November 04, 2010

What happens to Lemon Law cars?

Dear Consumer Ed:

I’m curious. What happens to the Lemon Law cars that are repurchased or replaced?

Consumer Ed says:

They can either be sent to a salvage yard, donated to a vocational technical school, or resold. If the car is resold, there are protections in place for the consumer who purchases it. The manufacturer is required to complete a form explaining why the vehicle was reacquired and describing the defect that the original consumer experienced. This form must be provided to the new purchaser so that he or she is fully aware of the problem. In addition, the manufacturer must provide the new purchaser with a one year or 12,000 mile warranty covering the original defect.  That warranty will begin to run the day the new purchaser acquires the vehicle. 

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