IHateThisLemon.com Blog

Recent Successes and Lemon Law articles

IHateThisLemon.com Blog header image 1

Cadillac Buy Back

July 23rd, 2008 · No Comments

John M. was the proud owner of a brand new 2007 Cadillac SRX.   Shortly after purchase, the vehicle began to have stalling problems.  The engine would simply turn off, without warning, and under different circumstances each time.  You can imagine the seriousness of this problem, in terms of safety and useability.

After the first repair attempt, John assumed that the vehicle was fixed.  Unfortunately, the problem returned and the dealer was unable to fix the problem after three more attempts.  When John finally called our office, his Cadillac had been in for engine repairs on 4 separate occasions, all for the stalling problem, and had been out of service for approximately 55 days total. 

We contacted representatives from GM immediately.  After an exchange of documents and several phone calls, we convinced GM to buy back John’s Cadillac voluntarily and to refund all of the monies that he had spent on its purchase.  The entire process took about 30 days from the time that John first called our firm.  While we cannot guarantee success to anyone, especially within such a short time frame, this is just another example of how our firm provides results to those who have purchased defective vehicles in Pennsylvania.

→ No CommentsTags: Recent Success

Legal questions to ask before buying a Used Vehicle

July 22nd, 2008 · No Comments

Purchasing a used vehicle is a significant financial undertaking. No matter the actual price of the vehicle, it is a major expenditure for most of us. In that regard, I would like to share a few questions that should be asked anytime you are considering purchasing a used vehicle.  

1. Does the vehicle come with a warranty?

This is an extremely important question. Is there a warranty? What does the window sticker say? Even if the warranty is only a 30 day/1000 mile warranty, it is better than having no warranty at all. You would not believe the number of phone calls that I get where the client advises that they have just purchased a used car and it suffered a major breakdown immediately after driving it off of the lot.

2. Has the vehicle been in an accident?

Don’t Ask, Don’t Tell is a favorite motto of used car dealers. Pennsylvania does not make it mandatory that a dealer disclose prior accidents to potential buyers. However, if you ask the specific question “Has the vehicle been in an accident?”, they cannot lie to you, and must provide you with the truth, at least to the best of their knowledge.

3. Do you have a Carfax or similar vehicle report that I could review?

Carfax is a company that maintains reports of vehicle accidents and other associated problems with vehicles. While their system is not foolproof, it definitely provides useful information to the potential buyer. If the dealer does not have one for the vehicle that you are considering, I would suggest that you spend the couple of dollars that are necessary to obtain a report before you acutally sign on the dotted line.

4. Have you (the dealer) thoroughly inspected and reviewed the vehicle? ( Have you found any problems or made any repairs?)

This is another important question because the dealer must answer it honestly. If they have not reviewed the vehicle, that likely means that it came directly from auction and they have not had it on their lot for very long. If they have reviewed it then that is a plus in your favor. It may help create some liability in the event that something goes wrong with the vehicle immediately after purchase.  In that instance, you may be able to make the argument that the dealer should have discovered the problem before sale via its inspection.

5. How did you obtain the vehicle?

Specifically ask the dealer how they obtained the vehicle. Was it a trade-in, an auction vehicle, or something else. If they give you a story about a little old lady, then you merely have to review the Carfax report to determine how truthful the dealer is.

Please know that this list is not meant to be exhaustive by any means. These are just a few of the questions that I believe are necessary to ask prior to purchasing a used vehicle. In my experience, I have found that many of my clients have failed to ask these simple questions, and today are very sorry that they didn’t.

→ No CommentsTags: Uncategorized

Should I purchase an AS IS vehicle?

July 17th, 2008 · No Comments

At my law office, I get phone calls every day with people telling me that they bought a lemon. After expressing my sympathy, I begin my questioning process to see if there is merit to the potential client’s case. I ask the person to explain the situation with the vehicle, that is, what make, model, and year the car is, whether there is a warranty, and what problems the vehicle is  having.  

If the person explains that the vehicle was purchased AS IS, with no warranty, it is at that point that I typically tell the person on the other end of the phone that there is nothing that I can do for them. AS IS is a legal term that means that you are making a purchase of “something”, and that “something” offers no warranties whatsoever as to quality, fitness, usefulness or value. What you see is what you get. You are accepting that “something” exactly as it sits before you with all of its defects, undisclosed problems and deficiencies. You are agreeing that you will not seek recourse from the seller if that “something” does not work correctly or it does not operate as you would expect it to.

The only potential for recourse on an AS IS purchase is where the seller blatantly and/or fraudulently lies about a characteristic of that “something”, such as making a statement that “The odometer on this vehicle is accurate, I have been the only owner and I know it to be true.”, when the seller knows that the odometer was tampered with. In that instance, you may be able to pursue a fraud claim. 

Where the purchase of a football is made AS IS, your potential loss/risk is very little because of the low price of the football. If there is a problem with the football, then its no big deal, you can simply cut your losses and buy another one. Unfortunately, vehicles typically cost a lot more than footballs, so there is a much greater risk in purchasing one AS IS. You can spend up to several thousand dollars on an AS IS vehicle, and are doing so at great risk.

Before making a vehicle purchase AS IS, strongly consider the risks and benefits of doing so. I understand that there are financial circumstances where you may have no other choice but to purchase a vehicle AS IS, but if you can avoid doing so, your wallet will eventually thank you.

→ No CommentsTags: Uncategorized

What is the Magnuson Moss Warranty Act?

July 9th, 2008 · No Comments

The Magnuson-Moss Warranty Act is also known as the “Federal Lemon Law”. It is a very broad law that covers many types of products. The Magnuson-Moss Warranty Act protects consumers who purchase any product that costs over $25 and comes with a written warranty. This can include an item as small as a radio or an item as large as an RV. In order to qualify for protection under the Magnuson Moss Act, the product must be solely for personal use, such as a Television or the vehicle that you drive to work. The Act does not apply to Commercial Use products, such as a roofer’s work truck or the professional landscaper’s lawnmower. If your personal use product suffered a substantial defect while under the original manufacturer’s warranty, the Magnuson-Moss Warranty Act may offer you some recourse.

The Magnuson-Moss Warranty Act is similar to many states’ Lemon Laws. Here in Pennsylvania, I can say that it is very similar to the Pennsylvania Lemon Law. The Magnuson Moss Act provides for a free replacement of the defective product or a full refund of the purchase price, and further provides for recovery of all associated costs including Attorney fees. If the purchaser can show that the product suffered a substantial defect or non-conformity during the warranty period, and the manufacturer was unable to remedy that defect after a reasonable number of attempts, (in Pennsylvania, the number is three (3)) the Magnuson-Moss Warranty Act will provide the choice of the aforementioned relief to the purchaser.  Another measure of damages for this type of claim would be “diminution in value”, that is, the decrease in value of the product/vehicle because of the defects.  This measure is not in addition to, but rather, in the alternative.

The Magnuson-Moss Act is an act that was designed to ensure that manufacturers (of any product) who offer a written warranty on that product abide by and honor the terms of any warranty that they give.

In practice, Lemon Law Attorneys have used this Act very successfully in Pennsylvania to protect purchasers of defective cars, trucks, vans, SUV’s, motorcycles and RV’s. If your vehicle has suffered a defect while still under the original manufacturer’s warranty, you may be entitled to cash compensation, a full refund or free replacement, plus free legal representation.

→ No CommentsTags: Uncategorized

BBB and the PA Lemon Law

June 3rd, 2008 · No Comments

The Pennsylvania Lemon Law is a law that defines the rights and remedies that you have if you purchase a new vehicle that becomes defective. The PA Lemon Law sets forth that you are entitled to a free replacement vehicle or a full refund of the purchase price if your vehicle encounters defects or problems which substantially impair the use, value or safety of the vehicle. If the manufacturer cannot repair the vehicle after a reasonable number of attempts, (typically three attempts are sufficient) the vehicle is deemed a lemon.

Unfortunately, while you are entitled to one of these remedies, vehicle manufacturers rarely voluntarily buy your vehicle back under the law, even the vehicle meets the  criteria of the PA Lemon Law. In that instance, you will have to initiate a lemon law claim. Under the law, you must first resort to the manufacturer’s informal dispute resolution program, if they maintain one, prior to filing a lemon law lawsuit.

This is where the Better Business Bureau comes in. In Pennsylvania, the Better Business Bureau runs the informal dispute resolution program for many of the major automobile manufacturers. The BBB runs the dispute resolution program for Acura, Audi, Ford, GM, Hyundai, Infiniti, Isuzu, Kia, Lincoln, Mazda, Mercury, Nissan, Saab, Saturn and Volkswagen.

How does the BBB program work? Its very simple and is merely a format for exchanging information, then having a neutral arbitrator review the facts and making a decision. Our office files several of these claims each week, so it has become second nature here, but in a nutshell: The first thing is to initiate a claim with the BBB. This can be done by filling out their online complaint form. There is also a call-in option to handle the filing over the phone. You will need to provide various types of information here, including contact info for yourself and the make, model and year of the vehicle, along with the VIN. Next, you will provide a list of and an explanation of the vehicle’s defects and repair attempts. In addition, you must forward copies of all of your vehicle’s relevant documentation (purchase agreement, financing agreement, repair orders, etc…) to the BBB. Then, you will submit a written narrative of the problems with the vehicle and why you believe the vehicle is a Lemon. This information will be passed along to the manufacturer, who will formulate a response. After the response is received, the BBB Arbitrator will wish to inspect your vehicle, perhaps taking it for a test drive. He/She will render a decision within a matter of days. The entire process is supposed to take 40 days from start to finish.

It is important to know that the Arbitrator’s decision is binding upon the manufacturer, but it IS NOT binding on you. What that means is that you have the right to proceed with a lawsuit if you don’t like the Arbitrator’s decision, but the manufacturer does not have that same right.

If you do not like the result, you can simply file a lawsuit in the Court of Common Pleas of the county in which you reside.

→ No CommentsTags: Uncategorized

7 Steps to Getting Rid of Your Lemon

May 21st, 2008 · No Comments

The first step is to take the vehicle to the dealer each time your encounter a given problem.

I have found that many people fail to take the vehicle in to the dealer for repairs because they either don’t have time, it’s too inconvenient, etc… but this is a very important step in the process. State lemon laws all provide that the dealer/manufacturer must be given a reasonable opportunity to repair the defects.  You cannot present a claim if the dealer/manufacturer have not have an opportunity to fix the problems.

Step 2. Be sure that the Dealer’s Service Department lists all of your complaints on the repair order.

I have found this one to be troublesome. Many times, consumers take their defective vehicles in for repair and tell the service advisor the problems that are being encountered. Often, the service advisor fails to list all of the complaints with the vehicle. Defense Attorneys, either in a deposition or at trial, raise this as a defense if the complaint is not listed on the repair order.  While you cannot actually force the service department to list all of your complaints, be firm in your requests to list all of the chief complaints.

Step 3. Get a copy of the repair order.

Under Pennsylvania law, the dealer is required to give you a written repair order every time that they look at your vehicle, whether they find a problem or not.  Even so, I have found that many times the consumer fails to receive a copy of the repair order. Insist on receiving one each time you take the vehicle in for servicing.

Step 4. Hire a Lemon Law Attorney.

This one is a no-brainer. The Pennsylvania Lemon Law provides that the manufacturer must pay your attorney fees if you have a lemon.  You end up with free legal representation.  Experienced PA Lemon Law attorneys do not request that you pay a retainer up front because they know that their fees will be paid by the manufacturer.

 Step 5. Provide your attorney with all of the relevant documents.

Your attorney will need the purchase/lease agreement, the financing agreement, the repair orders, any Technical Service Bulletins (TSB’s), the warranty booklet, a copy of your registration, and a copy of your title, if you have it.

Step 6. Allow your attorney to go to work for you.

The lemon law field is a pretty small one. For the most part ,the attorneys who handle these types of cases know what they are doing. Follow their advice.  They will handle most everything related to the case.  Client participation is very minimal.

7. Do not always insist on a buy-back of the vehicle.

This is a big one. Many clients who call my office demand that the Manufacturer buy their vehicle back. And many times, they are within their rights to make that demand. However, as you can imagine, Manufacturers are not quick to repurchase vehicles. What the client needs to look at is how they can get out of their vehicle in the quickest, fairest fashion. Often times, a cash settlement can be beneficial in this regard. This may give you enough money to get out of the vehicle and have a nice down payment on a new one. Again, though, I only advise this when it is in the client’s best interests.

→ No CommentsTags: Uncategorized

Motorcycle Lemon Law in PA

May 20th, 2008 · No Comments

We do not have a specific Motorcycle lemon law in Pennsylvania at this time. The PA Lemon Law currently only applies to cars, trucks, vans and SUV’s, for the most part. Fortunately, however, if you have purchased a defective motorcycle you may still be able to bring a lemon law-type claim . If your motorcycle suffered a defect while it was under the original manufacturer’s warranty, whether you bought it new or used, there is a federal law called the Magnuson-Moss Warranty Act that covers motorcycles that have a written warranty on them. The Magnuson-Moss Warranty Act protects consumers who purchase any product that costs over $25 and comes with a written warranty, so a motorcycle would be covered by this law.

The Magnuson-Moss Warranty Act is similar to the PA Lemon Law in many regards. Like the PA Lemon Law, the Mag-Moss Act provides for a refund or free replacement of the defective product, and further provides for recovery of all associated costs including Attorney fees. If the purchaser can show that the motorcycle suffered a substantial defect or non-conformity during the warranty period, and the manufacturer was unable to fix that defect after a reasonable number of attempts, the Act will provide relief to the purchaser. The Magnuson-Moss Act is an act that was designed to ensure that manufacturers (of any product) who offer a written warranty on that product abide by and honor the terms of any warranty that they give. A purchaser of a motorcycle is a prime candidate to use this law in the event that he purchases a “lemon”.

In practice, Lemon Law Attorneys have used this Act very successfully in Pennsylvania to protect purchasers of defective motorcycles. If your motorcycle has suffered a defect while still under the original manufacturer’s warranty, you may be entitled to a full refund or free replacement, plus free legal representation.

→ No CommentsTags: Uncategorized

PA Lemon Law - Do I Need an Attorney?

May 5th, 2008 · No Comments

The Pennsylvania Lemon Law is a consumer oriented law that protects purchasers of defective vehicles. It applies to new model cars, trucks, vans and SUV’s that are registered for personal use in PA. In order to qualify for a claim under the Lemon Law, your vehicle has to exhibit defects or non-conformities which substantially impair the use, value or safety of the vehicle.

To be honest, the PA Lemon Law does not require you to hire an Attorney. You could proceed with a claim on your own, provided that you follow the letter of the law, the contractual obligations and the manufacturer requirements in doing so. The mistake in doing that is three-fold. To begin with the obvious, you do not have a license to practice law and are not overly educated on the subject, at least not to the level of an experienced legal practitioner. Second, you do not know the intricacies and nuances of handling such a claim and further do not have the established relationships with the Manufacturers and their representatives that Lemon Law Attorneys do. Third, and this is the big one, it is absolutely free to hire a Lemon Law Attorney in PA. Read that again, a FREE attorney to handle your very important legal matter. So the question becomes “Why would you proceed without one?”

The reason that you can receive free legal representation on this type of case is that the Pennsylvania Lemon Law provides that the manufacturer of your vehicle must pay your attorney fees if the vehicle is found to be a lemon. An experienced Lemon Law Attorney knows that and so he will not request an out-of-pocket retainer from you. He/She will take on your matter, provide quality legal representation, and then provide a bill directly to the manufacturer for his fee. Most Lemon Law Attorneys only charge a client when a recovery is made (i.e. a refund, replacement or cash settlement) so there is absolutely no risk on your part in hiring a Lemon Attorney.

I think we all can agree that free legal representation is a good thing, and that a matter involving such an important and costly issue is best left to the professionals.

For any further questions regarding the PA Lemon Law or legal fees, please contact my office at 1-888-LEMON-44.

→ No CommentsTags: Uncategorized

2004 Mercury Mountaineer Buy-Back

May 5th, 2008 · No Comments

In late 2003, Jack R. purchased a 2004 Mercury Mountaineer.  Unfortunately for Jack, the transmission in the vehicle began to exhibit problems almost immediately.  The truck would hesitate coming out of first gear, lurch into second, and would make a loud ”bang” sound with each upshift. On the second repair attempt, it was determined that a complete transmission replacement was necessary.  Approximately 4 months after the replacement transmission was installed, the vehicle began to exhibit the same transmission problems as before.  Four more repair attempts over the next year, including another complete tranny replacement, and Jack finally decided to contact a Lemon Law attorney.  After our initial conversation, I advised Jack that he had a very good case and I was hopeful that we could resolve it quickly.  His vehicle exceeded the repair attempts necessary under the Pennsylvania Lemon Law, and was as close to an open and shut case as you could find.  We were unable to settle the matter with Ford Customer Service, so a lawsuit was filed.  Approximately 20 days after the lawsuit was commenced, Ford agreed to buy back Jack’s Mountaineer and pay his legal fees. 

→ No CommentsTags: Recent Success