It’s incredibly frustrating when your brand-new car spends more time at the repair shop than on the road. You bought a new vehicle expecting reliability and peace of mind, not constant breakdowns and repair hassles. Thankfully, if you’re facing this situation in Maryland, the state’s Lemon Law may offer you protection. This guide will explain your rights under Maryland’s Lemon Law, focusing on how repair time and repeated repair attempts can qualify your vehicle for replacement or a refund.
What is Maryland’s Lemon Law?
Maryland’s Lemon Law is designed to protect consumers who purchase or lease new cars, light trucks, and motorcycles that turn out to be seriously defective. This law recognizes that sometimes, despite a manufacturer’s best efforts, a new vehicle can be plagued with problems that significantly impact its use, value, and safety.
The Lemon Law in Maryland applies to vehicles that:
- Are registered in Maryland.
- Are less than 24 months old from the date of original purchase.
- Have been driven less than 18,000 miles.
It’s important to note that the Lemon Law can still apply even if you are not the original owner, as long as the vehicle meets the age and mileage criteria from the original purchase date.
When Does Your Car Qualify as a Lemon?
Not every issue with a new car automatically makes it a “lemon” under Maryland law. The law sets specific criteria to determine if your vehicle qualifies for a replacement or refund. These criteria are centered around repair attempts and the severity of the problems.
Under the Maryland Lemon Law, your car may be considered a lemon if:
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Brake or Steering Failure: If your vehicle experiences a brake or steering failure that isn’t corrected after the first repair attempt and causes it to fail Maryland’s safety inspection. This highlights the seriousness of safety-related defects.
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Persistent Major Defect: If you have a significant problem that substantially impairs the use and market value of your vehicle, and it remains uncorrected after four reasonable repair attempts. This focuses on recurring issues that dealers can’t seem to fix.
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Excessive “Repair Time”: If any number of problems, even if individually they don’t seem major, collectively keep your car out of service for a cumulative total of 30 or more days during the Lemon Law eligibility period. This is where “repair time” becomes critical. The law recognizes that even seemingly minor issues can become a major inconvenience if they result in prolonged periods without your vehicle.
It’s crucial to understand that “substantially impairs the use and market value” is a key phrase. This means the problem must be significant enough to affect your ability to reliably use the car for its intended purpose and diminish its resale value. Minor cosmetic issues or easily fixed problems generally don’t qualify.
Taking Action: What to Do if You Suspect a Lemon
If you believe your car might be a lemon, especially if you’ve experienced repeated repair attempts or significant downtime, you shouldn’t wait until the situation becomes unbearable. Maryland law encourages you to act promptly.
Immediate Steps:
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Notify the Manufacturer in Writing: As soon as you suspect your car is a lemon, write to the vehicle manufacturer immediately. Send this letter via certified mail with return receipt requested to ensure proof of delivery.
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Document Everything: Keep meticulous records of all repairs, communications with the dealer and manufacturer, and the time your car spends out of service. This documentation is crucial for building your case.
What to Include in Your Letter to the Manufacturer:
- Your name, address, phone number, and date.
- The manufacturer’s name and address.
- Vehicle information: Year, make, model, and Vehicle Identification Number (VIN).
- Name of the dealership and date of purchase.
- A clear description of the problem(s) you are experiencing.
- Details of repair attempts, including dates and copies of repair orders.
- Reference to Maryland’s Lemon Law and your request for a replacement vehicle or refund if the issue isn’t resolved within 30 days of their receipt of your letter.
Don’t Delay Notification: You don’t need to wait for four repair attempts or 30 days out of service before notifying the manufacturer. If you believe your car is heading towards lemon status, early notification is advisable.
What Happens After You Notify the Manufacturer?
Once the manufacturer receives your certified letter, they have 30 days to make a final attempt to repair the problem. They will typically authorize a dealership to perform the repair.
Manufacturer’s Obligations if Repair Fails:
If the manufacturer or their authorized dealer is unable to fix the problem within this 30-day period, and your car meets the Lemon Law criteria, the manufacturer is obligated to either:
- Replace your vehicle: Provide you with a comparable new vehicle that is acceptable to you.
- Refund the full purchase price: Buy back your vehicle, refunding the original purchase price, including license, registration fees, and other government charges. They are allowed to deduct a reasonable allowance for your use of the vehicle, not exceeding 15% of the purchase price, and for any damage not due to normal wear and tear. Note that excise taxes are typically handled separately by the Motor Vehicle Administration.
Negotiating a Fair Resolution:
Sometimes, negotiating a fair replacement vehicle or refund amount can be challenging. If the manufacturer is unresponsive, refuses to offer a satisfactory resolution, or you need assistance in negotiating, you have options:
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File a Complaint with the Consumer Protection Division: The Maryland Attorney General’s Consumer Protection Division can mediate and assist in resolving lemon law disputes. They can contact the manufacturer on your behalf and help you negotiate.
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Consider Arbitration: Most manufacturers offer an arbitration program as a dispute resolution option. Arbitration is generally less formal than court and can be a faster way to reach a decision. However, it’s important to understand that the arbitrator’s decision is binding on the manufacturer but not necessarily on you. If you are unsatisfied with the arbitration outcome, you still retain the right to sue.
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Legal Action: If arbitration is unsuccessful or you choose not to pursue it, you have the right to file a lawsuit against the manufacturer under the Maryland Lemon Law. Consulting with an attorney experienced in lemon law cases is highly recommended at this stage. You must file your lawsuit within three years from the date your car was originally delivered to you.
Beyond the Lemon Law: Secret Warranties and Service Bulletins
In addition to the Lemon Law, be aware of “secret warranties” or “goodwill adjustments.” Manufacturers sometimes issue internal service bulletins to dealerships regarding common defects, offering to cover repairs even after the standard warranty expires. They often don’t publicize these programs to consumers.
How to Investigate Secret Warranties:
- Contact the Center for Auto Safety: This non-profit organization tracks secret warranties and technical service bulletins.
- Check the National Highway Traffic Safety Administration (NHTSA) Website: NHTSA provides information on recalls and technical service bulletins.
- Inquire with your Dealer: While dealers may not readily offer this information, it’s worth asking if there are any relevant service bulletins for your vehicle’s issues.
We Can Help
Navigating the Lemon Law process can be complex and stressful. Remember, you don’t have to go through this alone. If you are experiencing persistent problems with your new car and believe it might be a lemon, reach out to the Maryland Attorney General’s Consumer Protection Division for assistance. They are there to help you understand your rights and work towards a resolution.
This article provides a comprehensive overview of Maryland’s Lemon Law, emphasizing the importance of repair time and repeated repair attempts in qualifying for vehicle replacement or refund. It empowers consumers to understand their rights and take appropriate action when facing persistent issues with a new vehicle.
