I Bought a Lemon: What Can I Do?

Most of us love lemons, except when they're of the automotive variety. The thrill of buying a new vehicle can quickly be replaced by frustration, anger and disbelief if you find yourself stuck with a car that doesn't work properly. After all, you've just made a significant investment, and you expected to have a functioning vehicle. Here's what you can do if you find yourself in possession of a lemon.

First Things First: What is a Lemon?

New cars may contain defects or flaws that aren't readily apparent. Not all defective cars are true lemons, though. According to Michael Sacks, Automotive Consumer Advocate and Director of Communications and Client Services of Kimmel and Silverman, a law firm that has handled over 55,000 lemon law and breach of warranty claims, a lemon is "a vehicle with a significant non-conformity that affects the use, value or safety of the vehicle that cannot be fixed after a reasonable number of repair attempts." Non-conformity can include anything from the vehicle not starting to a continuous check engine light. "Water leaks, electrical failure, power steering problems, braking issues, and lack of power are things we frequently see in lemon law and breach of warranty cases."

If your car has a mechanical problem that is affecting its use, you could have a lemon. State laws vary, though, so it's a good idea to read a summary of your state's lemon laws (usually available online) to find out your state's definition.

What Problems Might I Face?

Aside from the hassle of having a defective car that might be unsafe, according to Sara Lee Marks, a Nevada-based independent auto consultant known as Mycarlady, the biggest issues for consumers with lemons are often that either the servicing dealer can't find the problem, or the random or infrequent occurrence of the problem makes the diagnosis and fix uncertain. If the fix is limited to that particular visit, the problem could re-occur from another unrelated circumstance down the line.

What Can I Do?

The most important thing you can do if you suspect your car is a lemon is to document everything. When you first experience a problem, consider writing down what happened, when it occurred and what actions you took. Next, you'll probably want to give the dealer an opportunity to fix the problem, making sure to alert the service manager every time you come in. Also, it's a good idea to make sure the dealer understands the problem as you describe it. Asking the manager to repeat your problem back to you is a good way to make sure you're in agreement as to what the problem is. If you do have a bonafide lemon, you might need invoices to win your claim. Try to save all records of your service visits, just in case.

Do I Need an Attorney?

That depends. In some states, you can easily file a claim on your own, so it's a good idea to learn more about your state's laws and whether you can handle the problem yourself. If you're having trouble getting your problem resolved, a qualified lemon law attorney can help get your claim taken care of quickly, because he or she has access to manufacturer counsel and can often resolve a claim without litigation. In some states, you are responsible for all attorneys' fees, even if you win, while in others, you can recover fees on top of what you receive, so before you spend your hard-earned cash, consider checking your state's laws. Keep in mind, though, that Sacks says a qualified lemon law attorney should not ask for a retainer.