Oregon Lemon Law: Your Guide to Eligibility and Reporting Requirements
Buying a new car is an exciting experience, but what happens when your vehicle has major faults that the manufacturer is unable to fix? Enter the Oregon Lemon Law, a legal protection that ensures you are entitled to a replacement or refund if your vehicle has defects that substantially impair its use, safety, or market value.
In this article, well take a closer look at the criteria for eligibility, duration of coverage, nonconformity, and reporting requirements.
Oregon Lemon Law Eligibility Criteria
The Oregon Lemon Law applies to new motor vehicles sold or leased in Oregon, including cars, trucks, and motorcycles, with a purchase price or lease value of $30,000 or less. To be eligible, the vehicle must have a major fault that the manufacturer is unable to fix after a reasonable number of repair attempts.
A major fault is defined as a defect that substantially impairs the use, safety, or market value of the vehicle. If youre experiencing recurring major faults, the Oregon Lemon Law gives you the option to ask the manufacturer to repurchase or replace your vehicle.
The manufacturer must comply within a reasonable time, and you will receive a refund or a comparable replacement vehicle.
Duration of Coverage
The Oregon Lemon Law applies for two years or 24,000 miles from the date of delivery, whichever comes first. During this period, the manufacturer is responsible for making repairs at no charge to you.
If your vehicle is out of service for a cumulative total of 30 or more days, or has been repaired for the same major fault four or more times, you may be entitled to reimbursement or a replacement vehicle. If you are unable to resolve your dispute with the manufacturer, you may seek arbitration through the Oregon Department of Justice.
The arbitration decision is final and binding, and the manufacturer must comply with the decision within 30 days.
Nonconformity and Reporting Requirements
A nonconformity is a major fault that severely impairs the use, safety, or market value of your vehicle. To be eligible for coverage under the Oregon Lemon Law, the nonconformity must occur within two years or 24,000 miles from the date of delivery.
You must notify the manufacturer in writing of the nonconformity and give them an opportunity to fix the problem. If the manufacturer is unable to fix the problem, you may be entitled to a refund or replacement vehicle.
You must report the nonconformity to the manufacturer within the warranty period. The manufacturer is given a reasonable opportunity to repair the vehicle, and you should keep records of all repair attempts and communicate with the manufacturer in writing.
If the manufacturer is unable to fix the problem within a reasonable time, you may be entitled to a refund or replacement vehicle. The manufacturer is also required to report nonconformities to the Oregon Department of Justice within 15 days of the end of each quarter.
Conclusion
The Oregon Lemon Law provides valuable protection to consumers who purchase or lease new vehicles with major faults that the manufacturer is unable to fix. To be eligible for coverage under the law, the nonconformity must occur within two years or 24,000 miles from the date of delivery, and you must give the manufacturer a reasonable opportunity to repair the problem.
If the problem persists, you may be entitled to a replacement or refund. If youre having trouble resolving your dispute with the manufacturer, seek arbitration through the Oregon Department of Justice.
By understanding your rights under the Oregon Lemon Law, you can protect yourself and your investment in a new vehicle.
3) Used Vehicles Eligibility for Lemon Law Protection
Not everyone can afford to buy a brand new car, and sometimes, used vehicles can also come with major faults that can severely impact their safety, usage, or market value. Fortunately, the Oregon Lemon Law also covers used vehicles under specific criteria.
If you have purchased a used vehicle that meets the eligibility criteria, you may still be entitled to a replacement or refund. To be eligible for lemon law protection, a used vehicle must have been purchased or leased in Oregon within two years or 24,000 miles of the vehicle’s original delivery date, whichever comes first.
Additionally, the purchase price or lease value must not exceed $30,000, and the vehicle must have been primarily used for personal or household purposes. The Oregon Lemon Law also covers changes in ownership for used vehicles.
If a vehicle covered by the lemon law is subsequently sold or leased to another person, the new owner is entitled to the remaining lemon law rights and remedies for the duration of the same period. However, there are some limitations to the lemon law protection for used vehicles.
One major difference is that a used vehicle must have a substantial nonconformity, which is a defect that significantly impairs the vehicle’s use, safety, or market value. The nonconformity must be sufficiently serious that it would have been likely to discourage the average reasonable consumer from purchasing or leasing the vehicle, even if the defect had been disclosed.
If a used vehicle does not have a substantial nonconformity, it is not eligible for lemon law protection.
4) Repair Attempts Allowed and Time Limits for Repairs
If your vehicle has a major fault or substantial nonconformity, the first course of action should be to contact the manufacturer or dealership and notify them of the issue. Under the Oregon Lemon Law, manufacturers are given a reasonable opportunity to repair the vehicle before a replacement or refund is offered.
However, there are limitations to the number of repair attempts and time limits for repairs. For major faults, the Oregon Lemon Law allows the manufacturer three attempts to repair the problem.
However, if the fault presents an immediate risk of death or serious injury, the manufacturer only gets one attempt. For substantial nonconformities in a used vehicle, the manufacturer is allowed one repair attempt.
The manufacturer must also be given a reasonable time to repair the vehicle. The law defines a reasonable time as 30 calendar days.
If the manufacturer cannot repair the vehicle within 30 days, the consumer may be entitled to a replacement or refund. However, there is an exception for motorhomes, which must be given a reasonable time of 60 calendar days for repairs.
If a manufacturer or dealership is unable to repair the vehicle within the allotted number of attempts or reasonable time, the consumer may be entitled to a replacement or refund. Alternatively, the consumer may choose to keep the vehicle and accept compensation for the decrease in the vehicle’s value due to the defect.
Conclusion
The Oregon Lemon Law provides valuable protection to both new and used vehicle owners who have purchased vehicles with major faults or substantial nonconformities. If your new or used vehicle meets the eligibility criteria and cannot be repaired within a reasonable number of attempts or time limits, you may be entitled to a replacement or refund.
By understanding your rights under the Oregon Lemon Law, you can protect yourself and your investment in a vehicle.
5) Arbitration Process
If youve met the eligibility criteria and have given the manufacturer a reasonable number of attempts to repair your vehicle within a reasonable time frame, but youre still not satisfied with the outcome, you can seek arbitration within two years or 24,000 miles from the vehicle’s original delivery date, whichever comes first. The arbitration process is an alternative to going to court and can save you time and money.
The Oregon Department of Justice administers the arbitration program, which is entirely voluntary and free to both the consumer and manufacturer. Before the arbitration hearing, both the consumer and the manufacturer must provide written statements to the arbitrator outlining their positions regarding the dispute.
The arbitrator will then conduct a hearing, hear evidence from both sides, and review all relevant documents and information. When the hearing is complete, the arbitrator will make a written decision within 30 days, determining whether the consumer is entitled to a replacement or refund.
The decision is final and binding, and the manufacturer must comply with the arbitrator’s decision. If the arbitrator decides in your favor, you may be eligible for either a replacement vehicle or a refund.
If you choose a replacement vehicle, the manufacturer must provide you with a comparable vehicle free of any costs, including taxes and other charges. If you choose a refund, you will be entitled to a full refund of your purchase price, minus a reasonable usage fee.
The manufacturer can also deduct any additional charges, such as damage or modifications to the vehicle.
6) Repurchase Process
In some cases, a replacement vehicle may not be available, or the consumer may prefer a refund over a replacement. If this is the case, the consumer has the option to ask for a repurchase of the vehicle.
The repurchase process should be initiated by sending a written demand to the manufacturer, accompanied by the title of the vehicle and other relevant documents. The manufacturer must comply with the demand within 30 days, and a full refund will be issued to the consumer, minus a reasonable usage fee.
The usage fee is calculated based on the number of miles driven and the age of the vehicle at the time of the demand. The manufacturer can also add any additional charges to the refund amount, such as modifications or damage to the vehicle.
However, the manufacturer cannot deduct any charges that the consumer may have incurred, such as finance charges, taxes, or registration fees. If the manufacturer refuses to repurchase the vehicle, the consumer can take legal action, and a court may order the manufacturer to repurchase the vehicle and pay attorney fees and court costs.
However, its always recommended to exhaust all other options, such as arbitration, before taking legal action.
Conclusion
The Oregon Lemon Law provides valuable legal protection for consumers who purchase or lease new or used vehicles with major faults that substantially impair the use, safety, or market value of the vehicle. If the manufacturer is unable to repair the vehicle after a reasonable number of attempts and within a reasonable time frame, the consumer may be entitled to a replacement or refund.
By understanding the arbitration process and repurchase procedure, consumers can navigate dispute resolution with their manufacturer and get a fair outcome.
7) Replacement Process
If you’ve gone through the steps outlined in the Oregon Lemon Law and the arbitration process, and you’ve been awarded a replacement vehicle, it’s important to understand the procedure for obtaining your replacement. The replacement procedure varies depending on the decision of the arbitrator and the options available from the manufacturer.
In most cases, the manufacturer is responsible for providing a replacement vehicle that is either identical to the original vehicle or comparable in terms of features, specifications, and value. The replacement vehicle should be free of any defects or major faults that substantially impair its use, safety, or market value.
Once the decision for a replacement has been made, the manufacturer is required to provide the consumer with the replacement vehicle within a reasonable time frame. This may vary depending on the availability of the specific vehicle model or any customization requests made by the consumer.
When the replacement vehicle is delivered, it should be in a condition that is equivalent to a new vehicle. Any mileage on the replacement vehicle should be minimal and related to testing or transportation purposes.
The replacement vehicle should not have any of the major faults or issues that were present in the original vehicle. It’s important to note that when you receive a replacement vehicle, there should be no additional charges or usage fees imposed on you.
The manufacturer is responsible for all costs associated with the replacement, including taxes, registration fees, and delivery charges. In the case of a replacement vehicle, you will not be required to pay a usage fee.
Since the original vehicle had major faults that made it unsuitable for its intended purpose, the responsibility falls on the manufacturer to provide a replacement without any additional financial burden on the consumer. If the replacement vehicle is not provided within a reasonable time or if it does not meet the necessary criteria, you may have grounds for further action, such as seeking legal assistance or filing a complaint with the appropriate authorities.
Conclusion
When a consumer is awarded a replacement vehicle as a result of the Oregon Lemon Law process, it’s important to understand the procedures and expectations. The manufacturer is responsible for providing an identical or comparable replacement vehicle, free of any major faults or issues.
The replacement vehicle should be delivered within a reasonable time frame, and there should be no additional charges or usage fees imposed on the consumer. By familiarizing yourself with the replacement process, you can ensure that your rights are protected and that you receive a satisfactory resolution to your lemon law claim.
In conclusion, the Oregon Lemon Law provides crucial protection for consumers who purchase or lease new and used vehicles with major faults or substantial nonconformities. By understanding the eligibility criteria, duration of coverage, nonconformity and reporting requirements, repair attempts and time limits, arbitration process, and repurchase and replacement procedures, consumers can navigate the lemon law process and seek a fair resolution for their vehicle issues.
It is important to assert your rights and take action if your vehicle’s use, safety, or market value is significantly impaired. The Oregon Lemon Law ensures that consumers are not left to bear the burden of expensive repairs or unsafe vehicles.
Remember, if you find yourself in such a situation, become familiar with the lemon law and the steps you can take to protect yourself and your investment.