Lemon Law for California

Hurricane Katrina recently devastated the Gulf Coast region, leaving thousands of people without homes, jobs or food. Many of these people also lost their automobiles to flooding. Some cars had only minor damage; others were completely covered in New Orleans, where the waters were as deep as 22 feet in some parts of town.
Obviously, if your car has been sitting in twenty feet of water, you’re not going to just turn the key and drive away. Estimates of damaged cars run in the range of a half a million and it’s likely that some of these will be sold to unsuspecting buyers.
What can you do to avoid buying a water damaged vehicle?
One option is to check with Carfax, a company that will run a check on the cars vehicle identification number, or VIN. They can tell you if the car has been damaged or totaled as a result of flood damage. Some insurance companies are actually destroying or selling for scrap any cars they have paid off as a result of flood damage. This will prevent a number of such vehicles from reaching the secondary market.
Water damage can manifest itself in a number of ways. The obvious ones are rust and damaged carpet, but carpet can easily be replaced. You should be suspicious of an older car that appears to have new carpet. Other problems are not so easily noticed, such as damage to electronics in the dashboard or damage to the transmission or engine as a result of rising water. The Katrina floods were salt water; that makes the damage all the more severe as salt water is corrosive.
Your best option is to take the car to a qualified mechanic and ask them specifically to look for flood damage. It’s possible that some damage might elude even a mechanic’s eyes if he or she isn’t looking for it.
While you should check with Carfax for a VIN check, be aware that it is possible, due to quirks in the laws of various states, to “wash” a car title so that no mention of previously noted damage shows up. We hope that a universal database of car title information will eventually be created that is more or less tamperproof, but in the meantime, all buyers of used vehicles are at risk.
Keep in mind, too, that used cars do not qualify under the Lemon Law statutes of most states, so if you purchase a car that has been damaged by flooding from the Gulf Coast or elsewhere, you will have no legal recourse against the manufacturer. You will have legal recourse against the person who sold it to you, provided that you can demonstrate that they did so in bad faith. That may be hard to prove however.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ] 

Buying an automobile is an expensive, time consuming, complicated process. Most people hate it because, unlike other commodities, the pricing of new cars is a bit suspicious. You can go to Wal-Mart for a television, and the price is right on the shelf. But if you go to a dealership and see a price on the car you’d like, you may or may not have to pay that price. And you may have to haggle with one or more salespeople, and put up with stories about how the sales manager “won’t approve” the price the salesperson just gave you.
And once you buy it and agree to spend the next five years paying for it, you worry about what might happen if something goes wrong. If you buy that TV from Wal-Mart, you can just take it back for a refund if something goes wrong. With the new car, you’re just stuck. That’s what brought about lemon laws in the 1980’s and all states now have some version of them. Those lemon laws are effective. But knowing you’re protected after you buy the car isn’t good enough, especially if you find, through lack of knowledge, that you ended up unprotected due to your own misinformation.
Here are a few common misconceptions about lemon laws and buying new vehicles in general.
Used cars are covered under auto lemon laws.
Not true. These laws are designed to cover new vehicles only. There are Federal laws that may cover used vehicles if they are still under warranty, particularly for certified used cars, but the lemon laws do not apply.
If you purchase a new car, you may return it within three days for a refund.
Generally not true. While some states have grace periods regarding contracts of certain types, these do not apply to new car purchases. As a rule, once you drive it off the lot, it’s yours. For this reason, you should test drive the very car you intend to buy if purchasing a new one and you should have a mechanic examine any used car you are thinking about buying. It’s better to be safe than sorry.The dealer must inform you if a used car has been in an accident.
If buying a used car, you should certainly inquire if the vehicle has been in an accident. Many states have strict regulation regarding the sale of used vehicles with frame damage, so you should always ask. And any reputable dealer will answer your questions honestly. There is nothing, however, that requires a dealer to voluntarily share that information with you. What you don’t know can hurt you, so be sure to ask.
If you have a warranty of any type, you are protected.
Not true. A warranty without service to back it up is worthless. A warranty is only a promise from someone to stand behind their product. If they fail to do so, refuse to do so, or simply go out of business, you are out of luck.
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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Slide-outs, or slide rooms, are the rule, rather than the exception, in later-model motorhomes. For those of you who do not know that a “slide-out” is, it’s a portion of the coach which actually moves out when the coach is parked and retracts when it’s time to drive. Thus, the owners of the motorhome get a larger living room, kitchen, etc. because the slide-out makes the room bigger.
Modern RV’s have as many as four or five slide-outs per unit.
The only real problem with slide-outs is, however, they don’t always work very well. Some indeed work fine, but in actuality they are fairly complex units sitting within a coach which itself is large and complex. The science of slide-outs has, indeed, not kept up with their popularity.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

RV manufacturers are experiencing drastic declines in sales and revenue. Buyers are scarce due to high gasoline prices and a poor housing market. RV manufacturer National RV went out of business in November 2007. Just in the last two months, Alfa Leisure, Western RV (Alpine), and Travel Supreme closed down.
On May 13, 2007, the Wall Street Journal reported that Fleetwood Enterprises, which has posted five years of losses, recently sold its Riverside, California, headquarters and is looking for buyers for other properties. Fleetwood’s motor home shipments were down 27% from a year ago. Coachmen Industries’ sales have declined 40% over the past three years.
Anyone owning a lemon RV manufactured by a defunct manufacturer is typically out of luck in terms of seeking damages. 
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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Ford Motor  is recalling more than 650,000 of its top-selling F-150 pickups as well as a Lincoln-branded truck because of a problem with the brake hose that could cause the vehicles to lose braking power. The automaker has recalled 2005 and 2006 model year Ford F-150 and Lincoln Mark LT trucks, according to the recall notice posted by the National Highway Traffic Safety Administration on its website Wednesday. Ford trucks covered by the recall are equipped with 5.4-liter engines. The brake hose on those trucks can detach from an intake manifold, causing the driver to lose the “assist” function that provides additional power to the brakes, according to the safety notice. The trucks could still be stopped with remaining braking power but it would require drivers to apply “more force to the pedal,” Ford spokesman Wes Sherwood said. He said Ford had received reports of 11 minor accidents but no injuries because of the brake hose defect. The sweeping recall covers almost 606,000 vehicles in the United States and comes just as Ford is gearing up to launch all-new versions of its F-Series pickup line. U.S. sales of the Ford trucks are down 16% this year in a downturn tied to high gasoline prices and a slumping U.S. housing market. In addition to the trucks covered by the U.S. government recall, there are another 50,000 of the trucks on the road in Canada covered by a similar recall procedure, Ford said. Ford said customers in the United States and Canada affected by the recall could have brake hoses replaced at Ford dealerships starting in late June.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Here is a serious question. “Can clever promotion and flashy advertisements overcome an automobile manufacturer’s inability produce and then maintain a persistently defective automobile?” The answer; for a while, perhaps, but the dwindling spiral of shoddy workmanship, cynical customer service and deceptive repair practices will in the end, destroy the manufacturer’s credibility and the public’s desire to own these products. And once lost, it can be years before that credibility is regained.An attorney took on German auto manufacturer, BMW in Alegria vs. BMW and won a resounding victory. It was one of those rare occasions when the jury was so disgusted with the defendant’s behavior that over and above the repurchase amount, the jury awarded Mr. Alegria double damages. The total verdict requires BMW to pay $75,960.95 for the repurchase of the vehicle and $151,921.90 damages awarded by the jury: additionally, subject to the courts consideration there will be a motion for pre-judgment interest plus attorney’s fees and costs currently estimated to be around $135,000.00. Current law suggests that a ‘lodestar’ award may be granted which would make it possible to apply as much as a five times multiplier to the award of fees.

Here’s the story and it’s not pretty. Without the severe airbag safety issue, which we’ll talk about in a moment, the vehicle was well qualified for a repurchase under California Lemon Law, based on the five (5) electronics control system defects. These defects included the engine shutting off when the vehicle was turned to the right or to the left, the accelerator sticking and that the engine died at stops; also the engine would die when placed in reverse. This vehicle was at the dealership for repairs for 32 days in the first 3,702 miles of operation. The defects were not corrected by the various repair attempts. These facts make the vehicle presumptive under California law.

Now we come to the airbag situation. While Mr. Alegria and his two passengers were driving on the freeway, the driver-side airbag deployed. Mr. Alegria, despite minor injuries suffered at the time, was able to get the vehicle to the side of the freeway without further injury to himself or his passengers and the vehicle. These injuries were minor compared to what might have happened had he lost control of the vehicle while driving on a busy freeway. BMW contended that he must have hit a pothole on the right front of the vehicle. This astonishing assertion cannot be supported by any physical analysis. Odd that the airbag on the right side of the vehicle where is supposedly hit the pothole did not deploy. As was discovered at trial, BMW’s expert was in fact not an expert on the behavior of airbags at all. Also, as testified to by one of Mr. Alegria’s passengers, who is a serving State Police officer, no pot hole was hit prior to the airbag deployment. Another damning bit of evidence was found in the owner’s manual for the vehicle. The manual states clearly that the airbag will not deploy in the event of a minor accident or vehicle rollover. No accident or rollover occurred.

Over recent years, the development of airbags has moved from just one for the driver to as many as a half-dozen or more strategically positioned in the modern vehicle. However, at this time no airbags have been proposed to protect the driver from objects below ground or falling from the sky.

This sort of failure goes to the heart of the owner’s confidence that he or she has purchased a vehicle that is safe, that can be trusted to provide the greatest protection for it’s passengers as is possible.

It should be noted that this is the first time BMW has had problems with its safety systems. An earlier recall was issued for this exact problem, the inadvertent deployment of an airbag.

The really sad part of this tale is BMW’s behavior. It is truly hard to believe. Mr. Alegria wanted the BMW dream. He wanted to own the Ultimate Driving Machine. He had every right to expect excellent, thoughtful and caring service. Instead, rather than buy back the defective vehicle and thus make a BMW fan for life, and who knows how many more purchases of BMW vehicles, they put him through a litany of misery that was unconscionable. The amount of wasted hours, of money spent and upset caused were not justified by the events.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

PASADENA, California — After three auto show appearances and the occasional spy photo and video from Germany’s high-speed Nürburgring test circuit, it’s no secret that the Lexus LF-A supercar concept is headed for production. With an estimated 500 horsepower coming from the LF-A’s 5.0-liter V10, we didn’t expect the Lexus to come cheap, but Inside Line has learned that the car will carry a price tag over $200,000.

Ben Mitchell, corporate product planning manager for Lexus, confirmed that the price of the carbon-fiber supercar “will begin with a two.” And another Lexus source in Japan told Inside Line the price may be as high as $225,000.

Shown in both coupe and roadster forms, the LF-A will first launch as a coupe. Roadster versions will be priced even higher. Both body styles are approximately 2 inches shorter and an inch narrower than the 483-hp Ferrari F430, with a similarly sized wheelbase. A 2007 Ferrari F430 Spider costs $211,525.

Although final specifications have not yet been released, Lexus says the LF-A will reach a top speed over 200 mph.

What this means to you: Lexus is gunning for the Italians with the LF-A, and it’s not going to cut any corners in its quest to deliver a legitimate supercar.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

The Toyota Camry has been the best-selling passenger car in the U.S. for 10 of the last 11 years, but could the perennial best-selling car be eying the number one overall spot?  Ford’s F-150 pickup truck has held the title of the best-selling vehicle in the U.S. for the past 31 years, but a slumping economy and high fuel prices have the F-150’s title in jeopardy.

During the month of April, Toyota’s Camry outsold Chevrolet’s Silverado — which has historically always been the second best-selling vehicle in America. During April, Toyota sold 40,016 Camrys while Chevy could only move 37,231 Silverados — a decrease of 24.7 percent.

However, despite the Camry’s strong April sales, the Silverado still retains the number two spot by a small margin. But if gas prices continue to climb, the Camry might just have enough momentum to knock both pickups off their comfy top spots.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Although most everyone is aware of the lemon law as it pertains to buying a new car, many consumers may be surprised, and relieved, to know that the lemon law can also extend it’s coverage to used cars. The used car lemon law, like it’s counterpart, can change from state to state, but there are some basic details that will help you to decide if you qualify for this coverage.

First, when you purchase the used car, it has to come with some type of warranty, either the manufacturer’s warranty or one written expressly for that car. These warranties include extended warranties and warranties that are written from the car dealership. This is critical. Without any type of warranty, in most states, the coverage will not apply. If you have bought your car privately, chances are remote that you will be covered. If you have met the requirements needed when purchasing your used car so that the used car lemon law pertains to your purchase, there are steps that you need to be aware of that will help if you find you’ve purchased a lemon.

Document, document, document! This, again, is critical. Keep a written account of every repair, every person you have spoken to about these repairs, and what was said in these conversations. Make sure you receive an invoice and a warranty for repairs each and every time your car is in the shop. Even if the repairs were covered under a warranty, get an invoice anyway. Without documentation to back up your claims, damages under the used car lemon law will be hard to prove.

Be accurate. Make sure you’ve detailed the problem clearly and thoroughly and that the repair shop has written everything down just as you said it. Do this every time you take the car in for repairs. Keeping this information clear and precise will help if you need to use the used car lemon law.

If your car breaks down on the road, document the time and date and exactly what happened and where. Make sure this goes into the record at the repair shop. Also, before you turn in your car for repairs, make a note of the odometer reading. Have them record this on the invoice. By doing all these things, the used car lemon law should work effectively and could just be the out you need.

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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Years ago, manufacturers and their dealers were forever telling owners with problem vehicles this “we’ve never seen this before” or “the car meets manufacturer’s specifications” when the truth was that the manufacturer knew that the problem of which the owner was complaining was both real and to be found in other vehicles of the model.
However, owners now communicate with each other about problems with their model vehicle using Internet forums. The upshot is that an owner with a problem vehicle may quickly discover that other owners are having the same problem.

In discovery against a U.S. auto manufacturer, there was obtained a copy of an internal memo that illustrates this commented, “We can’t lie to consumers anymore.”

 Some of the leading forums are automotiveforums.com, automotive.com, edmund.com/insideline, and rv.net. To find a forum specific to your model vehicle, just search using your model vehicle and the word forum. There seems to be a forum for every make and model vehicle.

 [ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]