If you’ve experienced repeated problems with your vehicle and have pursued a Lemon Law claim, it’s possible that the manufacturer may offer you a settlement. A settlement is an agreement between you and the manufacturer that typically involves some form of compensation, such as a buyback or replacement vehicle, in exchange for dropping your Lemon Law claim.
However, what happens if you don’t think the settlement offer is fair? Can you still pursue a Lemon Law claim? The short answer is yes, you can. Here’s what you need to know:
Table of Contents
- When You Might Receive An Offer For Your Lemon Vehicle?
- What Makes For A Fair Offer For Your Lemon Vehicle?
- What You Can Do If Your Lemon Offer Is Unfair
A lemon owner may attempt to pursue arbitration or another dispute resolution process against the auto manufacturer. In this case, an arbitrator will decide, based on the evidence presented, if the vehicle does or does not conform to the auto manufacturer’s warranty. If the arbitrator decides in your favor, you may select a vehicle replacement or a repurchase of your vehicle. If you choose to have the auto manufacturer repurchase your vehicle, you will receive a specific offer for your refund.
A lemon owner may also decide to retain a lemon law attorney, and the auto manufacturer might attempt to settle with you and your attorney before your case has the chance to go to trial. The auto manufacturer will provide an offer for your troubles. Alternatively, your lemon law attorney may take the case to trial, after which your vehicle may be found to be a lemon and the auto manufacturer has to provide either a vehicle replacement or a lemon law buyback.
The amount of money you can get for your lemon vehicle depends on the facts of your case. Such factors include the type of vehicle you have, the specific problems you’ve had with your vehicle, the terms of the auto manufacturer’s warranty, and additional expenses you’ve had to incur because of your vehicle’s defects.
If you’re looking for a refund for your lemon vehicle, you may be able to estimate the amount of money you would get back. We do this using the lemon law buyback formula. You take the total amount paid or payable to your vehicle and subtract an amount called the “mileage offset.” The mileage offset is calculated by multiplying the total amount paid with the mileage of your vehicle at your first repair, then dividing it by 120,000 miles.
In the cases of an offer given by the customer complaint or care department, or a decision made in arbitration, you are not required to accept the decision immediately. In fact, we recommend that you consult with a lemon law attorney regarding the facts of your case and the offer provided by the auto manufacturer.
In the event that you retain a lemon law attorney, pursue a claim against the auto manufacturer, and are given an offer, the situation is more complicated. We also recommend that you consult with a lemon law attorney regarding the settlement offer and your legal options when the offer is presented.
You are not required to accept a settlement offer. The decision to accept or reject a settlement offer is entirely up to you.
Consult With A Lemon Law Attorney Today
Some lemon owners may be daunted by the thought of hiring an attorney because they believe that the process will be lengthy and costly. However, lemon law attorneys are paid on a contingency basis. That means they only get paid if you win, and the auto manufacturer is on the hook for the attorney’s fees and costs. If your lemon law attorney loses, you pay nothing.
In addition, initial consultations are also free. It is worth having an initial consultation, even if you had not yet notified your auto manufacturer or taken your vehicle in for repairs yet. If you call our experienced lemon law attorneys, we can discuss your legal options and answer any questions you have about the lemon law process. Just call us at 877-222-2222. We offer these consultations 24/7.
Lemon Law Help by Knight Law Group is an automotive lemon law firm that exclusively practices in California. If you are a California resident who purchased or leased a defective vehicle from a licensed dealership in California, we may be able to help you get rid of your potential lemon and recover significant cash compensation. Model year restrictions apply: 2016–Present vehicle models only. However, we cannot help those who reside outside of California or purchased their vehicle outside of California unless they are active duty members of the Armed Forces, nor will we be able to refer those to a lemon law firm in their states. To learn more about the California Lemon Law and your legal rights, visit our guides on the California Lemon Law and Used Car Lemon Law for more information.