Iowa Lemon Law Firms:
This is a list of law firms that are registered as specializing in Iowa lemon law cases.

Iowa Code Annotated § 322G.1 to § 322G.15

322G.1 Legislative intent.

The general assembly recognizes that a motor vehicle is a major consumer acquisition and that a defective motor vehicle undoubtedly creates a hardship for the consumer. The general assembly further recognizes that a duly franchised motor vehicle dealer is an authorized service agent of the manufacturer. It is the intent of the general assembly that a good faith motor vehicle warranty complaint by a consumer be resolved by the manufacturer within a specified period of time. It is further the intent of the general assembly to provide the statutory procedures whereby a consumer may receive a replacement motor vehicle, or a full refund, for a motor vehicle which cannot be brought into conformity with the warranty provided for in this chapter. However, this chapter does not limit the rights or remedies which are otherwise available to a consumer under any other law.

322G.2 Definitions.

As used in this chapter, unless the context otherwise requires:

1. "Collateral charges" means those additional charges to a consumer wholly incurred as a result of the acquisition of the motor vehicle. For the purposes of this chapter, collateral charges include, but are not limited to, charges for manufacturer-installed or agent-installed items, earned finance charges, use taxes, and title charges.

2. "Condition" means a general problem that may be attributable to a defect in more than one part.

3. "Consumer" means the purchaser or lessee, other than for purposes of lease or resale, of a new or previously untitled motor vehicle, or any other person entitled by the terms of the warranty to enforce the obligations of the warranty during the duration of the lemon law rights period.

4. "Days" means calendar days.

5. "Department" means the attorney general.

6. "Incidental charges" means those reasonable costs incurred by the consumer, including, but not limited to, towing charges and the costs of obtaining alternative transportation, which are the direct result of the nonconformity or nonconformities which are the subject of the claim. Incidental charges do not include loss of use, loss of income, or personal injury claims.

7. "Lease price" means the aggregate of the following:

a. Lessor's actual purchase costs.

b. Collateral charges, if applicable.

c. Any fee paid to another to obtain the lease.

d. Any insurance or other costs expended by the lessor for the benefit of the lessee.

e. An amount equal to state and local use taxes, not otherwise included as collateral charges, paid by the lessor when the vehicle was initially purchased.

f. An amount equal to five percent of the lessor's actual purchase cost.

8. "Lemon law rights period" means the term of the manufacturer's written warranty, the period ending two years after the date of the original delivery of a motor vehicle to a consumer, or the first twenty-four thousand miles of operation attributable to a consumer, whichever expires first.

9. "Lessee" means any consumer who leases a motor vehicle for one year or more pursuant to a written lease agreement which provides that the lessee is responsible for repairs to the motor vehicle.

10. "Lessee cost" means the aggregate of the deposit and rental payments previously paid to the lessor for the leased vehicle.

11. "Lessor" means a person who holds the title to a motor vehicle leased to a lessee under a written lease agreement or who holds the lessor's rights under the agreement.

12. "Manufacturer" means a person engaged in the business of constructing or assembling new motor vehicles or installing on previously assembled vehicle chassis special bodies or equipment which, when installed, form an integral part of the new motor vehicle, or a person engaged in the business of importing new motor vehicles into the United States for the purpose of selling or distributing the new motor vehicles to new motor vehicle dealers.

13. "Motor vehicle" means a self-propelled vehicle purchased or leased in this state, except as provided in section 322G.15, and primarily designed for the transportation of persons or property over public streets and highways, but does not include mopeds, motorcycles, motor homes, or vehicles over ten thousand pounds gross vehicle weight rating.

14. "Nonconformity" means a defect, malfunction, or condition in a motor vehicle such that the vehicle fails to conform to the warranty, but does not include a defect, malfunction, or condition that results from an accident, abuse, neglect, modification, or alteration of the motor vehicle by persons other than the manufacturer or its authorized service agent.

15. "Person" means person as defined in section 714.16.

16. "Program" means an informal dispute settlement procedure established by a manufacturer which mediates and arbitrates motor vehicle warranty disputes arising in this state.

17. "Purchase price" means the cash price paid for the motor vehicle appearing in the sales agreement or contract, including any net allowance given for a trade-in vehicle.

18. "Reasonable offset for use" means the number of miles attributable to a consumer up to the date of the third attempt to repair the same nonconformity which is the subject of the claim, or the first attempt to repair a nonconformity that is likely to cause death or serious bodily injury, or the twentieth cumulative day when the vehicle is out of service by reason of repair of one or more nonconformities, whichever occurs first, multiplied by the purchase price of the vehicle, or in the event of a leased vehicle, the lessor's actual lease price plus an amount equal to two percent of the purchase price, and divided by one hundred twenty thousand.

19. "Replacement motor vehicle" means a motor vehicle which is identical or reasonably equivalent to the motor vehicle to be replaced, and as the motor vehicle to be replaced would have existed without the nonconformity at the time of original acquisition.

20. "Substantially impair" means to render the motor vehicle unfit, unreliable, or unsafe for warranted or ordinary use, or to significantly diminish the value of the motor vehicle.

21. "Warranty" means any written warranty issued by the manufacturer; or any affirmation of fact or promise made by the manufacturer, excluding statements made by the dealer, in connection with the sale or lease of a motor vehicle to a consumer, which relates to the nature of the material or workmanship and affirms or promises that the material or workmanship is free of defects or will meet a specified level of performance.

322G.3 Duties of manufacturer.

1. At the time of the consumer's purchase or lease of the vehicle, the manufacturer shall provide to the consumer a written statement that explains the consumer's rights and obligations under this chapter. The written statement shall be prepared by the attorney general and shall contain a telephone number that the consumer can use to obtain information from the attorney general regarding the rights and obligations provided under this chapter.

2. At the time of the consumer's purchase or lease of the vehicle, the manufacturer shall provide to the consumer the address and phone number for the zone, district, or regional office of the manufacturer for this state where a claim may be filed by the consumer. This information shall be provided to the consumer in a clear and conspicuous manner. Within thirty days of the introduction of a new model year for each make and model of motor vehicle sold in this state, the manufacturer shall notify the attorney general of such introduction. The manufacturer shall also inform the attorney general that a copy of the owner's manual and applicable written warranties shall be provided upon request and provide information as to where the request should be made. The manufacturer shall inform the attorney general where such a request should be directed and shall provide the copy of the owner's manual and applicable written warranties within five business days of a request by the attorney general.

3. A manufacturer or the authorized service agent of the manufacturer shall make repairs as necessary to conform the vehicle to the warranty if a motor vehicle does not conform to the warranty and the consumer reports the nonconformity to the manufacturer or authorized service agent during the lemon law rights period. Such repairs shall be made irrespective of whether they can be made prior to the expiration of the lemon law rights period.

4. A manufacturer or the authorized service agent of the manufacturer, shall provide to the consumer, each time the motor vehicle is returned after being examined or repaired under the warranty, a fully itemized, legible statement or repair order indicating any diagnosis made, and all work performed on the motor vehicle including, but not limited to, a general description of the problem reported by the consumer or an identification of the defect or condition, parts and labor, the date and the odometer reading when the motor vehicle was submitted for examination or repair, and the date when the repair or examination was completed.

5. Upon request from the consumer, the manufacturer, or the authorized service agent of the manufacturer, shall provide a copy of either or both of the following:

a. Any report or printout of any diagnostic computer operation compiled by the manufacturer or authorized service agent regarding an inspection or diagnosis of the motor vehicle.

b. A copy of any technical service bulletin issued by the manufacturer regarding the year and model of the motor vehicle as it pertains to any material, feature, component, or the performance of the motor vehicle.

322G.4 Nonconformity of motor vehicles.

1. After three attempts have been made to repair the same nonconformity that substantially impairs the motor vehicle, or after one attempt to repair a nonconformity that is likely to cause death or serious bodily injury, the consumer may give written notification, which shall be by certified or registered mail or by overnight service, to the manufacturer of the need to repair the nonconformity in order to allow the manufacturer a final attempt to cure the nonconformity. The manufacturer shall, within ten days after receipt of such notification, notify and provide the consumer with the opportunity to have the vehicle repaired at a reasonably accessible repair facility and after delivery of the vehicle to the designated repair facility by the consumer, the manufacturer shall, within ten days, conform the motor vehicle to the warranty. If the manufacturer fails to notify and provide the consumer with the opportunity to have the vehicle repaired at a reasonably accessible repair facility or perform the repairs within the time periods prescribed in this subsection, the requirement that the manufacturer be given a final attempt to cure the nonconformity does not apply.

After twenty or more cumulative days when the motor vehicle has been out of service by reason of repair of one or more nonconformities, the consumer may give written notification to the manufacturer which shall be by certified or registered mail or by overnight service. Commencing upon the date such notification is received, the manufacturer has ten cumulative days when the vehicle has been out of service by reason of repair of one or more nonconformities to conform the motor vehicle to the warranty.

2. If the manufacturer, or its authorized service agent, has not conformed the motor vehicle to the warranty by repairing or correcting one or more nonconformities that substantially impair the motor vehicle after a reasonable number of attempts, the manufacturer shall, within forty days of receipt of payment by the manufacturer of a reasonable offset for use by the consumer, replace the motor vehicle with a replacement motor vehicle acceptable to the consumer, or repurchase the motor vehicle from the consumer or lessor and refund to the consumer or lessor the full purchase or lease price, less a reasonable offset for use. The replacement or refund shall include payment of all collateral and reasonably incurred incidental charges. The consumer has an unconditional right to choose a refund rather than a replacement. If the consumer elects to receive a refund, and the refund exceeds the amount of the payment for a reasonable offset for use, the requirement that the consumer pay the reasonable offset for use in advance does not apply, and the manufacturer shall deduct that amount from the refund due to the consumer. If the consumer elects a replacement motor vehicle, the manufacturer shall provide the consumer a substitute motor vehicle to use until such time as the replacement vehicle is delivered to the consumer. At the time of the refund or replacement, the consumer, lien holder, or lessor shall furnish to the manufacturer clear title to and possession of the original motor vehicle.

Refunds shall be made to the consumer and lien holder of record, if any, as their interests appear. If applicable, refunds shall be made to the lessor and lessee as follows: the lessee shall receive the lessee's cost less a reasonable offset for use, and the lessor shall receive the lease price less the aggregate deposit and rental payments previously paid to the lessor for the leased vehicle. If it is determined that the lessee is entitled to a refund pursuant to this chapter, the consumer's lease agreement with the lessor is terminated upon payment of the refund and no penalty for early termination shall be assessed. The department of revenue and finance shall refund to the manufacturer any use tax which the manufacturer refunded to the consumer, lessee, or lessor under this section, if the manufacturer provides to the department of revenue and finance a written request for a refund and evidence that the use tax was paid when the vehicle was purchased and that the manufacturer refunded the use tax to the consumer, lessee, or lessor.

3. It is presumed that a reasonable number of attempts have been undertaken to conform a motor vehicle to the warranty if, during the lemon law rights period, any of the following occur:

a. The same nonconformity that substantially impairs the motor vehicle has been subject to examination or repair at least three times by the manufacturer or its authorized service agent, plus a final attempt by the manufacturer to repair the motor vehicle if undertaken as provided for in subsection 1, and such nonconformity continues to exist.

b. A nonconformity that is likely to cause death or serious bodily injury has been subject to examination or repair at least one time by the manufacturer or its authorized service agent, plus a final attempt by the manufacturer to repair the motor vehicle if undertaken as provided for in subsection 1, and such nonconformity continues to exist.

c. The motor vehicle has been out of service by reason of repair by the manufacturer, or its authorized service agent, of one or more nonconformities that substantially impair the motor vehicle for a cumulative total of thirty or more days, exclusive of down time for routine maintenance prescribed by the owner's manual. The thirty-day period may be extended by any period of time during which repair services are not available to the consumer because of war, invasion, strike, fire, flood, or natural disaster.

The terms of this subsection shall be extended for a period of up to two years after the date of the original delivery of a motor vehicle to a consumer, or the first twenty-four thousand miles of operation attributable to a consumer, whichever occurs first, if a nonconformity has been reported but has not been cured by the manufacturer, or its authorized service agent, before the expiration of the lemon law rights period.

4. A manufacturer, or its authorized service agent, shall not refuse to examine or repair any nonconformity for the purpose of avoiding liability under this chapter.

322G.5 Affirmative defenses. Any of the following is an affirmative defense to a claim under this chapter:

1. The alleged nonconformity or nonconformities do not substantially impair the motor vehicle.

2. A nonconformity is the result of an accident, abuse, neglect, or unauthorized modification or alteration of the motor vehicle by a person other than the manufacturer or its authorized service agent.

3. The claim by the consumer was not filed in good faith.

4. Any other defense allowed by law which may be raised against the claim.

322G.6 Informal dispute settlement procedures

Operations and certification.

1. At the time of the consumer's purchase or lease of the vehicle, a manufacturer who has established a program certified pursuant to this section shall, at a minimum, clearly and conspicuously disclose to the consumer in written materials accompanying the vehicle how and where to file a claim with the program.

2. A certified program shall be funded and competently staffed at a level sufficient to ensure fair and expeditious resolution of all disputes, and shall not charge consumers any fee for use of the program. The manufacturer shall take all steps necessary to ensure that a certified program and its staff and decision makers are sufficiently insulated from the manufacturer so that the performance of the staff and the decisions of the decision makers are not influenced by the manufacturer. Such steps, at a minimum, shall ensure that the manufacturer does not make decisions on whether a consumer's dispute proceeds to the decision maker. Staff and decision makers of a certified program shall be trained in the provisions of this chapter and rules adopted under this chapter.

3. A certified program shall allow an oral presentation by a party, or by a party's employee, agent, or representative.

Within five days following the consumer's notification to the certified program of the dispute, the program shall inform each party of their right to make an oral presentation.

Meetings of a certified program to hear and decide disputes shall be open to observers, including either party to the dispute, on reasonable and nondiscriminatory terms.

4. A certified program shall render a decision no later than sixty days from the day of the consumer's notification of the dispute, provided that a significant number of decisions are rendered within forty days. For the purposes of this section, notification is deemed to have occurred when a certified program has received the consumer's name and address; the current date and the date of the original delivery of the motor vehicle to a consumer; the year, make, model, and identification number of the motor vehicle; and a description of the nonconformity. If the consumer has not previously notified the manufacturer of the nonconformity, the sixty-day period is extended for an additional seven days.

5. A certified program shall, in rendering decisions, take into account the provisions of this chapter and all legal and equitable factors germane to a fair and just decision. The decision shall disclose to the consumer and the manufacturer the reasons for the decision, and the manufacturer's required actions, if applicable. If the decision is in favor of the consumer, the consumer shall have up to twenty-five days from the date of receipt of the certified program's decision to indicate acceptance of the decision. The decision shall prescribe a reasonable period of time, not to exceed thirty days from the date the consumer notifies the manufacturer of acceptance of the decision, within which the manufacturer must fulfill the terms of the decision. If the manufacturer has had a reasonable number of attempts to conform a motor vehicle to the warranty as set forth in section 322G.4, subsection 3, including a final attempt by the manufacturer to repair the motor vehicle, if undertaken as provided for in section 322G.4, subsection 1, and the consumer is entitled to a replacement vehicle or a refund under section 322G.4, subsection 2, the decision shall be limited to relief as allowed under section 322G.4, subsection 2. In an action brought by a consumer under this chapter, the decision of a certified program is admissible in evidence.

6. A certified program shall establish written procedures which explain operation of the certified program. Copies of the written procedures shall be made available to any person upon request and shall be sent to the consumer upon notification of the dispute.

7. A certified program shall retain all records for each dispute for at least four years after the final disposition of the dispute. A certified program shall have an independent audit conducted annually to determine whether the manufacturer and its performance and the program and its implementation are in compliance with this chapter. All records for each dispute shall be available for the audit. Such audit, upon completion, shall be forwarded to the attorney general.

8. Any manufacturer licensed to sell motor vehicles in this state may apply to the attorney general for certification of its program. A manufacturer seeking certification of its program in this state shall submit to the attorney general an application for certification on a form prescribed by the attorney general.

9. A program certified in this state or a program established by a manufacturer applying for certification in this state shall submit to the attorney general a copy of each settlement approved by the program or decision made by the decision maker within thirty days after the settlement is reached or the decision is rendered. The decision or settlement shall contain information prescribed by the attorney general.

10. The attorney general shall review the operations of any certified program at least once annually. The attorney general shall prepare annual and periodic reports evaluating the operation of certified programs serving consumers in this state or programs established by motor vehicle manufacturers applying for certification in this state. The reports shall indicate whether certification should be granted, renewed, denied, or revoked.

11. If a manufacturer has established a program which the attorney general has certified as substantially complying with the provisions of and the rules adopted under this chapter, and has informed the consumer how and where to file a claim with the program pursuant to subsection 1, the provisions of section 322G.4, subsection 2, do not apply to any consumer who has not first resorted to the program.

322G.7 Informal dispute settlement procedure

Certification uniformity.

To facilitate uniform application, interpretation, and enforcement of this section and section 322G.6, and in implementing rules adopted pursuant to section 322G.14, the attorney general may cooperate with agencies that perform similar functions in any other states that enact these or similar sections. The cooperation authorized by this subsection may include any of the following:

1. Establishing a central depository for copies of all applications and accompanying materials submitted by manufacturers for certification, and all reports prepared, notices issued, and determinations made by the attorney general under section 322G.6.

2. Sharing and exchanging information, documents, and records pertaining to program operations.

3. Sharing personnel to perform joint reviews, surveys, and investigations of program operations.

4. Preparing joint reports evaluating program operations.

5. Granting joint certifications and certification renewals.

6. Issuing joint denials or revocations of certification.

7. Holding a joint administrative hearing.

8. Formulating, in accordance with chapter 17A, the administrative procedure Act, rules or proposed rules on matters such as guidelines, forms, statements of policy, interpretative opinions, and any other information necessary to implement section 322G.6.

322G.8 Consumer remedies.

1. If a consumer resorts to a manufacturer's certified program and a decision is not rendered within the time periods allowed in this chapter, or a manufacturer has no certified program and the consumer has notified the manufacturer pursuant to section 322G.4, subsection 1, the consumer may file an action in district court under this chapter within one year from the expiration of the lemon law rights period or an extension of the period pursuant to section 322G.4, subsection 3.

2. If a consumer resorts to a manufacturer's certified program and is not satisfied with the performance of the manufacturer as ordered in the decision, or the manufacturer does not perform as directed by the decision within the time period specified in the decision, the consumer may file an action in district court under this chapter within six months after the date prescribed in the decision by which the manufacturer must fulfill the terms of the decision. If the consumer declines to accept the decision of the manufacturer's certified program, the consumer may appeal the decision pursuant to subsection 4. For purposes of this subsection, "not satisfied with the performance of the decision" means, following the consumer's acceptance of the decision, the consumer indicates that the manufacturer failed to comply with the terms of the decision within the time specified in the decision or failed to cure the nonconformity within the time specified in the decision if further repairs were ordered.

3. In an action under either subsection 1 or 2, the court shall award a consumer who prevails the amount of any pecuniary loss, including relief the consumer is entitled to under section 322G.4, subsection 2, reasonable attorney's fees, and costs. In addition, if the court affirms the decision of the certified program, the court may award any additional amounts allowed under subsection 7.

4. A certified program's decision is final unless appealed by either party. A petition to the district court to appeal a decision must be made within fifty days after receipt of the decision or within twenty-five days from the date the consumer indicates acceptance of the decision to the manufacturer, whichever occurs first. Within seven days after the petition has been filed, the appealing party must send, by certified, registered, or express mail, a copy of the petition to the attorney general. If the attorney general receives no notice of the petition within sixty days after the manufacturer's receipt of a decision in favor of the consumer, and the consumer has indicated acceptance of the decision within the twenty-five days of receipt of the decision, but the manufacturer has neither complied with, nor petitioned to appeal the decision, the attorney general may apply to the court to impose a fine up to one thousand dollars per day against the manufacturer until the amount stands at twice the purchase price of the motor vehicle, unless the manufacturer provides clear and convincing evidence that the delay or failure was beyond its control or was acceptable to the consumer as evidenced by a written statement signed by the consumer. If the manufacturer fails to provide such evidence or fails to pay the fine, the attorney general shall initiate proceedings against the manufacturer for failure to pay the fine. The proceeds from the fine imposed shall be placed in the attorney general's motor vehicle fraud and odometer law enforcement fund for implementation and enforcement of this chapter.

5. If the manufacturer fails to comply with a decision which has been timely accepted by the consumer or fails to file a timely petition for appeal, the court shall affirm the board's decision upon application by the consumer.

6. An appeal of a decision by a certified program to the court by a consumer or a manufacturer shall be tried de novo, and may be based upon stipulated facts. In a written petition to appeal a decision by the board, the appealing party must state the action requested and the grounds relied upon for appeal.

7. If a decision of the certified program in favor of the consumer is affirmed or upheld by the court, recovery by the consumer shall include the pecuniary value of the award, including relief the consumer is entitled to under section 322G.4, subsection 2, attorney's fees incurred in obtaining confirmation of the award, and all costs and continuing damages in an amount of twenty-five dollars per day for all days beyond the twenty-five-day period following the manufacturer's receipt of the consumer's acceptance of the certified program's decision. If a court determines that a manufacturer filed a petition for appeal to be tried de novo in bad faith or brought such an appeal solely for the purpose of harassment, the court shall double, and may triple, the amount of the total award, after consideration of all circumstances.

8. Appellate review of a court decision in favor of the consumer may be conditioned upon payment by the manufacturer of the consumer's attorney's fees and giving security for costs and expenses resulting from the review period.

9. This chapter does not prohibit a consumer from pursuing other rights or remedies under any other law.

322G.9 Compliance and disciplinary action.

The attorney general may enforce and ensure compliance with the provisions of this chapter and rules adopted pursuant to section 322G.14, may issue subpoenas requiring the attendance of witnesses and the production of evidence, and may petition any court having jurisdiction to compel compliance with the subpoenas. The attorney general may levy and collect an administrative fine in an amount not to exceed one thousand dollars for each violation against any manufacturer found to be in violation of this chapter or rules adopted pursuant to section 322G.14. A manufacturer may request a hearing pursuant to chapter 17A, the administrative procedure Act, if the manufacturer contests the fine levied against it. The proceeds from any fine levied and collected pursuant to this section shall be placed in the attorney general's motor vehicle fraud and odometer law enforcement fund for implementation and enforcement of this chapter.

322G.10 Unfair or deceptive trade practice.

A violation by a manufacturer of this chapter is an unfair or deceptive trade practice in violation of section 714.16, subsection 2, paragraph "a".

322G.11 Dealer liability.

This chapter, except for the requirements of section 322G.12, does not impose any liability on a franchised motor vehicle dealer or create a cause of action by a consumer against a dealer. A dealer shall not be made a party defendant in any action involving or relating to this chapter, except as provided in this section. The manufacturer shall not charge back or require reimbursement by the dealer for any costs, including but not limited to any refunds or vehicle replacements, incurred by the manufacturer pursuant to this chapter, in the absence of a finding by a court that the related repairs had been carried out by the dealer in a manner substantially inconsistent with the manufacturer's published instructions. A manufacturer who is found by a court to have improperly charged back a dealer because of a violation of this section is liable to the injured dealer for full reimbursement plus reasonable costs and any attorney's fees.

322G.12 Resale of returned vehicles.

Subsequent to December 31, 1991, a manufacturer who accepts the return of a motor vehicle pursuant to a settlement, determination, or decision under this chapter shall notify the state department of transportation and report the vehicle identification number of that motor vehicle within ten days after the acceptance. The state department of transportation shall note the fact that the motor vehicle was returned pursuant to this chapter on the title for the motor vehicle. A person shall not knowingly lease; or sell, either at wholesale or retail; or transfer a title to a motor vehicle returned by reason of a settlement, determination, or decision pursuant to this chapter or a similar statute of any other state unless the nature of the nonconformity is clearly and conspicuously disclosed to the prospective transferee, lessee, or buyer. The attorney general shall prescribe by rule the form, content, and procedure pertaining to such a disclosure statement, recognizing the need of manufacturers to implement a uniform disclosure form. The manufacturer shall make a reasonable effort to ensure that such disclosure is made to the first subsequent retail buyer or lessee. For purposes of this subsection, "settlement" includes an agreement entered into between the manufacturer and the consumer that occurs after the dispute has been submitted to a state-operated dispute resolution program or to a manufacturer-established program certified in this or any other state, but does not include agreements reached in informal proceedings prior to the first written or oral presentation to the state-operated or state-certified dispute resolution program by either party. "Settlement" also includes an agreement entered into between a manufacturer and a consumer that occurs after the dispute has been submitted to a dispute resolution program that is not state-operated or state-certified.

322G.13 Certain agreements void.

Any agreement entered into by a consumer that waives, limits, or disclaims the rights set forth in this chapter is void as contrary to public policy.

322G.14 Rulemaking authority.

1. The attorney general shall adopt rules as necessary to implement this chapter.

2. In prescribing rules and forms under this chapter, the attorney general may cooperate with agencies that perform similar functions in other states with a view to effectuating the policy of this chapter to achieve maximum uniformity in the form and content of certification, regulation, and procedural evaluation of manufacturer-established programs, required record keeping, required reporting wherever practicable, and required notices to consumers.

3 22G.15 Applicability.

This chapter applies to motor vehicles originally purchased or leased in this state by consumers on or after July 1, 1991. Except for section 322G.3, subsections 1 and 2, and section 322G.6, subsection 1, this chapter applies to motor vehicles originally purchased or leased in other states, if the consumer is a resident of this state at the time the consumer's rights are asserted under this chapter. Section 322G.14, which concerns rulemaking, shall take effect May 9, 1991.

Basically, the Lemon Laws specify that if you purchase (and in several states, lease) a new or pre-owned car or other vehicle under warranty that is extremely unreliable, and the manufacturing business cannot rebuild it despite recurrent efforts (in a specified time limit that fluctuates from state to state), or if the item is in the shop for a designated period of time (often 30 days) due to its troubles, you are eligible to a broad number of breaks, inclusive of:

1. Monetary damages
2. A compensation of the original money paid
3. A new vehicle
Furthermore, almost all the Lemon Laws (as well as the Federal Warranty Law) feature a fee shifting mechanism that states that if you win your case, the original maker or car dealership which sold you the lemon is forced to pay for attorneys' expenses.


Lemon Law Regulations
State Lemon Law Statutes
Each of the 50 states has its own Lemon Law statute. Even though the protections of each state's statute are different, the conventional state Lemon Law statute provides cure to a consumer with a malfunctioning motor vehicle sold with a warranty if:

1. The dealership or original maker just can not correctly repair a specific fault in the vehicle after a reasonable number of repair efforts (typically at least three);
2. The motor vehicle can't be used for at least 30 days due to troubles in the vehicle; or
3. The car dealership or original maker cannot correct a flaw that is a severe safety risk.

More often than not, a bad vehicle is a vehicle with a defect or affliction that considerably cripples its drivability, economic value, or safety to the consumer and doesn't conform to the written warranty. Typically, the time period in which the Lemon Laws are applicable are relatively short; the shortcomings and consequential repair efforts (or out-of-service time) usually will take place during the first 2-years or 24,000 miles the owner has the automobile. However, a number of states have even shorter time periods. Additionally, many states have notification and trigger requirements, such as wanting the consumer to send out registered post notice to the original maker of the problems and giving the dealership a chance to repair the motor vehicle. Moreover, most states demand that Lemon Law suits be solved through an arbitration procedure.

Generally, state Lemon Law regulations also are applicable to leased automobiles and used cars purchased while under the producers written warranty. A number of state Lemon Laws also are applicable to vehicles other than passenger cars. based upon the consumer's home state, or the state in which the consumer purchased the car, Lemon Laws may apply to:

-RV's
-Motorcycles
-Boats
-Other consumer products (such as electronics)
There are many effective solutions possible under the Lemon Laws. U.S. statesently, if the manufacturer cannot repair the automobile, the consumer can either expect the manufacturer to replace the vehicle, or insist the manufacturer to take the vehicle and payback the original cost including accompanying costs, like all fees, towing charges, repair costs, alternative travel charges and other charges incurred by the consumer as a consequence of the flaws in the vehicle. Another important resolution available under most Lemon Laws is laywers' expenses. In most states, if you win in a Lemon Law lawsuit, you won't have to pay any attorneys' fees-the car original maker that sold you your lemon is forced to pay your laywers' fees.

The defendant car manufacturer can implement several defenses to a Lemon Law claim. The general statute extends that the maker is not liable if it can verify that the shortcomings in question were caused by exploitation, negligence, or the tampering or alteration of a auto by persons other than the maker, its agent, or an authorized repair facility. Restated, if the consumer dismantles his or her own vehicle, or the troubles were caused by modifications or changes carried out by an unauthorized dealer, the maker may not be liable.


Federal Lemon Law Statutes
The Magnuson Moss Act
The Magnuson-Moss Warranty Act is the federal law that moderates consumer product warranties. Passed by Congress in 1975, the Magnuson Moss Act requires manufacturers and sellers of consumer commodities to provide consumers with comprehensive info about warranty coverage claims. Additionally, it determines both the rights of public consumers and the responsibilities of warrantors under original warranties.

Even though the Magnuson Moss Act does not require an auto original equipment manufacturer to provide buyers with a warranty, if a warranty is supplied, the Magnuson Moss Act affords several protections for the consumer. The Magnuson Moss Act makes it more easy for consumers to sue for not honoring the warranty by making breach of warranty noncompliance of federal law, and by permitting consumers to recuperate court costs and sensible attorneys' fees.

The Magnuson Moss Act is oftentimes effective in a lemon case in which, for some reason, a state Lemon Law claim is not available or moreover unfit. For example, unlike the relatively short period of time offered to consumers inside virtually all Lemon Laws, you may bring a claim for breach of warranty after the warranty period has expired as long as the problems occured during the warranty time period. Furthermore, although a few Lemon Laws limit their coverage to a narrow list of cars, the Magnuson Moss Act is relevant to virtually all consumer items. The Magnuson Moss Act may also be applicable if you bought or leased a used motor vehicle without a manufacturing business warranty, or if the motor vehicle is covered by a third party agreement or other form of extended warranty.


The Uniform Commercial Code
The Uniform Commercial Code (referred to as "UCC") has been passed in all states. It is the principal basis of law regulating product contracts, including automobiles and other items. The UCC provides another legal course for customers with lemon troubles.

UCC code provides that the purchaser of a good is entitled to return product which break in any respect to the contract. Basically, if your recently purchased motor vehicle does not work as guaranteed by the manufacturer (your original warranty is part of your consumer warranty), you may file a claim citing the UCC in addition to any additional claims you may have.

The time for taking back a vehicle with the UCC is not limitless. If you expose a flaw in your vehicle within a reasonable posession period, you may take back the motor vehicle. Unfortunately, new cars are often technically complicated and you may not know if your automobile conforms to the consumer agreement until long after you buy the automobile and defects start to arise. Therefore, if Long after this posession period you do not reject the automobile, you will be stated to have o.K.ed it and may have no claim through the UCC.

The length of the inspection period is not defined in the statute. State courts decide how long the sensible review period is based on the buyer's familiarity and experience, the buyer's difficulty in revealing the flaw, and the buyer's chance to see the fault.

In spite of this limit, the UCC stipulates that in certain examples where a consumer is stated to have approved of products (i.e. the sensible review time has expired), a consumer can still abrogate his approval of those products where the non-conformity considerably cripples the marketability of the products to him. Those cases include circumstances in which it is difficult to come upon the nonconformity or the consumer was guaranteed that the non-conformity would be fixed. Re-stated, the local court will relieve the consumer from not refusing the products where the consumer could not have fairly done so, or where the manufacturer promised the buyer that the problems would be repaired.
When a auto excessively fails and you have to keep taking it back to the car dealership for repair under the written warranty, the auto lemon law may be your next course of action. The failing ought to be significant in which it interferes with your driving the vehicle or your safety. A vehicle stalling frequently is a significant failing. This is precisely the type of problem that may stymie your driving and your safety. Under the auto lemon law you are not expected to show why the auto is stalling, you only have to demonstrate that it is stalling. Put simply you need to go over the lemon law in these three instances: the auto keeps breaking down within the warranty period, the auto is a safety risk, the dealer is not able to recondition the auto when it is guaranteed.

If you own a product which is a lemon you can immediately write to the original equipment manufacturer and ask for another equivalent product. If this requirement is not satisfactory to the original equipment manufacturer, you may move into an arbitration process. A few makers use their own arbitration program. Other makers have outside arbitration program like Autoline by the BBB. The judgment of the arbitrators is binding on the original equipment manufacturer but not on the owner. If unsatisfied with the proposal, the owner can take the original equipment manufacturer to court.

Virtually all regulations stipulate that the purchaser needs to be returned back to the financial status they were in prior to purchasing the car, less the amount of money that the purchaser profited from by using the car. To get the refund total a number of components are considered such as was it a sale or a lease, the purchase price, taxes and license, and mileage etc.
Some almost new used motor vehicles will qualify under regular lemon laws. For example, a pre-owned auto may fall under normal lemon laws if it is less than 1 year old and has fewer than 12,000 miles on the odometer. States that do have a used car lemon law will be more cooperative with the age and measure of mileage. Still, the car has to be sold by a car dealership that offers a written warranty. Private sales aren't involved, neither are vehicles sold under a declared original cost. There may be other restrictions to a used car lemon law such as the proposes for which the car is used or the categorisation of car. Older cars, are normally excluded from pre-owned car lemon laws. Used car lemon laws usually cover a much shorter time period than new car laws. They usually range from 30 to 90 days, depending on your used vehicle's mileage.
When selecting an attorney for your lemon case, make sure that your lawyer is knowledgeable about the regulations that are applicable to your state. Also enquire about the fee program. Many lemon law attorneys demand a rather humble retainer to address a lemon law claim, and afterward, the lawyer's bills are sent to the original maker. Fundamentally, lemon law claims are typically very affordable to purchasers. The reimbursement of lawyer fees varies from state to state. About one-half of the states provide for you to recoup your Attorney charges if you win. The attorney's fee is based upon actual time used instead of being linked to any other percentage of the recovery. In many States, you will pay the manufacturing business* lawyer's charges if you lose.

Consumers should register their complaints in writing and retain a copy. In all written communication, always delineate how burdensome it is to bring the automobile to the car dealership for corrections and that the dependability that the owner believed She was getting has been non-existent. Any written communication with a dealer or original maker should be sent using certified post. In many cases the makers claim that they haven't had the required number of endeavors to repair the condition. They bet on the knowledge that the owner doesn't keep repair sheets for each occurance they have brought the automobile into the repair facility. They also assume on the possibility that the repair sheets have seperate things fixed each time proving that they haven't repaired the same defect. Consumers should reply by asking that dealerships always present them a warranty repair order. Consumers should also argue that these unrecorded trips are attempts.

Make sure to be aware of your rights under the lemon laws. Upon purchase, immediately read your owner's book and warranty references thoroughly, along with the info concerning lemon law rights that you should get when you buy your vehicle. Don't rely on your car dealership to make clear what troubles are covered by warranty. If your car dealership states that a defect isn't covered and you believe that he or she is purposely misleading you, be genteel but assertive. Don't be frighted to point out the segment of the warranty that applies, or to call the manufacturer for verification applying the contact data included with your owner's book. You shouldn't be obliged pay for corrections pertained to lemon law complaints. It's also important to give notice the manufacturer of a complaint promptly. If you are suspicious that your motor vehicle has a defect that just can't be remedied, check into your lemon law rights to see when you are able to file a lemon law complaint.

Lemon Law Tips:

1. Take your car in early - as soon as something appears wrong.
2. Hold onto repair orders - Always obtain a work order when you take the vehicle for repairs, and always obtain a completed repair order when work is completed. Be sure the work order reflects your own thoughts and comments regarding your complaints. If the technician summarizes or changes your complaint too much, have that technician add your corrected comments. Sign and receive a copy of the repair Order before leaving.
3. Be consistent in your complaints. Lemon Laws generally require that a manufacturer's authorized repair facility be provided with a reasonable number of opportunities to repair the same problem(s). Therefore, be as consistent as possible on each repeated repair attempt in describing the problem(s) you are having. This will establish that the problem is the same recurring problem, and will make any potential lemon law claim easier to establish and prove.

4. Look for TSBs: Technical Service Bulletins are issued by manufacturers regarding common defects or repairs in certain automobile models. Your dealer will not seek to tell you about TSBs unless you ask. Ask the dealer to make note of your TSB request on the repair order, even if your dealer tells you that none exist for your problem.
5. Watch for bad advice - Dealers and manufacturers personnel, without intending to, frequently practice law by giving you their version of lemon laws. Typically it is wrong and may be detrimental to your case. It doesn't matter whether the reason for this misinformation is unintentional or not. The effect is similar. So check any advice given by the dealer or manufacturer before making any decision that may harm your case.

6. Beware of arbitration - Manufacturers frequently recommend arbitration or even imply that it is a mandatory prerequisite to resolving your problem. Arbitration is neither desirable nor mandatory! And it is absolutely not a prerequisite for making a lemon law demand!
Leading Misconceptions regarding the Lemon Laws

If my case does not qualify for the lemon law there is nothing I can do.
Attorneys regularly take cases that do not meet the lemon law criteria. All purchasers of defective products have a legal right to compensation. They frequently take cases which do meet the mileage or repair criteria of the lemon law, bring them in court, and secure compensation or other relief for the buyer.

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