Kentucky Lemon Law Firms and the Kentucky lemon law code.

Kentucky Revised Statutes, § 367.840 to 367.846

367.840 Purposes.

KRS 367.841 to 367.844 shall be liberally construed and applied to promote the underlying purposes of KRS 367.841 to 367.844, which purposes are:

(1) To protect consumers who buy or lease new motor vehicles that do not conform to applicable warranties by holding manufacturers accountable for certain nonconformities;

(2) To limit the number of attempts and the amount of times that a manufacturer or its agents shall have to cure such nonconformities; and

(3) To require manufacturers to provide, in as expeditious a manner as possible, a refund, not to exceed the amount in KRS 367.842, or replacement vehicle that is acceptable to the aggrieved consumer when the manufacturer or its agents fail to cure any nonconformity within the specified limits.

367.841 Definitions.

(1) "Buyer" means any resident person who buys, contracts to buy, or leases a new motor vehicle in the Commonwealth of Kentucky. In the case of the lease of a new motor vehicle, "buyer" shall mean the lessor, lessee, or both.

(2) "Manufacturer" means any person or corporation, resident or nonresident, who manufactures or assembles new motor vehicles, including new conversion van manufacturers, which are sold in the Commonwealth of Kentucky.

(3) "Motor vehicle" means every vehicle which is self-propelled, and which is intended primarily for use and operation on the public highways and required to be registered or licensed in the Commonwealth prior to such use or operation; however, "motor vehicle" shall not include:

(a) Any vehicle substantially altered after its initial sale from a dealer to an individual;

(b) Motor homes;

(c) Motorcycles;

(d) Mopeds;

(e) Farm tractors and other machines used in the production, harvesting, and care of farm products; or

(f) Vehicles which have more than two (2) axles.

(4) "New motor vehicle" means a motor vehicle which has been finally and completely assembled and is in the possession of a manufacturer, factory branch, distributor, wholesaler, or an authorized motor vehicle dealer operating under a valid sales and service agreement, franchise, or contract for the sale of such vehicle granted by the manufacturer, factory branch, distributor, or wholesaler which is, in fact, new and on which the original title has never been issued.

(5) "Express warranty" or "warranty" means the written warranty, so labeled, of the manufacturer of a new automobile, including any terms or conditions precedent to the enforcement of obligations under the warranty.

(6) "Nonconformity" means a failure to conform with an express warranty in a manner which substantially impairs the use, value, or safety of the motor vehicle.

(7) "Reasonable allowance for use" means the amount directly attributable to a consumer's use of the vehicle other than those time periods when the vehicle is out of service due to the nonconformity.

367.842 Options of buyer.

If manufacturer unable to repair nonconformity in new motor vehicle; Rights of lien holder; Resolution of disputes; Dealer not liable.

(1) If, after a reasonable number of attempts, the manufacturer or its agents are unable to repair the nonconformity in the motor vehicle to the express warranty during the first twelve thousand (12,000) miles of operation or during the first twelve (12) months following the date of delivery to the buyer, whichever is the earlier date, that buyer shall report the nonconformity, in writing, to the manufacturer.

(2) If, within the period specified in subsection (1) of this section, the manufacturer or its agents, are unable to repair or correct any nonconformity or defect that substantially impairs the use, value, or safety of the motor vehicle, after a reasonable number of attempts, the manufacturer, at the option of the buyer, shall replace the motor vehicle with a comparable motor vehicle, or accept return of the vehicle from the buyer and refund to the buyer the full purchase price. The full purchase price shall include the amount paid for the motor vehicle, finance charge, all sales tax, license fee, registration fee, and any similar governmental charges plus all collateral charges, less a reasonable allowance for the buyer's use of the vehicle. Refunds shall be made to the buyer and lien holder, if any, as their interests may appear on the records of ownership kept by the Department of Vehicle Regulation. The provisions of this section shall not affect the interests of a lien holder, unless the lien holder consents to the replacement of the lien with a corresponding lien on the automobile accepted by the consumer in exchange for the automobile having a nonconformity, the lien holder shall be paid in full the amount due on the lien, including finance charges and other charges, before an exchange of automobiles or a refund to the consumer is made. It shall be an affirmative defense to any claim under this section that:

(a) The nonconformity, defect, or condition does not substantially impair the use, value, or safety of the motor vehicle; or

(b) The nonconformity, defect, or condition is the result of abuse, neglect, or unauthorized modification or alteration of the motor vehicle by the buyer.

(3) It shall be presumed that a reasonable number of attempts have been undertaken to conform a motor vehicle to the applicable express warranty if, within the first twelve thousand (12,000) miles of operation or during the period of, twelve (12) months following the date of original delivery of the motor vehicle to the buyer, whichever is the earlier date:

(a) The same nonconformity, defect, or condition has been subject to repair four (4) or more times by the manufacturer, but such nonconformity, defect, or condition continues to exist; or

(b) The vehicle is out of service/use by reason of repair of the same nonconformity, defect, or condition for a cumulative total of at least thirty (30) calendar days.

(4) Disputes arising under subsection (2) of this section concerning refund or replacement shall be resolved through the dispute resolution system established under either KRS 367.860 to 367.870, or 16 C.F.R. part 703. Such remedy shall be pursued prior to seeking any judicial relief under KRS 367.843.

(5) Nothing in this chapter may be construed as imposing any liability on a dealer or creating a cause of action by a consumer against a dealer.

(6) Nothing in this section shall in any way limit the rights or remedies which are otherwise available to a buyer under any other law.

(7) Any agreement entered into by a buyer for the purchase of a new motor vehicle which waives, limits, or disclaims the rights set forth in this section shall be void as contrary to public policy.

(8) Any action brought pursuant to this section shall be commenced within two (2) years after the date of original delivery of the new motor vehicle to the buyer.

(9) A court may award reasonable attorney's fees to a prevailing plaintiff.

367.843 Action for relief by purchaser.

Any person who purchases a motor vehicle and thereby suffers any ascertainable loss of money or property, real or personal, as a result of a violation of KRS 367.842, may bring an action under the provisions of KRS 367.220 for relief.

367.844 Manufacturer prohibited from exposing franchised dealer to liability.

No manufacturer shall, directly or indirectly, by any means or methods, expose or attempt to expose any franchised dealer to liability as forbidden in KRS 367.842(4) and (5). Any violation of this section shall be subject to all applicable provisions of the law, including but not limited to the provisions of KRS 190.062(2).

367.845 Enforcement of provisions of KRS 367.842 to 367.844 by Attorney General.

Noncompliance with the provisions of KRS 367.842 to 367.844 by a manufacturer shall be unlawful. The Attorney General shall have authority to enforce KRS 367.842 to 367.844 in accordance with powers provided by KRS 367.190 and 367.230, pertaining to acts declared unlawful by KRS 367.170. Any expenses accruing to the Attorney General from the provisions of KRS 367.842 to 367.844 shall be assessed by his office upon the motor vehicle manufacturer involved in any action cited in the provisions herein.

367.846 Application of KRS 367.840 to 367.845.

KRS 367.840 to 367.845 shall apply to new motor vehicles purchased after July 15, 1986, and to motor vehicles leased after July 15, 1998.

Fundamentally, the Lemon Laws provide that if you purchase (and in many states, lease) a brand new or pre-owned vehicle or other vehicle with a warranty that proves to be defective, and the manufacturer just can't fix it despite persistent tries (inside a set time limit that varies from state to state), or if the item is out of service for a fixed time period (typically 30 days) due to its troubles, you are qualified to a wide number of damages, inclusive of:

1. Monetary restitution
2. A restitution of the purchase cost
3. A new vehicle
Also, virtually all the Lemon Laws (as well as the Federal Warranty Law) contain a fee transferring component which stipulates that if you win your case, the manufacturer or dealer that sold you your lemon is obliged to pay for litigation expenses.


Lemon Law Regulations
State Lemon Law Statutes
Each of the 50 states has its own Lemon Law statute. Although the wording of each state's statute are distinct, the general state Lemon Law statute offers help for consumers with a broken-down vehicle purchased with a warranty if:

1. The dealer or manufacturer cannot properly remedy a particular defect in the product after a sensible number of repair efforts (normally at least three);
2. The vehicle cannot be used for at least 30 days due to shortcomings in the car; or
3. The dealer or manufacturer just can't remedy a deficiency that is a serious safety hazard.

Typically, a defective motor vehicle is a motor vehicle with a problem or condition that largely cripples its usability, marketability, or safety to the consumer and doesn't comply with the warranty. Often times, the period in which the Lemon Laws apply are rather short; the shortcomings and ensuing repair efforts (or out-of-service period) often will take place during the first 2-years or 24,000 miles the owner has the motor vehicle. However, a number of states have even shorter time periods. In addition, almost all states have notice and trigger requirements, such as asking the consumer to send registered mail notice to the original equipment manufacturer of the faults and giving the dealer an opportunity to remedy the car. Additionally, numerous states necessitate that Lemon Law suits be solved through an arbitration program.

Generally, state Lemon Law statues also are applicable to leased cars and used automobiles purchased while under the manufacturing business* written warranty. A lot of state Lemon Laws also are applicable to cars other than passenger vehicles. depending upon the customer's home residence, or the state where the consumer bought the vehicle, Lemon Laws may apply to:

-RV's
-Motorcycles
-Pleasure Craft
-Other consumer goods (such as televisions)
There are a number of significant remedies available under the Lemon Laws. American Statesently, if the original equipment manufacturer just can't repair the motor vehicle, the consumer can either demand the original equipment manufacturer to replace the motor vehicle, or force the original equipment manufacturer to take the vehicle and repay the original cost plus accompanying damages, such as all invoices, towing costs, repair costs, alternative travel charges and other damages incurred by the consumer as a consequence of the faults in the vehicle. Another important solution available under most Lemon Laws is legal expenses. In many states, if you prevail in a Lemon Law case, you do not have to pay any legal charges-the auto manufacturing business that sold you your lemon is expected to pay your court charges.

The defendant motor vehicle manufacturer can assert many defenses to a Lemon Law claim. The conventional statute extends that the manufacturer is not liable if it can demonstrate that the troubles in question happened due to abuse, neglect, or the alteration or modification of a vehicle by anybody other than the maker, an agent, or an authorized dealer. Restated, if the consumer abuses his or her own motor vehicle, or the defects were the fault of changing or alterations conducted by an unauthorized person, the maker may not be responsible.


Federal Lemon Law Statutes
The Magnuson Moss Act
The Magnuson-Moss Warranty Act is the federal law that controls consumer product warranties. Ratified by Congress in 1975, the Magnuson Moss Act requires manufacturing business and dealers of consumer goods to give customers detailed information about warranty coverage claims. Also, it affects both the rights of consumers and the responsibilities of warrantors under manufacturer warranties.

Although the Magnuson Moss Act doesn't call for an auto original maker to supply consumers with a warranty, if a warranty is offered, the Magnuson Moss Act offers a number of protections for the consumer. The Magnuson Moss Act makes it easier for buyers to sue for breach of warranty by making breach of warranty noncompliance of federal law, and by allowing for customers to recoup court charges and sensible attorneys' expenses.

The Magnuson Moss Act is often helpful in a lemon situation in which, for some reason, a state Lemon Law claim is not applicable or furthermore unsuited. For example, contrary to the generally short cycle provided to public consumers within many Lemon Laws, you may record a claim for breach of warranty after the warranty period has expired if the troubles came about during the warranty time period. Moreover, although many Lemon Laws limit their coverage benefits to a very specific group of cars, the Magnuson Moss Act is relevant to just about all consumer goods. The Magnuson Moss Act might also apply if you bought or leased a expended motor vehicle without a manufacturing business warranty, or if the motor vehicle is covered by a third party service contract or other form of extended warranty.


The Uniform Commercial Code
The Uniform Commercial Code (referred to as "UCC") has been enacted in all states. It is the prime basis of law governing consumer warranties, including vehicles and other items. The UCC provides an alternative legal route for customers with lemon problems.

UCC code provides that the purchaser of a good is entitled to return products that do not perform in any sense to the warranty. Fundamentally, if your brand new automobile does not work as guaranteed by the manufacturing business (your written warranty is part of your agreement), you may have a claim referencing the UCC in addition to whatever additional claims you might have.

The time period for rejecting a motor vehicle with the UCC is not limitless. If you find a deficiency in your motor vehicle within a fair review period, you can take back the automobile. Unfortunately, new motor vehicles can be oftentimes mechanically enigmatic and you may not acknowledge if your motor vehicle conforms to the contract till long after you acquire the motor vehicle and defects start to arise. Fundamentally, if Long after this review time period you don't refuse the motor vehicle, you will be pronounced to have approved of it and will have no claim through the UCC.

The length of the inspection period is not specified in the regulation. Courts decide how long the sensible inspection period is based on the consumer's expertise and past experience, the consumer's difficulty in exposing the failing, and the consumer's chance to discover the failing.

In spite of this limitation, the UCC states that in certain examples where a buyer is stated to have approved of products (i.e. the sensible inspection time period has passed), a buyer can still repeal his acceptance of those product where the non-conformity often impairs the economic value of the product to him. Those examples include examples where it is laborious to identify the nonconformity or the buyer was ensured that the non-conformity would be fixed. Put differently, the local court will exempt the buyer from not refusing the product where the buyer could not have fairly done so, or where the manufacturer promised the buyer that the problems would be repaired.
Once a auto excessively breaks and you have to keep bringing it back to the dealership for repair under the written warranty, the auto lemon law can be your next course of action. The flaw should be substantial where it hinders your driving the car or your safety. A car stalling often would be a substantial flaw. This is exactly the type of defect that could impair your driving and your safety. Under the auto lemon law you are not expected to show why the car is stalling, you simply have to establish that it is stalling. Essentially you need to check up on the lemon law in these 3 situations: the vehicle keeps breaking down within the warranty time period, the vehicle is a safety risk, the car dealership is incapable to rebuild the vehicle when it is warranted.

If you own a vehicle which is a lemon you can immediately write to the manufacturing business and ask for another equivalent vehicle. If this request is not satisfactory to the manufacturing business, you can enter into an arbitration arrangement. A few manufacturers have their own arbitration process. Other manufacturers utilize external arbitration program including Autoline by the BBB. The recommendation of the arbitrators is binding on the manufacturing business but not on the consumer. If unsatisfied with the recommendation, the consumer can take the manufacturing business to court.

Virtually all laws state that the buyer ought to be returned back to the fiscal situation they were in prior to purchasing the vehicle, less the amount that the buyer benefited from by using the vehicle. To get the payback sum a number of factors are considered such as was it a sale or a lease, the purchase price, taxes and license, and mileage etc.
Some virtually new pre-owned motor vehicles might qualify under regular lemon laws. For example, a pre-owned vehicle may fall under regular lemon laws if it is less than 1 year old and has got fewer than 12,000 miles on the odometer. States which do have a pre-owned vehicle lemon law might be additionally generous with the age and measure of mileage. Still, the vehicle must be sold by a car dealership that provides a warranty. Individual sales are not included, nor are motor vehicles sold under a declared original price paid. There might be additional restrictions to a used car lemon law such as the functions in which the vehicle is utilized or the categorisation of vehicle. Classic motor vehicles, are commonly excluded from used vehicle lemon laws. Used car lemon laws commonly cover a much shorter period than brand new car regulations. They often range from 30 to 90 days, based on your used automobile's mileage.
When selecting a lawyer for your lemon case, make sure that your lawyer is knowledgeable about the regulations that cover to your state. Also enquire about the pricing system. Many lemon law attorneys get a rather modest retainer to cover a lemon law claim, and afterward, the attorney's fees are billed to the original maker. Fundamentally, lemon law claims are usually very low-cost to purchasers. The reimbursement of lawyer fees varies from state to state. About one-half of the states allow for you to recoup your Attorney fees if you win. The attorney's fee is based on actual time used instead of being linked to any other percent of the recuperation. In many States, you have to pay the manufacturer's lawyer's invoices if you lose.

Consumers should register their complaints in writing and keep a copy. In every written correspondence, always outline how taxing it is to take the car to the dealer for repairs and that the reliability that the purchaser thought He was buying has been non-existent. Any written correspondence with a dealership or original maker must be sent using certified post. In many cases the manufacturers claim that they haven't had the required number of efforts to remedy the problem. They count on the reality that the purchaser doesn't retain repair receipts for each time they have taken the vehicle into the repair facility. They also depend on the possibility that the repair receipts have seperate items repaired each occurance proving that they have not repaired the same problem. Consumers ought to respond by asking that dealerships always give them a warranty repair sheet. Consumers should also debate that these unwritten trips are tries.

Make sure to be cognisant of your rights under the lemon laws. Upon purchase, immediately review your owner's booklet and warranty info entirely, and the facts on lemon law rights that you ought to receive when you choose your automobile. Don't rely on your dealer to show you what defects are covered by warranty. If your dealer states that a problem is not covered and you think that she is being deceptive, be civil but confident. Don't be scared to point out the part of the warranty that is relevant, or to call the manufacturer for confirmation utilizing the contact data included in your owner's booklet. You shouldn't be obligated pay for repairs related to lemon law complaints. It's also crucial to notify the manufacturer of a complaint right away. If you are suspicious that your automobile has a condition what just can't be repaired, 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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