follow-up letters confirming in writing any agreements or understandings reached verbally.
Seek professional help. A Virginia Lemon Law attorney can help you understand the statute and cut through the tangle of red tape in order to determine whether or not your case is a candidate for relief under the statute. Attorneys specializing in Virginia Lemon Law cases are familiar with manufacturers and how they handle these matters, as well as the arbitration boards and the court system of Virginia.
Common Pitfalls
One of the most frequent issues I see when people file their own Lemon Law cases is a failure to act quickly in filing a complaint with the Better Business Bureau. BBB Auto Line has very specific deadlines, and the consumer must follow those deadlines exactly or the consumer will waive the arbitration option under the Lemon Law. If you have a problem with a new car, act quickly. This is even more important if there is an extended warranty on the vehicle.
Another common mistake involves missing documentation. If you are relying on logs or notes on your iPhone where you did not keep notes based on the exact time, date, seminar Chassis Number, Service Repair Order number, etc., you probably have a problem. Inspect your documents carefully and do not waste any time in getting your car fixed. Unfortunately, letters tend not to work as well as they did in the past and the manufacturer will not be very helpful, so you need to take steps yourself to protect your interest.
Missing the six-month deadline for lemon law arbitration under the BBB program is also a common mistake. You need six months of problems before arbitration is likely to help you. After that things start to go against the consumer and you will end up with a lengthy adversarial process. Keep track of your warranty end date or wrinkle your forehead and pay attention.
Virginia Lemon Law Resources
Virginia Attorney General Consumer Affairs Division
The Office of the Attorney General helps consumers in a variety of ways. The contact number is (800) 552-9963 or (804) 786-2042 (TDD/Voice). The Mailing Address is 202 North Ninth Street Richmond, Virginia 23219. The Physical Location is 202 North Ninth Street Richmond, Virginia 23219. The fax number is (804) 786-0122 and the Website address is www.oag.state.va.us.
Virginia Department of Agriculture and Consumer Services (VDACS) Office of Consumer Affairs
The Office of Consumer Affairs assists Virginians with questions and complaints regarding consumer issues. Although it has been given limited authority to enforce Virginia’s consumer laws, the Office’s primary responsibility falls under consumer education. Contact the Office of Consumer Affairs by calling (804) 786-2042 or writing to the following: Virginia Department of Agriculture and Consumer Services, Office of Consumer Affairs, P.O. Box 1163, Richmond, VA, 23218. The Website address is www.vdacs.state.va.us.
Virginia Legal Aid Society
Legal Aid provides a variety of legal services to people who cannot afford a lawyer. If you think you are eligible for a free lawyer , call the Legal Aid office in your area. Be prepared to answer questions about your finances and whether your case is in an area of law served by Legal Aid. Most offices will limit their cost of services to about $600 for paper-only cases; they may provide payment plans and other financial programs for higher costs. Not everyone will be accepted for legal aid assistance; whether you qualify depends on factors like money and resources, the citizenship/vietnam era status and, in some instances, your legal problem. You cannot go directly to Legal Aid for assistance and the office does not take walk-ins. If you are not already working with Legal Aid or a similar service, you will first need to go through a screening process to determine whether you qualify for assistance. The free legal referral service offered by Virginia Lawyer Referral Service is provided by the Virginia State Bar and free of charge. The Virginia Lawyer Referral Service toll-free telephone number is (800) 552-7977 or (804) 744-0857.
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