Lemon Law for California

So, here are some things that you’ll need to consider when you’re shopping around for a good attorney to handle your lemon law case. For instance, you will want to get a consultation to figure out exactly what type of lemon case you have. After that, you can follow the tips I’m listing below to help you to find the right lemon law attorney to handle your case.

EXPERIENCE
You should make sure that the firm or lawyer that you choose has experience in handling your specific type of case. The law has become very specialized in lemon cases and you will need a law firm that is not new to this area. Otherwise they may not know how to get the best results for you. However, you should be wary of any law firms which use the term “experts” or “specialists” because they’re not legally allowed to use those terms.

NUMBER OF ATTORNEYS
You should also ask how many lawyers in that firm are not only licensed in your state, but how many of those lawyers can actually handle your lemon law or other type of case. Just like in any other type of company, people get sick or leave for whatever reason. Since your case will likely take many months to resolve, you want to be sure there is another attorney in the firm who can take over if your own lawyer can’t continue for any reason.

ATTENTION
You also want to make sure that you can meet your attorney before he or she represents you. Just like a doctor, a lawyer is a professional that you trust a very important part of your life to. Because of this, you should be wary of any firm which will not allow you to meet your attorney or those who give you the run-around. You should always know what is going on in your case.

LOCATION
You should also make sure that your lawyer is at least located in the same State where your case will be handled. In general, lawyers must be licensed in the State in which they are doing their legal work in order to practice. If the lawyer is not located in your state, he/she may have problems effectively representing your interests.
If your lawyer is forced to travel great distances to appear on your behalf, or if he/she is hiring someone else to make any court appearances on their behalf, you should consider whether this will influence his/her judgment when he/she confers with you about any settlement offer made by the opposing side.

REPUTATION
Believe it or not, a lawyer’s reputation is one of the most important things you need to consider when you make a decision. How other lawyers feel about his/her performance and more importantly how former clients feel will give you a good idea what that lawyer can do for you. Most lawyers will freely and willingly give you information about their reputation if asked and some will even provide you with proof of their track records if you request it. Also, if you know someone who has had to deal with a lemon case, you can ask them how their lawyer was with them. All of these things can help you in choosing your next lawyer.

COST
One thing you should consider is the cost of all this. Not all states will allow you to recover the whole amount of the lawyers fees under the state lemon laws, this is why I highly suggest you take the time to research the laws in your state. However, the Magnuson-Moss Warranty Act is a federal law that may allow you to recover the cost of hiring a attorney. If your state laws don’t allow recovery of fees, or even if they do, you will still want to be sure that the cost of the lawyer is affordable because there is no guarantee that you will win your case once it gets to court. You need to be sure that you can afford the lawyer that you get. Since some will require a retainer, it is best to ask about this up front. For those that do not, know that you will either have to pay the fees along the way or out of the award at the end.

Now, here’s the thing. If the attorney is any good and confident in their ability to win your case for you, they should be willing to take your case on a contingent fee basis. Which means if they don’t win your case for you it won’t cost you anything. The worst case scenario should be that you have to pay a down payment and make payments along the way. One other thing, make sure that if the fees are on a contingent basis that they are set fees and not a blanket percentage of your eventual award.

Personally, if I had to go thru all this again I’d only choose a confident lemon law lawyer who would take my case on a contingent fee basis. This is my own personal opinion though, you should always be sure to do the research required to know your rights, that way you can make your own decision based on your best interests.

So, now that we’ve covered all that, here are some quick questions that you should ask your lawyer before hiring them or even considering them. Check for quick and concise answers and ask them to put all in writing before you make any final decisions.
1. How many cases like this have you handled before and what was the result of those cases?
2. What are the resources that you and/or your firm have at your disposal?
3. Are you going to try to settle out of court or do you push for court trial?
4. What are any and all of the upfront fees? If there are none, how much of the settlement do you take upon trial end?
5. What type of billing procedures does your firm require, and do I get a detailed report in writing?
6. If you will be itemizing the costs, can I get a detailed and itemized written report of the costs each week?
7. Do you have a working knowledge of lemon laws in my state?

These are just some of the questions that you should ask before hiring your lawyer. You also want to be sure that they can provide you with details on what you have that will make your case for you. You don’t want a lawyer that just wants to make a few bucks, you want proof that you have a case that you can win, otherwise, you will not only be stuck with a car you can’t use, but you might end up having to make payments to a lawyer as well. With that in mind, lets look at…

Just because a law is on the books, doesn’t make it good, or necessarily enforceable.  The California Lemon Law is a noteworthy exception. It was well written, and highly enforceable. It works!

“Building” your “case” is really nothing more than getting good documentation, putting the manufacturer on written notice, categorizing your information into a useful and structured format, and getting good advice from an experienced attorney. Whether you choose to “do-it-yourself”, or turn it over to a lemon law attorney to do it for you, you can feel great in knowing that California has one of the strongest, and best lemon laws in the nation.

Many dealers add after-market (non-factory) accessories, paint and fabric/leather “potions and lotions”, as well as a host of other dealer-profit enhancing items as part of the purchase contract sale or lease agreement.

On a California Lemon Law claim, the automobile manufacturer has no duty to reimburse you for these, even though the dealer installed them and charged you for them! Why? The answer lies in the vehicle…

When your vehicle rolled off the assembly-line, it was “as equipped” from the manufacturer, and had a price & information label affixed to the cars side window glass from the manufacturer. It shows the car, factory accessories, and transportation, which totals up to “MSRP”, or “manufacturer’s suggested retail price”. This “MSRP” label shows what factory accessories are included in the “as equipped” equation.

So, if the dealer adds things to your vehicle, the manufacturer typically doesn’t reimburse you for them in a lemon law claim, because that’s not the way it came off the assembly line when it was built. There are certain cases wherein the dealer installs genuine factory accessories on the vehicle and it’s noted on the purchase agreement. In these cases it’s sometimes possible to get reimbursement for these factory built/dealer installed accessories.

Many consumers will utilize the expertise of a experienced lemon law attorney firm with a lot of “clout” on the factory-built added accessories issue. This “clout” may allow (in certain circumstances) the attorney to negotiate a part or full reimbursement of these factory accessories.

The Greek people do not have the franchise on myths or mythology.  California consumers have their own set of unique myths when it comes to automobile dealerships and/or their selling/servicing dealer.
Here are some of the most common myths, so you can understand them, and adjust your thinking:

1.  “My Car Dealership should Help me”. 
Huge misconception. Yes, they want you to be happy to buy another car or buy service, but they are not the party that facilitates the lemon law buyback. The automobile manufacturer does. I hear horror stories of people threatening their car dealer with lines like “this car is a lemon, you have to take it back and give me my money back”, or “I’ll sue you” Hilarious. The car dealer is simply the franchisee of the automobile manufacturer. They don’t have to do anything for you. They just sell and repair the cars. The ultimate responsibility for a lemon law claim rests with the automobile manufacturer. Oh, sure, the dealer will be more than happy to trade you out of your present “lemon” vehicle and make a ton of money off you, and you lose your equity (or worse yet ‘buy’ negative equity into the next contract). They are simply helping themselves to another sale, not helping you at all, and that is not “lemon law”. No, they have no duty to help you in a lemon law case. If they choose to “get in the middle” on your behalf, then watch out for future repair visits coming back with wording on the Repair Order Invoice of “no problem found” or “cannot duplicate customers concern”. The Service Department talks with the Sales Department. They see opportunity to sell another car instead of fixing yours. Yes, it happens more than we want to think. Most consumers are best served to never mention “lemon law” or “buyback” to their dealer or dealer’s service department personnel. This topic belongs with the manufacturer. An experienced lemon law attorney can best advise you on this.

2.  Alternate transportation (AKA: loan car)
Here is another huge misconception. Consumers think that they automatically get a loan car if their car breaks down or goes in for service. WRONG! Your new vehicle limited warranty does not have a provision for alternate transportation/reimbursement/loan cars. Some dealers have a loan car system in place (courtesy car). This is a bonus if your dealer offers this. But no, the manufacturer nor the dealer have a duty to provide you with alternate transportation. Some customers purchase a “Service Contract” that provides for rental car reimbursement. This is different, and is not a factory warranty provision issue.

3.  “My salesperson is of no help to me”
They were there to make the commission off the sale of the car to you. That’s it. They have nothing to do with the California Lemon Law process.

4.  “My dealer told me that I’m getting a buyback”
WHAT buyback? If you complained to your dealer, unless and until you have a written “settlement and full release” document from the automobile manufacturer, you have nothing more than conversation. The only “buyback” is with a written settlement agreement by the manufacturer or their appointed agent, signed by them AND you. The potentially worse part of this “offer” is that when the automobile  manufacturer makes a “settlement and full release” document, they do NOT have to follow the California Lemon Law statute, as it’s “between you and them and goodwill”. I would strongly encourage you to consult with an experienced California Lemon Law attorney prior to signing any kind of legal document or “settlement” from an automobile manufacturer.

“Arbitration” is an “alternative dispute resolution process” that many automobile manufacturers make available to purchasers of their vehicles who may want to pursue their Lemon Law rights. A consumer does not have to use the manufacturer’s arbitration process to enforce the Lemon Law. A consumer can choose to use a Lemon Law attorney.

An arbitration hearing is not necessarily a “win” or “lose” outcome for the consumer.  The arbitrator may “award” another repair attempt for the vehicle’s manufacturer as the “reasonable” solution to the problem(s), even though the consumer feels that they have provided the manufacturer or its dealership with more than enough repair attempts.  In addition, if the arbitrator does not feel that the consumer’s problem is “substantial,” the arbitrator may reject the consumer’s claim.  Often times the arbitrator will ask to test drive the consumer’s vehicle in an attempt to duplicate the consumer’s complaint, however, if the problem is of an intermittent nature this can result in a denial of the consumer’s claim. A very common arbitrator’s decision is to order an additional repair attempt, typically infuriating the vehicle owner. The consumer needs to be aware that an arbitrator’s decision or opinion is not a binding determination of the consumer’s Lemon Law rights.

It is important for the consumer to know that a manufacturer’s arbitration process is VOLUNTARY in California. In other words, the consumer does not have to use the manufacturer’s arbitration process to enforce the Lemon Law.  It is also important to be aware that while the arbitrator’s decision is not binding on the consumer, the decision is admissible in any later court proceeding and may be used against the consumer by the automobile manufacturer.

Often times in the course of the arbitration process, the automobile manufacturer may make an offer to the consumer to “resolve” his/her Lemon Law claim. However, such an offer by the manufacturer may not follow the requirements of the Lemon Law and may provide the consumer with substantially less than the Lemon Law would otherwise provide the consumer.

When you purchased or leased your new vehicle, it came with a warranty book or other printed pamphlet on what steps to take in resolving complaints you have with your vehicle. These “steps” are designed to “assist” the consumer in resolving their complaints.

Consumers should be aware, however, that these “steps” are often what the automobile manufacturer suggests, and not a full representation nor description of what consumer rights protection the California Lemon Law provides. These warranty books will also mislead the consumer with wording like “within 18 months or 18,000 miles”, suggesting a “lemon law” claim must be filed within this time frame.

NONSENSE. You have the entire warranty period (usually 3 years/36,000 miles or 4 years/50,000 miles) in which to institute a “lemon law” claim. Or “inform” that Arbitration is “the next step in the lemon law process” (it is not, California has no requirement for arbitration to pursue a lemon law claim). In certain situations a valid lemon law claim can be filed after the warranty has expired if the vehicle is still suffering from the same non-conformity.

Sometimes the “instructions” on “your responsibilities” were printed in these books before potential amendments to California’s Lemon Law were enacted.  Keep in mind that these warranty books are written by the automobile manufacturer to best serve the manufacturer.  They are not without important content, but a consumer should get a “balanced” view of their individual procedural requirements from a legal standpoint from an expert Lemon Law attorney.

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

If you financed or leased your vehicle, you are entitled to get back your down payment (or lease inception fee), government fees, trade-in equity, license fees and all the monthly payments you have made up to the date of settlement.  You may also be entitled to towing reimbursement, as well as rental car expenses you personally paid during your warranty repair visits.  The manufacturer pays off the existing loan (or lease),  you turn the vehicle back in to the car dealership, and you get your Lemon Law refund check.  This is known as a vehicle repurchase.  In certain circumstances you may also elect to take a replacement vehicle in lieu of a repurchase.  This is known as an exchange of collateral.  Your loan remains the same, and you simply “swap” your present vehicle for a new one with the same equipment. Leased vehicles are treated in the same way.

In any Lemon Law action, the manufacturer is entitled to an offset for mileage based on the odometer reading at the first time you had your vehicle repaired for a recurring problem.  There is a specific formula for calculating this offset, which your Lemon Law attorney will discuss with you.
How long can this process take?

We can usually reach a settlement with the manufacturer within 30-90 days by retaining our firm. A very large number of cases are settled in as little as 30 days!  You will not damage or compromise your credit by taking advantage of the Lemon Law.

As you can see, after you retain our firm it can be a very quick process. And we keep you updated on your cases progress. You no longer need to be involved with car dealers or auto manufacturers and suffer the frustration and anxiety of dealing with these problems.

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

“Arbitration” is an “alternative dispute resolution process” that many automobile manufacturers make available to purchasers of their vehicles who may want to pursue their Lemon Law rights. A consumer does not have to use the manufacturer’s arbitration process to enforce the Lemon Law. A consumer can choose to use a Lemon Law attorney.

An arbitration hearing is not necessarily a “win” or “lose” outcome for the consumer. The arbitrator may “award” another repair attempt for the vehicle’s manufacturer as the “reasonable” solution to the problem(s), even though the consumer feels that they have provided the manufacturer or its dealership with more than enough repair attempts. In addition, if the arbitrator does not feel that the consumer’s problem is “substantial,” the arbitrator may reject the consumer’s claim. Often times the arbitrator will ask to test drive the consumer’s vehicle in an attempt to duplicate the consumer’s complaint, however, if the problem is of an intermittent nature this can result in a denial of the consumer’s claim. A very common arbitrator’s decision is to order an additional repair attempt, typically infuriating the vehicle owner. The consumer needs to be aware that an arbitrator’s decision or opinion is not a binding determination of the consumer’s Lemon Law rights.

It is important for the consumer to know that a manufacturer’s arbitration process is VOLUNTARY in California. In other words, the consumer does not have to use the manufacturer’s arbitration process to enforce the Lemon Law. It is also important to be aware that while the arbitrator’s decision is not binding on the consumer, the decision is admissible in any later court proceeding and may be used against the consumer by the automobile manufacturer.

Often times in the course of the arbitration process, the automobile manufacturer may make an offer to the consumer to “resolve” his/her Lemon Law claim. However, such an offer by the manufacturer may not follow the requirements of the Lemon Law and may provide the consumer with substantially less than the Lemon Law would otherwise provide the consumer.

If you are considering, or have already applied for arbitration, you should consider calling our offices prior to any arbitration hearing taking place. In addition, if you have already completed the arbitration process and would like to know if you received or have been awarded your full Lemon Law entitlement, you should consider calling our office for a arbitration award review. 
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[ To Learn more our services and areas of practice, please visit our website at www.LemonLawIntel.com ]

Buying or leasing a new or used vehicle is the second largest investment an individual or a family usually makes. As a consumer you always want that investment to hold its value, to be a reliable and safe mean of transportation. Unfortunately, from time to time consumers end up owning a vehicle that is not what they expected it to be. Two of the most common causes for that are pre-existing manufacturer’s defects and intentional dealer fraud. To protect the consumers a law firm launches two websites that will help buyers through the process of recovering their losses.

Los Angeles, CA (PRWEB) November 14, 2007 — Buying or leasing a new or used vehicle is the second largest investment an individual or a family usually makes. As a consumer you always want that investment to hold its value, to be a reliable and safe mean of transportation. Unfortunately, from time to time consumers end up owning a vehicle that is not what they expected it to be. Two of the most common causes for that are pre-existing manufacturer’s defects and intentional dealer fraud.

 Many individuals have heard about the commonly known Lemon Law which was designed to protect consumers that end up with a new or used vehicle with significant manufacturer’s defects that negatively affect the vehicle’s use, value and/or safety. Most states have aggressive legislature set in place to protect the consumers’ rights. These laws require the manufacturer to take the vehicle back, pay the consumer all his/her monthly payments, down payment, and any other forms of related expenses, in addition to all applicable attorney’s and court fees. A Lemon Law Attorney can give you the advice you need as to what’s the best way to solve your case. Since many times the dealers and manufacturers ignore these cases and downplay the extent of the loss, consulting a Lemon Law Attorney is almost necessary especially since many Lemon Law Firms do not charge the consumer for their services.

Consumers who are victims of intentional dealer fraud have similar rights and attorneys practicing in the area have many ways to protect the consumers. A dealer fraud specialist can help the consumer recover his or her actual losses and even recover punitive damages of up to 9 times the actual damages. In many instances buyers are tricked by the seller, often a large and reputable franchise dealer, to buy or lease vehicles with rolled back mileage, frame damage, previously rental cars, limos or even taxis without providing the appropriate disclosure statements. All such sales constitute dealer fraud and a skilled attorney can help the consumer recover his or her financial and punitive loss plus compensatory damages without spending any money on attorney’s fees.

In instances of both dealer fraud and defectively manufactured vehicles, the consumer ends up with a vehicle that is unsafe to drive, requires constant repairs and is often worth only 70% to 30% of the amount actually paid by the consumer. The most common problems include, but are not limited to, engine problems, transmission problems, frame damage, body damage, odometer rollback, water leaks, paint defects, electrical problems, brake problems, steering problems among many other potential problems.

The Lemon Law and Dealer Fraud can be also filed for RVs, motor homes, motorcycles, trucks, boats, and many other “vehicles” that have motor/drive terrain warranty and safety regulations, state or federal.

The new websites for Lemon Law and Dealer Faud launched by The Law Offices of Hovanes Margarian are designed to assist California consumers with all of their California Lemon Law, Dealer Fraud and related cases. To deal with the negligence and abuse of power towards the consumers, the law firm has vast experience in the automotive industry and has successfully recovered thousands of dollars lost by consumers.

Hovanes Margarian is a USC Law School graduate with extensive previous experience in the automotive industry as the founder and co-owner of a nationwide vehicle brokerage firm. All the cases taken by Mr. Margarian’s law offices are related to vehicles, vehicle defects, vehicle sales fraud and DMV issues. For more information about the offices and the areas of practice you can visit http://www.lemonlawintel.com and http://www.dealerfraud.org or call toll free 866-97-LEMON (1-866-975-3666) for a no cost consultation about your case.

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