STATE OF NEW YORK
OFFICE OF THE ATTORNEY GENERAL
NEW YORK'S
NEW CAR LEMON LAW
A GUIDE FOR
CONSUMERS
Letitia James
Attorney General
New York's
New Car
Lemon Law:
A Guide for
Consumers
CONTENTS
New Car Lemon Law
Questions and
Answers
1
Using the New York State
Arbitration Program
11
The New Car Lemon Law,
General Business Law §198-a 16
Arbitration Program Regulations 27
Offices of the Attorney General 34
1
New Car Lemon Law
Questions and Answers
1. WHAT IS THE PURPOSE OF THE
NEW CAR LEMON LAW?
The New Car Lemon Law provides a legal remedy
for buyers or lessees of new cars that
tum
out to be
lemons.
If
your car does not conform to the terms of
the written warranty and the manufacturer or its
authorized dealer is unable to repair the car after a
reasonable number of attempts during the first 18,000
miles or two years, whichever comes first, you may be
entitled to a full refund or a comparable replacement
car. A copy of the law may be found in the back of
this booklet.
2. WHICH VEIDCLES ARE COVERED
BY
THE NEW CAR LEMON LAW?
The law covers both new and used cars, including
demonstrators, motorcycles and motor homes which
satisfy all of the following four conditions:
1.
The vehicle was covered by the manufacturer's
warranty at the time of original delivery; and
2.
The vehicle was purchased, leased or
transferred within the earlier of the first
18,000 miles or two years from the date of
original delivery; and
3.
The vehicle either: (a) was purchased, leased
or transferred in New York State, or (b) is
presently registered in New York State; and
4. The vehicle is primarily for personal use.
Some examples of cars that may be covered by the
new car lemon law are:
a new or demonstrator car, purchased or
leased from a New Jersey dealer and
registered in New York;
a new or demonstrator car, purchased or
leased from a New York dealer and registered
in New Jersey;
a new or demonstrator car received as a gift
from a friend and registered in New York
State;
a used car with less than 18,000 miles and
less than 2-years old.
3.
WHAT DOES "PRIMARILY FOR
PERSONAL USE" MEAN?
Primarily for personal use is when its principal use is
for personal, family or household purposes. Such
purposes include, for example, using the car for
household errands or to drive to and from work. A
car may be used for both personal and business
purposes provided that the personal use is
predominant (more than 50% of the usage).
4. ARE MOTOR HOMES COVERED?
Yes. Motor homes are also covered under the law,
except as to defects in systems, fixtures, appliances or
other parts that are residential in character. Such
items
excluded from coverage include, but are not
limited
to: flooring, plumbing system and fixtures,
roof, air
conditioner, furnace, generator, electrical
systems
other than automotive circuits, the side
entrance
door, exterior compartments, and windows
other than
the windshield and driver and front
passenger
windows. However, there are special notice
requirements with respect to motor homes. The law
defines a motor home manufacturer to include not
only the manufacturer but also the assembler of the
component parts of the motor home, including the
chassis, engine and residential portion.
2
5.
ARE MOTORCYCLES AND OFF
ROAD VEHICLES COVERED?
Effective September 1, 2004, motorcycles are
covered
vehicles. Off-road vehicles, such as
snowmobiles, are
not covered by the law.
6.
ARE CARS OWNED OR LEASED BY
BUSINESSES C O V E R E D?
Yes, provided the car is primarily used for personal,
family or household purposes.
7.
WHAT SHOULD YOU DO IF YOU
BECOME AWARE OF A PROBLEM
WITH YOUR CAR?
You should immediately report any defect or
"condition" covered by the manufacturer's warranty
directly to the manufacturer or to its authorized dealer.
A "condition" is a general problem, such as difficulty
in starting, repeated stalling, or a malfunctioning
transmission, that can result from a defect of one or
more parts.
If
you report the problem to the dealer, the law
requires the dealer to forward written notice to the
manufacturer within seven days. Under the law,
notice to the dealer is considered notice to the
manufacturer.
8.
WHAT IS THE MANUFACTURER'S
DUTY TO REPAIR?
With respect to those covered cars sold and registered
in New York State, if you notify the manufacturer or
its authorized dealer of such defect within the first
18,000 miles of operation or two years from the
original delivery date, whichever comes first, the law
places a duty upon the manufacturer to repair --free of
charge and without any deductible-- any defect
covered by warranty.
Once timely notice of the defect is given, the
manufacturer may not charge for the repairs, even if
the repairs are performed after 18,000 miles or two
years. If you have been charged for such repairs or
a
deductible, you should contact the Attorney
General's
office.
9.
WHAT ARE YOUR RIGHTS IF THE
MANUFACTURER DOES NOT MEET
ITS DUTY TO REPAIR?
If the problem is not repaired after a reasonable
number of attempts, or the manufacturer or the dealer
refuses to commence repairs within 20 days from the
manufacturer's receipt of the "refusal to repair" notice
from you (see question #15), and if the problem
substantially impairs the value of the car, the
manufacturer may be required to refund the full
purchase or lease price, or offer a comparable
replacement car.
10. DOES THE LAW SPECIFY THE
NUMBER OF REQUIRED REPAIR
ATTEMPTS?
Yes. Except for motor homes, it is presumed that
there has been a reasonable number of attempts to
repair a problem if, during the first 18,000 miles of
operation or two years from the original delivery date,
whichever comes first, either (a) the manufacturer (or
its authorized dealer) has had an opportunity to repair
the same problem four or more times and the problem
continued to exist at the end of the fourth repair
attempt; or (b) the car was out of service by reason of
repair for a cumulative total of 30 or more calendar
days for one or more problems.
You, or the manufacturer, may rebut this presumption
by demonstrating that fewer or more than four repair
attempts, or 30 days out-of-service due to repairs, is
reasonable under the circumstances.
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11.
CAN YOU STILL OBTAIN A REFUND
OR A REPLACEMENT CAR IF THE
DEFECT HAS BEEN REPAIRED?
Yes, you may still be entitled to relief under the law,
provided all other statutory requirements are met, if a
defect continued to exist at the end of the fourth repair
attempt, or if the car was out-of-service for a total of
at least 30 days, notwithstanding that the defect was
subsequently repaired.
For example, a defective transmission continued to
exist after four repair attempts but on the fifth repair
attempt it was fully repaired. Nevertheless, since it
was not repaired at the end of the fourth repair
attempt, you have met the presumption that a
reasonable number of attempts has occurred and you
may be entitled to relief.
12.
WHAT CONSTITUTES SUBSTANTIAL
IMPAIRMENT OF VALUE?
It will depend on the facts in each case. In general,
your complaint must be about a serious problem. For
example, a defect in the engine which makes the car
inoperable is clearly substantial. Some courts have
found that the cumulative effect of numerous lesser
defects can add up to substantial impairment of value.
13.
ARE THERE ANY EXCEPTIONS TO
THE MANUFACTURER' S DUTY TO
REFUND OR REPLACE?
The manufacturer does not have a duty to make a
refund or provide a replacement car if: (a) the problem
does not substantially impair the value of the car to
you, or (b) the problem is a result of abuse, neglect or
unauthorized alteration --such as a dealer installed
option-- of the car.
14.
SHOULD YOU CONTINUE TO MAKE
YOUR PAYMENTS WHILE YOU ARE
PURSUING YOUR RIGHTS UNDER
THE LEMON LAW?
Yes. Unless otherwise advised by your lawyer, if the
car is financed or leased, you should continue to make
your monthly payments. Failure to do so may result
in a repossession which may lead to your being unable
to return the car to qualify for a refund or replacement
car under the law.
15.
WHAT SHOULD YOU DO IF THE
DEALER REFUSES TO MAKE
REPAIRS?
If the dealer refuses to make repairs within seven days
of receiving notice from you, you should immediately
notify the manufacturer in writing, by certified mail,
return receipt requested, of the car's problem and that
the dealer has refused to make repairs.
A sample notice to the manufacturer may be found in
this booklet.
16.
WHAT MUST THE MANUFACTURER
DO UPON RECEIPT OF YOUR
NOTICE OF THE DEALER'S
REFUSAL TO MAKE REPAIRS?
The manufacturer or its authorized dealer must
commence repairs within 20 days from receipt of your
notice of the dealer's refusal to make repairs.
17.
HOW CAN YOU PROVE YOU OWN A
LEMON?
You must be able to establish the necessary repair
attempts or days out-of-service due to repairs.
Therefore, it is very important to keep careful records
of all complaints, copies of all work orders, repair
bills, correspondence, and all telephone and email
communications.
A dealer is required by Department of Motor Vehicles
(DMV) regulations to provide a legible and accurate
written work order each time any repair work is
performed on a car, including warranty work for
which no charge is made. You may contact the DMV
4
in Albany at 518-486-9786 if you have a problem
obtaining your repair orders.
18.
WHAT SHOULD BE INCLUDED IN
YOUR REFUND?
The refund should include the price of the car (cash
plus trade-in allowance), including all options, plus
title and registration fees and any other governmental
charges, less any lawful deductions. Other expenses
or charges, such as loss of use, insurance premiums
and finance charges, are not included under the law.
19.
WHAT ARE THE "LAWFUL
DEDUCTIONS?"
The manufacturer may deduct an amount for mileage
in excess of the first 12,000 miles. No deductions
may be made for the first 12,000 miles of use. The
law states that such deduction shall be calculated by
taking the mileage in excess of 12,000miles times the
purchase (or lease) price, divided by 100,000.
For example, if a defective car has 15,000 miles on its
odometer and cost $20,000, the deduction for use
21. IF THE CAR WAS LEASED, HOW IS
THE REFUND CALCULATED?
When the car is leased, the refund due from the
manufacturer is divided between you (the lessee) and
the leasing company (which owns the car and to
which you make lease payments) according to a
formula provided by the law. The lease price to be
refunded to you is the total of your down payment
(including any trade-in allowance) plus the total of
monthly lease payments, minus interest charges and
any other service fees.
For example, you leased a new car under a three-year
lease, with a $1,500 down payment, and pay a
monthly lease payment of $300. Of the $300 monthly
payment, $100 is allocated as interest charges. After
making twelve monthly payments, you are granted a
refund under the lemon law. The refund will be
$3,900 calculated as follows:
Deposit .................... $1,500
+ Monthly Payments.
(12x300)
$3,600
would be $600 (3,000 multiplied by $20,000 divided
by 100,000). In addition, a reasonable deduction may
be taken for any damage not due to normal wear.
- minus interest(12xl00)
Total Refund ..............
$
1,200
$3,900
20. IF THE PURCHASE WAS FINANCED,
HOW IS THE REFUND DIVIDED?
The refund by the manufacturer is the same whether
the car was financed or not. However, when the car
is financed, instead of the entire refund going to you,
the refund must be divided between you and the
lender (the bank or finance company). Generally, the
lender will calculate how much is still owed by you
and the refund will be applied first to that amount.
The balance of the refund will then go to you.
If
the monthly payment includes other service fees,
such as insurance or other costs, paid for your benefit,
such amounts will also be deducted from your refund.
The leasing company's portion of the refund is the
balance of the "lease price," as that term is defined by
the law.
22. IF THE CAR IS LEASED, DOES A
FINDING THAT THE CAR IS A
LEMON TERMINATE THE LEASE?
Yes. Once a finding has been made that a car is a
lemon, the lease is terminated. As a result, no early
termination penalties under the lease may be
collected.
5
23. IF SUCCESSFUL, CAN YOU
RECOVER SALES TAX?
Yes. State and local sales taxes are refunded directly
by the New York State Commissioner of Taxation and
Finance who will determine the appropriate amount to
be refunded under the law. You must complete and
submit an "Application for Refund of State and Local
Sales Tax" (Form AU-11) to the New York State
Department of Taxation and Finance, Central Office
Audit Bureau - Sales Tax, State Campus, Albany,
NY 12227. (Such form may be obtained through the
manufacturer or directly from the Commissioner of
Taxation and Finance.)
You have three years from the date a refund is
received from the manufacturer to apply for the tax
refund.
24. WHAT IS A "COMPARABLE
REPLACEMENT
VEHICLE"?
The courts have ruled that the lemon law does not
entitle you to receive a brand new vehicle if you
elected to receive a "comparable replacement vehicle"
instead of a refund. Rather, you are entitled to receive
a car of the same year and model and which has
approximately the same mileage as the car being
replaced.
25. WHAT SPECIAL NOTICE
REQUIREMENTS EXIST FOR
MOTOR HOME OWNERS?
The law imposes special notice requirements with
respect to motor homes. Manufacturers are to be
given one final chance to repair the defect before you
can take advantage of the remedies offered by the
lemon law.
Once the motor home has been subject to two repair
attempts, or has been out of service by reason of
repair for 21 days, whichever occurs first, you must
report such fact to the manufacturer or its authorized
dealer by certified mail, return receipt requested,
before taking into account any additional repair
attempts or days out-of-service and seeking arbitration
or commencing a lawsuit under the lemon law. Once
such notice is given, you can take advantage of the
lemon law remedies after one additional repair
attempt --for a total of three repair attempts-- for the
same defect, or your motor home was out of service
due to repair for one or more defects for at least 9
additional days for a total of at least 30 days.
Note, however, that it shall count as only one repair
attempt if the same defect is being addressed a second
time due to your decision to continue traveling and to
seek the repair of the same defect at another
authorized repair shop rather than wait for the initial
repair to be completed.
26. ARE THESE SPECIAL NOTICE
REQUIREMENTS A L W A Y S
APPLICABLE?
No. The special notice requirements are only
applicable if the manufacturer or its authorized dealer
has provided you with a prior written copy of these
requirements and receipt of the notice is
acknowledged by you in writing.
27. WHAT IF YOU FAIL TO COMPLY
WITH THESE SPECIAL NOTICE
REQUIREMENTS FOR MOTOR
HOMES?
If
you fail to comply with the special notice
requirements, additional repair attempts or days out of
service will not be taken into account in determining
your right to relief. However, additional repair
attempts or downtime will be considered if they occur
after you have complied with the notification
requirements.
gov
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34. WHO ARE THE ARBITRATORS?
The arbitrators are volunteers who have been trained
in the lemon law and in arbitration procedures by the
Attorney General's office and the Administrator.
35. IS A CONSUMER ENTITLED TO AN
ORAL HEARING?
Yes. You have an absolute right to an oral hearing.
At an oral hearing, both you and the manufacturer's
representative have the opportunity to present your
case in person before an arbitrator.
You may also elect to have a hearing on documents
only by indicating this preference on the "Request for
Arbitration" form. In a "documents only" hearing,
both sides must present their positions in writing.
If
you request a "documents only" hearing, the
manufacturer may object, in which case an oral
hearing will be scheduled.
36.
CAN YOU REQUEST AN
ADJOURNMENT OF A
H E A R I N G ?
Yes. Either party may apply to the arbitrator through
the Administrator, for a reasonable adjournment of
the
hearing date. Upon the finding of good cause,
the
arbitrator will reschedule the hearing.
37.
MAY A STENOGRAPH RECORD
OR
TAPE RECORDING BE MADE OF
THE HEARING?
Yes. Any party to the arbitration may arrange, on
its own, for a stenographic record or a tape
recording of
the hearing at its own expense even if
the other party
objects.
If
a stenographer or tape
recorder will be
used, reasonable prior
notice, through the
Administrator, must be
given to the other party.
38.
DO YOU NEED AN ATTORNEY FOR
THE ARBITRATION HEARING?
No. The New York Program is designed to be
accessible to you without the need for an attorney.
Both you and the manufacturer may use an attorney
(some manufacturers are always represented by an
attorney) or any other person to assist you if you so
choose. However, the law does not provide for the
recovery of attorneys fees for representation in an
arbitration proceeding.
39. HOW SHOULD YOU PREPARE FOR
THE HEARING?
You should keep a copy of your "Request for
Arbitration" form to use as a guide in preparing for
the hearing. The form contains much of the
information needed at the hearing. In addition, you are
advised to:
(a) Gather Documents. Bring to the hearing
records
of everything pertaining to the purchase and
the
problem, including a copy of the purchase contract
(invoice) or lease, all correspondence, work orders,
and warranty.
(b) Organize Records. Keep records in
chronological order. This will serve as a guide in
presenting the history of the problem.
(c) Prepare an Outline. This will help to present
and
remember relevant information.
(d) Prepare Questions to Ask the Manufacturer's
Representative. This will assure that no important
question is omitted.
(e) Arrange for Witnesses. The presence of
witnesses, especially auto mechanics, or their sworn
statements may be helpful to document the problem.
8
40. WHAT IF YOU DO NOT HAVE ALL
THE DOCUMENTS?
Upon payment of the filing fee and prior to the
hearing, you, or the manufacturer, may make a
written
request to the arbitrator, through the
Administrator, to
direct the other party to provide
any necessary
documents or other information.
Either party may also
request the arbitrator to
subpoena documents or
witnesses to appear at the
hearing.
For example, you may request that the manufacturer
furnish a copy of missing work orders and the
manufacturer may request that you produce a copy of
relevant tax information to determine whether you
took a deduction on your taxes for business use.
A sample letter requesting documents may be found
in this booklet.
41. MAY THE ARBITRATOR DIRECT
THAT THE CAR BE MADE
AVAILABLE AT THE HEARING?
Yes. The arbitrator may direct you to make the car
available, if possible, at the hearing. The arbitrator
has the discretion to examine or ride in the car in the
presence of both parties.
42. HOW SHOULD YOU PRESENT YOUR
CASE AT THE HEARING?
At the hearing, you should present your case in a
clear, organized and concise manner. You
are
advised
to:
(a) State the specific nature of the problem.
(b)
State any conversations with the dealer's or
manufacturer's representatives.
(c)
Describe and document, where possible, each
repair attempt.
(d)
Describe and document any new
developments
which may have occurred since
the "Request for
Arbitration" form was
submitted.
(e)
Offer proof of each point, especially those the
manufacturer may dispute.
(t)
Present any witness that may provide relevant
information.
(g)
State the relief requested.
(h)
At the end of t h e presentation, briefly
summarize the facts discussed.
43.
WHAT HAPPENS IF EITHER
PARTY
FAILS TO APPEAR AT THE
HEARING?
Unless the hearing has been properly rescheduled, if
either the manufacturer or you fail to appear at an oral
hearing, the arbitrator will nevertheless conduct the
hearing and issue a decision based upon the evidence
presented and any documents contained in the file.
44.
WHEN CAN YOU EXPECT A
DECISION?
You may expect a decision, generally, within 10 days
of the hearing. Sometimes, however, the arbitrator
requests that additional documents or information be
submitted, in which case the decision may be delayed.
45.
CAN YOU RECOVER THE FILING
FEE?
Yes.
If
you are successful, the arbitrator's decision in
your favor must include the
return
of the filing fee.
Also, if you settle the case any time before a decision
is rendered, you should seek to recover the filing fee.
9
46.
WHEN MUST A MANUFACTURER
COMPLY WITH AN ARBITRATOR'S
DECISION?
Within thirty days from the date you notify the
manufacturer of your acceptance of the arbitrator's
decision. In most cases, the manufacturer's
representative will contact you within this period to
arrange for the return of the car in exchange for either
a refund or a replacement car.
Failure of the manufacturer to comply within this time
period entitles you to recover an additional $25 for
each business day of noncompliance, up to $500.
If
the manufacturer does not voluntarily pay
any
applicable penalty, you may sue to recover
this
penalty in Small Claims Court. However,
this
deadline and penalties are not applicable where
you
request a replacement car built to order or with
options which are not comparable to the car being
replaced.
47.
WHAT HAPPENS IF THE
MANUFACTURER DOES NOT
COMPLY WITH THE ARBITRATOR'S
AWARD?
If the manufacturer does not comply with the award,
you can enforce the arbitrator's decision through the
courts by bringing an action to confirm the award.
This action must be commenced within one year of
receipt of the decision. You should consult a private
attorney if you wish to pursue this remedy. Ifyou are
successful, the Court will convert the arbitrator's
award into a court judgment and may award
reasonable attorney's fees. The court may also award
reasonable attorneys' fees incurred to enforce the
collection of the award.
48.
HOW IS A RETURN OF THE CAR
IMPLEMENTED?
The common procedure is to have all the affected
parties (you, the manufacturer's representative, and, if
the car is financed or leased, the lender's or the leasing
company's representative), meet at an agreed time and
place to execute the necessary papers to exchange the
car for a refund or replacement.
You may choose to return the car to either the selling
dealer or the dealer which attempted to repair the car.
No further shipping charges may be imposed for the
return of the car.
49.
UNDER WHAT CIRCUMSTANCES
CAN AN ARBITRATOR'S DECISION
BE MODIFIED?
The grounds for modification are very limited.
Generally, awards may be modified only to correct a
miscalculation or a technical mistake in the award.
For example, a modification may be requested where
the mileage deduction was miscalculated or the filing
fee was omitted from the refund.
50.
WHEN MUST
A
REQUEST FOR
MODIFICATION BE MADE?
Either party may seek a modification by the arbitrator
of the award by written application to the
Administrator within 20 days of receiving the award.
The other party will be given the opportunity to object
to the modification. The arbitrator must rule on all
such requests within 30 days after the request is
received. To modify an award after 20 days, an
application to a court may be necessary.
51.
CAN AN ARBITRATOR'S DECISION
BE CHALLENGED?
Either party may commence a lawsuit to challenge an
arbitrator's award within 90 days of receipt of the
award. However, the grounds for such challenges are
limited by law. Generally, the courts will uphold an
arbitrator's award if it is supported by evidence and is
grounded in reason. Reasonable attorney’s fees may
be awarded by the court if you are successful in
challenging or defending an arbitration award.
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52.
WHAT ROLE WILL THE
ATTORNEY
GENERAL'S OFFICE
OR THE
ADMINISTRATOR PLAY IF
AN
AWARD IS CHALLENGED IN
COURT?
Neither the Attorney General's Office nor the
Administrator is authorized to represent you in such
a challenge; this is the responsibility of your own
attorney. The role of the Administrator ends when the
arbitrator's award is sent to the parties.
53.
CAN YOU APPLY FOR ANOTHER
HEARING UNDER THE NEW YORK
PROGRAM IF YOU LOST THE
FIRST ONE?
It depends. A decision under the New York Program
is binding on both parties. However, if new facts
arise after a hearing was held, you may reapply for a
new hearing based on the new facts.
54.
DOES THE LEMON LAW LIMIT ANY
OF THE OTHER LEGAL REMEDIES
ALREADY AVAILABLE TO YOU?
No. The Lemon Law adds to your arsenal of existing
legal remedies. These legal remedies can be
explained by your attorney.
55.
CAN YOUR RIGHTS UNDER THE
LEMON LAW BE WAIVED?
No. Any contract clause which seeks to waive your
rights under the Lemon Law is void.
56.
HOW ARE YOU PROTECTED WHEN
BUYING A CAR PREVIOUSLY
RETURNED TO THE
MANUFACTURER UNDER THE
LEMON LAW?
When purchasing a car which was previously
determined to be a lemon and returned to the
manufacturer, you must be given a written,
conspicuous disclosure statement by the dealer
reading:
IMPORTANT: This vehicle was
returned to the manufacturer or dealer
because it did not conform to its
warranty and the defect or condition
was not fixed within a reasonable time
as provided by New York law.
This disclosure must also be printed on the car's
certificate of title by the New York State Department
of Motor Vehicles.
57.
WHERE CAN YOU GET HELP OR
FURTHER INFORMATION
REGARDING THE LEMON LAW?
You may contact any of the offices of Attorney
General listed at the end of this booklet or consult a
lawyer.
A consumer can seek redress under the New York Program by obtaining a “Request-for-Arbitration” form from the
Attorney General’s website: ag.ny.gov or any office of the Attorney General. The consumer completes and returns
this form, together with copies of all relevant supporting documents (including the bill of sale, repair work orders, and
any correspondence relating to the claim) to the Attorney General’s New Car Lemon Law Unit located at 28 Liberty
Street, New York, NY 10005.
12
Step 3.
Request for Filing Fee by Administrator
Upon receipt of the form, the Administrator writes to the consumer to request the payment of the filing fee. If, after
30 days, the Administrator has not received the filing fee from the consumer, it sends a second notice. If the fee is
still not received within another 30 days, the Request-for-Arbitration form is returned and the consumer is advised
that the case has been closed.
Step 4. Filing Date; Appointment of Arbitrator; Schedule of Hearing
The date the Administrator receives the filing fee from the consumer is considered the case "filing date." This date
marks the official beginning of the arbitration process. At this juncture, the Administrator appoints an arbitrator
and schedules a hearing for a specific date no later than 35 days from the "filing date." Oral-in person hearings are
scheduled to accommodate the needs of the consumer, both geographically and as to time-of-day. The consumer
elects on the Request-for-Arbitration form the most convenient site for the hearing from the over-50 locations
available.
Step 5.
Notice of Claim Sent to Manufacturer (and Third Party,
if
any); Manufacturer Responds;
Consumer's Reply
Within five days of the filing date, the Administrator sends a copy of the consumer's Request-for-Arbitration form,
together with all attachments, to the manufacturer’s designated contact person. If the car was financed or leased,
the finance company or bank to which the consumer makes his or her payments or the leasing company is also
notified of the consumer's claim and of the scheduled hearing date and is requested to submit relevant financial
information prior to the hearing date. The manufacturer is given 15 days from the filing date to respond to the
consumer's claim. If the consumer requested a hearing on documents only, the manufacturer may object and an oral
hearing will be scheduled. The Administrator mails any response received to the consumer, who may reply before
day 25. The Administrator mails a copy of the consumer's reply, if any, to the manufacturer.
Step 6.
PreHearing Discovery
Prior to the hearing, either party may request the arbitrator to direct the production of specified documents (such
as repair orders) or information, or request that a witness be subpoenaed. Under the regulations, an arbitrator may
draw a negative inference concerning any issue for which documents or witnesses were requested but not provided.
Step 7.
The Hearing
At the hearing, the consumer presents evidence and then the manufacturer presents its evidence. Each party, as well
as the arbitrator, may question the other party or any witness. The arbitrator administers an oath or affirmation to
each individual who testifies. Formal rules of evidence do not apply and each party is afforded a full and equal
opportunity to present his or her case. Typically, a hearing lasts between one and two hours. The arbitrator has the
discretion to examine and/or ride in the consumer's car, and both parties are afforded the opportunity to be present
and accompany the arbitrator on any examination or ride.
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Step 8.
The Decision
Regardless of the type of hearing -- oral (in person) or on documents only -- the arbitrator must render a decision
within 5 days following the hearing date (unless additional time was allowed for the submission of requested
documents) which is to be no more than 40 days from the filing date. Each decision must be signed and certified
by the arbitrator, contain a summary of both the issues in dispute and the evidence presented by each side, include
the arbitrator's findings and indicate whether or not the arbitrator, based on the stated findings, found that the
consumer qualifies for relief under the lemon law. If the arbitrator finds that the consumer is entitled to relief, the
arbitrator must award either a refund or a comparable replacement vehicle, depending on what the consumer
requested. The decision must contain a calculation of the award, where applicable, in accordance with the law,
taking into consideration, for example, any allowable deductions for excess mileage. A refund of the prescribed
filing fee must also be included as part of every award in favor of the consumer. The manufacturer must comply
with the award within 30 days from the date the consumer notifies the manufacturer of his or her acceptance of the
decision.
Step 9.
Administrator's Review of Decision Form
Once rendered, the decision is sent to the Administrator which reviews it for technical completeness and accuracy
and to eliminate arithmetic or typographical errors. The Administrator must obtain the approval of the arbitrator
for any corrections. Once finalized, the Administrator mails copies of the decision to each of the parties and the
Attorney General's Office within 45 days of the filing date.
Step 10. Modification and Appeal
Where a party believes a mistake was made, he or she may seek a modification within 20 days of the receipt of the
award. Such a request for modification must be acted upon by the arbitrator within 30 days. The grounds for
modification are limited by law (CPLR §751l(c)). The decision is binding on both parties but may be subject to
judicial review as permitted pursuant to CPLR Article 75. Either party may commence a court proceeding to vacate
or modify an award within 90 days of its receipt (CPLR §751l(b)).
14
SAMPLE LETTER TO THE MANUFACTURER
GIVING NOTICE OF THE DEALER'S
REFUSAL TO MAKE REPAIRS
CERTIFIED MAIL
RETURN RECEIPT REQUESTED
To Whom It May Concern:
I am writing this letter pursuant to the New York New Car Lemon Law, General Business
Law,
section 198-a(b)(2), to notify you that your dealer [insert name] has refused to make repairs to my car within
seven
days of receiving notice regarding a problem with my car.
My car has the problem(s) described below which has not been repaired. As a result of this problem,
the value of the car to me has been substantially impaired.
Problem:
Unless repairs are commenced within 20 days from the date you receive this notice, under
General
Business Law, §198-a(b)(2), you will be required to accept return of the car and, at my option, either
issue me a full
refund of the purchase price or replace it with a comparable car.
I await your prompt reply.
Sincerely,
15
SAMPLE REQUEST FOR DOCUMENTS
Your Name
Address
City, State, Zip
NYS Dispute Resolution Association
[Fill in Specific Dispute Center's Address]
Attention: Arbitrator [Name]
Re: Lemon Law Arbitration
#
----
Request for Documents
Dear Arbitrator:
Pursuant to section 300.9 of the New York Lemon Law Arbitration Regulations, I am requesting that you
direct the manufacturer to obtain and forward to the Case Administrator legible copies of the following documents
and information no later than three days before the scheduled hearing date:
1.
Each and every repair order for work performed on my car, any mechanics or technician's notes, email
or written comments from any manufacturer's or dealer's representative relating to the diagnosis, repair, defect or
condition complained of in my Request for Arbitration.
2.
Any service bulletin and recall notice issued that may relate to the problem of: [describe your problem,
for example, stalling, lack of power on acceleration, etc.]
3.
Any report or correspondence regarding my car's problems.
4.
Any other documents or information that may relate directly to this arbitration.
Your prompt attention to this request is greatly appreciated.
Very truly yours,
THE NEW CAR LEMON LAW
i
17
(ii)
any insurance or other costs expended by the lessor for the benefit of the lessee.
(8) "Capitalized cost" means the aggregate deposit and rental payments previously paid to the lessor for
(b)
(1)
the leased vehicle less service fees.
If
a new motor vehicle which is sold and registered in this state does not conform to all
express
warranties during the first eighteen thousand miles of operation or during the period of
two years following the date of original delivery of the motor vehicle to such consumer,
whichever is the
earlier date, the consumer shall during such period report the nonconformity,
defect or condition to
the manufacturer, its agent or its authorized dealer.
If
the
notification is received by the
manufacturer's agent or authorized dealer, the agent or dealer shall
within seven days forward written
notice thereof to the manufacturer by certified mail, return
receipt requested, and shall include in
such notice a statement indicating whether or not
such repairs have been undertaken. The
manufacturer, its agent or its authorized dealer shall
correct said nonconformity, defect or condition
at no charge to the consumer, notwithstanding the fact
that such repairs are made after the expiration
of such period of operation or such two year period.
(2)
If
a manufacturer's agent or authorized dealer refuses to undertake repairs within seven days of
receipt of the notice by a consumer of a nonconformity, defect or condition pursuant to paragraph
one of this subdivision, the consumer may immediately forward written notice of such refusal to the
manufacturer by certified mail, return receipt requested. The manufacturer or its agent shall have
twenty days from receipt of such notice of refusal to commence such repairs.
If
within such twenty
day period, the manufacturer or its authorized agent fails to commence such repairs, the
manufacturer at the option of the consumer, shall replace the motor vehicle with a comparable
motor
vehicle, or accept return of the vehicle from the consumer and refund to the consumer the full
purchase price or, if applicable, the lease price and any trade-in allowance plus fees and charges.
Such fees and charges shall include but not be limited to all license fees, registration fees and any
similar governmental charges, less an allowance for the consumer's use of the vehicle in excess of
the first twelve thousand miles of operation pursuant to the mileage deduction formula defined in
paragraph four of subdivision (a) of this section, and a reasonable allowance for any damage not
attributable to normal wear or improvements.
(c)
(1)
If,
within the period specified in subdivision (b) of this section, the manufacturer or its agents or
authorized dealers are unable to repair or correct any defect or condition which substantially impairs
the value of the motor vehicle to the consumer after a reasonable number of attempts, the
manufacturer, at the option of the consumer, shall replace the motor vehicle with a comparable
motor
vehicle, or accept return of the vehicle from the consumer and refund to the consumer the full
purchase price or, if applicable, the lease price and any trade-in allowance plus fees and charges.
Any return of a motor vehicle may, at the option of the consumer, be made to the dealer or other
authorized agent of the manufacturer who sold such vehicle to the consumer or to the dealer or other
authorized agent who attempted to repair or correct the defect or condition which necessitated the
return and shall not be subject to any further shipping charges. Such fees and charges shall include
but not be limited to all license fees, registration fees and any similar governmental charges, less an
allowance for the consumer's use of the vehicle in excess of the first twelve thousand miles of
operation pursuant to the mileage deduction formula defined in paragraph four of subdivision (a) of
18
this section, and a reasonable allowance for any damage not attributable to normal wear or
improvements.
(2)
A manufacturer which accepts return of the motor vehicle because the motor vehicle does not
conform to its warranty shall notify the commissioner of the department of motor vehicles that the
motor vehicle was returned to the manufacturer for nonconformity to its warranty and shall disclose,
in accordance with the provisions of section four hundred seventeen-a of the vehicle and traffic law
prior to resale either at wholesale or retail, that it was previously returned to the manufacturer for
nonconformity to its warranty. Refunds shall be made to the consumer and lienholder, if any, as their
interests may appear on the records of ownership kept by the department of motor vehicles. Refunds
shall be accompanied by the proper application for credit or refund of state and local sales taxes as
published by the Department of Taxation and Finance and by a notice that the sales tax paid on the
purchase price, lease price or portion thereof being refunded is refundable by the Commissioner of
Taxation and Finance in accordance with the provisions of subdivision (f) of section eleven hundred
thirty-nine of the tax law.
If
applicable, refunds shall be made to the lessor and lessee as their
interests may appear on the records of ownership kept by the department of motor vehicles, as
follows: the lessee shall receive the capitalized cost and the lessor shall receive the lease price less
the aggregate deposit and rental payments previously paid to the lessor for the leased vehicle. The
terms of the lease shall be deemed terminated contemporaneously with the date of the arbitrator's
decision and award and no penalty for early termination shall be assessed as a result thereof. Refunds
shall be accompanied by the proper application form for credit or refund of state and local sales tax
as published by the department of taxation and finance and a notice that the sales tax paid on the
lease price or portion thereof being refunded is refundable by the Commissioner of Taxation and
Finance in accordance with the provisions of subdivision (f) of section eleven hundred thirty-nine
of the tax law.
(3) It shall be an affirmative defense to any claim under this section that:
(i) the nonconformity, defect or condition does not substantially impair such value; or
(ii) the nonconformity, defect or condition is the result of abuse, neglect or unauthorized
modifications or alterations of the motor vehicle.
(d)
It shall be presumed that a reasonable number of attempts have been undertaken to conform a motor vehicle
to the applicable express warranties, if:
(1) the same nonconformity, defect or condition has been subject to repair four or more times by the
manufacturer or its agents or authorized dealers within the first eighteen thousand miles of operation
or during the period of two years following the date of original delivery of the motor vehicle to a
consumer, whichever is the earlier date, but such nonconformity, defect or condition continues to
exist: or
(2) the vehicle is out of service by reason of repair of one or more nonconformities, defects or conditions
for a cumulative total of thirty or more calendar days during either period, whichever is the earlier
date.
19
(e)
The term of an express warranty, the two year warranty period and the
thirty
day out of service period shall
be extended by any time during which repair services are not available to the consumer because of a war,
invasion or strike, fire, flood or other natural disaster.
(t)
Nothing in this section shall in any way limit the rights or remedies which are otherwise available to a
consumer under any other law.
(g)
If
a
manufacturer has established an informal dispute settlement mechanism, such mechanism shall comply
in all respects with the provisions of this section and the provisions of subdivision (c) of this section
concerning refunds or replacement shall not apply to any consumer who has not first resorted to such
mechanism.
In
the event that an arbitrator in such an informal dispute mechanism awards a refund or
replacement vehicle, he or she shall not reduce the award to an amount less than the full purchase price or
the lease price, if applicable, or a vehicle of equal value, plus all fees and charges except to the extent such
reductions are specifically permitted under subdivision (c) of this section.
(h)
A manufacturer shall have up to thirty days from the date the consumer notifies the manufacturer of his or
her acceptance of the arbitrator's decision to comply with the terms of that decision. Failure to comply with
the thirty day limitation shall also entitle the consumer to recover a fee of twenty-five dollars for each
business day of noncompliance up to five hundred dollars. Provided, however, that nothing contained in
this subdivision shall impose any liability on a manufacturer where a delay beyond the thirty day period is
attributable to a consumer who has requested a replacement vehicle built to order or with options that are
not comparable to the vehicle being replaced or otherwise made compliance impossible within said period.
In
no event shall a consumer who has resorted to an informal dispute settlement mechanism be precluded from
seeking the rights or remedies available by law.
(i)
Any agreement entered into by a consumer for the purchase of a new motor vehicle which waives, limits or
disclaims the rights set forth in this section shall be void as contrary to public policy. Said rights shall inure
to a subsequent transferee of such motor vehicle.
G) Any action brought pursuant to this section shall be commenced within four years of the date of original
delivery of the motor vehicle to the consumer.
(k)
Each consumer shall have the option of submitting any dispute arising under this section upon the payment
of a prescribed filing fee to an alternate arbitration mechanism established pursuant to regulations
promulgated hereunder by the New York state attorney general. Upon application of the consumer and
payment of the filing fee, all manufacturers shall submit to such alternate arbitration.
Such alternate arbitration shall be conducted by a professional arbitrator or arbitration firm appointed by and
under regulations established by the New York state attorney general. Such mechanism shall insure the
personal objectivity of its arbitrators and the right of each party to present its case, to be in attendance during
any presentation made by the other party and to rebut or refute such presentation. In all other respects, such
alternate arbitration mechanism shall be governed by article seventy-five of the civil practice law and rules;
provided, however, that notwithstanding paragraph (i) of subdivision (a) of section seventy-five hundred two
of the civil practice law and rules, special proceedings brought before a court pursuant to such article
seventy-five in relation to an arbitration hereunder shall be brought only in the county where the consumer
resides or where the arbitration was held or is pending.
20
(1)
A court may award reasonable attorney's fees to a prevailing plaintiff or to a consumer who prevails in any
judicial action or proceeding arising out of an arbitration proceeding held pursuant to subdivision (k) of this
section.
In
the event a prevailing plaintiff is required to retain the services of an attorney to enforce the
collection of an award granted pursuant to this section, the court may assess against the manufacturer
reasonable attorney's fees for services rendered to enforce collection of said award.
(m) (1) Each manufacturer shall require that each informal dispute settlement mechanism used by it
provide, at a minimum, the following:
(i) that the arbitrators participating in such mechanism are trained in arbitration and familiar
with the provisions of this section, that the arbitrators and consumers who request arbitration
are provided with a written copy of the provisions of this section, together with the notice set
forth below entitled ''NEW CAR LEMON LAW BILL OF RIGHTS", and that consumers,
upon request, are given an opportunity to make an oral presentation to the arbitrator;
(ii) that the rights and procedures used in the mechanism comply with federal regulations
promulgated by the federal trade commission relating to informal dispute settlement
mechanisms; and
(iii) that the remedies set forth under subdivision (c) of this section are awarded if, after a
reasonable number of attempts have been undertaken under subdivision (d) of this section
to conform the vehicle to the express warranties, the defect or nonconformity still exists.
(2) The following notice shall be provided to consumers and arbitrators and shall be printed in
conspicuous ten point bold face type:
NEW CAR LEMON LAW BILL OF RIGHTS
(1)
INADDITION TOANY WARRANTIES OFFERED BY THE MANUFACTURER,
YOUR NEW CAR, IF PURCHASED AND REGISTERED IN NEW YORK
STATE, IS WARRANTED AGAINST ALL MATERIAL DEFECTS FOR
EIGHTEEN THOUSAND MILES OR TWO YEARS, WHICHEVER COMES
FIRST.
(2)
YOU MUST REPORT ANY PROBLEMS TO THE MANUFACTURER, ITS
AGENT, OR AUTHORIZED DEALER.
(3)
UPON NOTIFICATION, THE PROBLEM MUST BE CORRECTED FREE OF
CHARGE.
(4)
IF THE SAME PROBLEM CANNOT BE REPAIRED AFTER FOUR OR MORE
ATTEMPTS;OR IF YOUR CAR IS OUT OF SERVICE TO REPAIR A PROBLEM
FOR A TOTAL OF THIRTY DAYS DURING THE WARRANTY PERIOD; OR
IF THE MANUFACTURER OR ITS AGENT REFUSES TO REPAIR A
SUBSTANTIAL DEFECT OR CONDITION WITHIN TWENTY DAYS OF
RECEIPT OF NOTICE SENT BY YOU TO THE MANUFACTURER BY
CERTIFIED MAIL, RETURN RECEIPT REQUESTED; THEN YOU MAY BE
ENTITLED TO EITHER A COMPARABLE CAR OR A REFUND OF YOUR
PURCHASE PRICE, PLUS LICENSE AND REGISTRATION FEES, MINUS A
MILEAGE ALLOWANCE ONLY IF THE VEHICLE HAS BEEN DRNEN MORE
THAN 12,000 MILES. SPECIAL NOTIFICATION REQUIREMENTS MAY
APPLY TO MOTOR HOMES.
(5)
A MANUFACTURER MAY DENY LIABILITY IF THE PROBLEM IS CAUSED
BYABUSE, NEGLECT, ORUNAUTHORIZED MODIFICATIONS OF THE CAR.
(6)
A MANUFACTURER MAY REFUSE TO EXCHANGE A COMPARABLE CAR
OR REFUND YOUR PURCHASE PRICE IF THE PROBLEM DOES NOT
SUBSTANTIALLY IMPAIR THE VALUE OF YOUR CAR.
(7)
IF A MANUFACTURER HAS ESTABLISHED AN ARBITRATION
PROCEDURE, THE MANUFACTURER MAY REFUSE TO EXCHANGE A
COMPARABLE CAR OR REFUND YOUR PURCHASE PRICE UNTIL YOU
FIRST RESORT TO THE PROCEDURE.
(8)
IF THE MANUFACTURER DOES NOT HAVE AN ARBITRATION
PROCEDURE, YOU MAY RESORT TO ANY REMEDY BY LAW AND MAY
BE ENTITLED TO YOUR ATTORNEYS FEES IF YOU PREYAIL.
(9)
NO CONTRACT OR AGREEMENT CAN VOID ANY OF THESE RIGHTS.
(10)
AS AN ALTERNATIVE TO THE ARBITRATION PROCEDURE MADE
AVAILABLE THROUGH THE MANUFACTURER, YOU MAY INSTEAD
CHOOSE TO SUBMIT YOUR CLAIM TO AN INDEPENDENT ARBITRATOR,
APPROVED BY THE ATTORNEY GENERAL. YOU MAY HAVE TO PAY A
FEE FOR SUCH AN ARBITRATION. CONTACT YOUR LOCAL CONSUMER
OFFICE OR ATTORNEY GENERAL'S OFFICE TO FIND OUT HOW TO
ARRANGE FOR INDEPENDENT ARBITRATION.
(3)
All informal dispute settlement mechanisms shall maintain the following records:
(i)
the number of purchase price and lease price refunds and vehicle replacements requested, the
number of each awarded in arbitration, the amount of each award and the number of awards
that were complied with in a timely manner;
(ii)
the number of awards where additional repairs or a warranty extension was the most
prominent remedy, the amount or value of each award, and the number of such awards that
were complied with in a timely manner;
(iii)
the number and total dollar amount of awards where some form of reimbursement for
21
22
expenses or compensation for losses was the most prominent remedy, the amount or value
of each award and the number of such awards that were complied with in a timely manner;
and
(iv)
the average number of days from the date of a consumer's initial request to arbitrate until the
date of the final arbitrator's decision and the average number of days from the date of the
final arbitrator's decision to the date on which performance was satisfactorily carried out.
(n)
Special provisions applicable to motor homes:
(1)
To the extent that the provisions of this subdivision are inconsistent with the other provisions of this
section, the provisions of this subdivision shall apply.
(2)
For purposes of this section, the manufacturer of a motor home is any person, partnership,
corporation, factory branch, or other entity engaged in the business of manufacturing or assembling
new motor homes for sale in this state.
(3)
This section does not apply to the living facilities of motor homes, which are the portions thereof
designed, used or maintained primarily as living quarters and shall include, but not be limited to the
flooring, plumbing system and fixtures, roof, air conditioner, furnace, generator, electrical systems
other than automotive circuits, the side entrance door, exterior compartments, and windows other
than the windshield and driver and front passenger windows.
(4)
If, within the first eighteen thousand miles of operation or during the period of two years following
the date of original delivery of the motor vehicle to such consumer, whichever is the earlier date, the
manufacturer of a motor home or its agents or its authorized dealers or repair shops to which they
refer a customer are unable to repair or correct any covered defect or condition which substantially
impairs the value of the motor home to the consumer after a reasonable number of attempts, the
motor home manufacturer, at the option of the consumer, shall replace the motor home with a
comparable motor home, or accept return of the motor home from the consumer and refund to the
consumer the full purchase price or, if applicable, the lease price and any trade-in allowance plus fees
and charges as well as the other fees and charges set forth in paragraph one of subdivision (c) of this
section.
(5)
If an agent or authorized dealer of a motor home manufacturer or a repair shop to which they refer
a consumer refuses to undertake repairs within seven days of receipt of notice by a consumer of a
nonconformity, defect or condition within the first eighteen thousand miles of operation or during
the period of two years following the date of original delivery of the motor home to such consumer,
whichever is the earlier date, the consumer may immediately forward written notice of such refusal
to the motor home manufacturer by certified mail, return receipt requested. The motor home
manufacturer or its authorized agent or a repair shop to which they refer a consumer shall have
twenty days from receipt of such notice of refusal to commence such repairs. If within such twenty-
day period, the motor home manufacturer or its authorized agent or repair shop to which they refer
a
consumer, fails to commence such repairs, the motor home manufacturer, at the option of the
consumer, shall replace the motor home with a comparable motor home, or accept return of the
23
motor home from the consumer and refund to the consumer the full purchase price or, if applicable,
the lease price, and any trade-in allowance or other charges, fees, or allowances. Such fees and
charges shall include but not be limited to all license fees, registration fees, and any similar
governmental charges, less an allowance for the consumer's use of the vehicle in excess of the first
twelve thousand miles of operation pursuant to the mileage deduction formula defined in paragraph
four of subdivision (a) of this section, and a reasonable allowance for any damage not attributable
to normal wear or improvements.
(6)
If within the first eighteen thousand miles of operation or during the period of two years following
the date of original delivery of the motor home to such consumer, whichever is the earlier date, the
same covered nonconformity, defect or condition in a motor home has been subject to repair two
times or a motor home has been out of service by reason of repair for twenty-one days, whichever
occurs first, the consumer must have reported this to the motor home manufacturer or its authorized
dealer by certified mail, return receipt requested, and may institute any proceeding or other action
pursuant to this section if the motor home has been out of service by reason of three repair attempts
or for at least thirty days. The special notification requirements of this paragraph shall only apply
if the manufacturer or its authorized dealer provides a prior written copy of the requirements of this
paragraph to the consumer and receipt of the notice is acknowledged by the consumer in writing.
If the consumer who has received notice from the manufacturer fails to comply with the special
notification requirements of this paragraph, additional repair attempts or days out of service by
reason of repair shall not be taken into account in determining whether the consumer is entitled to
a
remedy provided in paragraph four of this subdivision. However, additional repair attempts or days
out of service by reason of repair that occur after the consumer complies with such special
notification requirements shall be taken into account in making that determination. It shall not count
as a repair attempt if the repair facility is not authorized by the applicable motor home manufacturer
to
perform warranty work on the identified nonconformity. It shall count as only one repair attempt
for
a motor home if the same nonconformity is being addressed a second time due to the consumer's
decision to continue traveling and to seek the repair of the same nonconformity at another repair
facility rather than wait for the initial repair to be completed.
(7)
Nothing in this section shall in any way limit any rights, remedies or causes of action that a consumer
or motor home manufacturer may otherwise have against the manufacturer of the motor home's
chassis, or its propulsion and other components.
(8)
(A) Each manufacturer shall require that each informal dispute settlement mechanism used by it
provide, at a minimum, the following:
(i)
that the arbitrators participating in such mechanism are trained in arbitration and
familiar with the provisions of this section, that the arbitrators and consumers who request
arbitration are provided with a written copy of the provisions of this section, together with
the notice set forth below entitled "NEW MOTOR HOME LEMON LAW BILL OF
RIGHTS", and that consumers, upon request, are given an opportunity to make an oral
presentation
to
the arbitrator;
(ii)
that the rights and procedures used in the mechanism comply with federal regulations
24
promulgated by the federal trade commission relating to informal dispute settlement
mechanisms; and
(iii) that the remedies set forth under subdivision (c) of this section are awarded if, after
a reasonable number of attempts have been undertaken under subdivision (d) of this section
to conform the vehicle to the express warranties, the defect or nonconformity still exists.
(B) Notwithstanding the provisions of paragraph two of subdivision (m) of this section, the
following provisions shall apply for purposes of this subdivision:
The following notice shall be provided to consumers and arbitrators and shall be printed in
conspicuous ten point bold face type:
NEW MOTOR HOME LEMON LAW BILL OF RIGHTS
(1)
IN ADDITION TO ANY WARRANTIES OFFERED BY THE
MANUFACTURERS, YOUR NEW MOTOR HOME, IF PURCHASED AND
REGISTERED IN NEW YORK STATE, IS WARRANTED AGAINST ALL MATERIAL
DEFECTS FOR EIGHTEEN THOUSAND MILES OR TWO YEARS, WHICHEVER
COMES FIRST. HOWEVER, THIS ADDITIONAL WARRANTY DOES NOT APPLY
TO THE LNING FACILITIES OF MOTOR HOMES, WHICH ARE THE PORTION
THEREOF DESIGNED, USED OR MAINTAINED PRIMARILY AS LNING
QUARTERS
AND SHALL INCLUDE, BUT NOT BE LIMITED TO THE FLOORING,
PLUMBING
SYSTEM AND FIXTURES, ROOF AIR CONDITIONER, FURNACE,
GENERATOR,
ELECTRICAL SYSTEMS OTHER THAN AUTOMOTIVE CIRCUITS,
THE SIDE
ENTRANCE DOOR, EXTERIOR COMPARTMENTS, AND WINDOWS
OTHER THAN
THE WINDSHIELD AND DRIVER AND FRONT PASSENGER
WINDOWS.
(2)
YOU MUST REPORT ANY PROBLEMS TO THE MANUFACTURER, ITS
AGENT, OR AUTHORIZED DEALER.
(3) UPON NOTIFICATION, THE PROBLEM MUST BE CORRECTED FREE OF
CHARGE.
(4)
IF, WITHIN THE FIRST EIGHTEEN THOUSAND MILES OF OPERATION OR
DURING THE PERIOD OF TWO YEARS FOLLOWING THE DATE OF ORIGINAL
DELIVERY OF THE MOTOR VEHICLE TO SUCH CONSUMER, WHICHEVER IS THE
EARLIER DATE, THE MANUFACTURER OF A MOTOR HOME OR ITS AGENTS OR
ITS AUTHORIZED DEALERS OR REPAIR SHOPS TO WHICH THEY REFER A
CONSUMER ARE UNABLE TOREPAIR OR CORRECT ANY COVERED DEFECT OR
CONDITION WHICH SUBSTANTIALLY IMPAIRS THE VALUE OF THE MOTOR
HOME TO THE CONSUMER AFTER A REASONABLE NUMBER OF ATTEMPTS,
THE MOTOR HOME MANUFACTURER, AT THE OPTION OF THE CONSUMER,
SHALL REPLACE THE MOTOR HOME WITH A COMPARABLE MOTOR HOME, OR
25
ACCEPT RETURN OF THE MOTOR HOME FROM THE CONSUMER AND REFUND
TO THE CONSUMER THE FULL PURCHASE PRICE OR, IF APPLICABLE, THE
LEASE PRICE AND ANY TRADE-IN ALLOWANCE,PLUS FEES AND CHARGES, AS
WELL AS THE OTHER FEES AND CHARGES, INCLUDING BUT NOT LIMITED TO
ALLLICENSE FEES,REGISTRATION FEES, AND ANY SIMILAR GOVERNMENTAL
CHARGES, LESS AN ALLOWANCE FOR THE CONSUMER'S USE OF THE VEHICLE
IN EXCESS OF TWELVE THOUSAND MILES TIMES THE PURCHASE PRICE, OR
THE LEASE PRICE IF APPLICABLE, OF THE VEHICLE DIVIDED BY ONE
HUNDRED THOUSAND MILES, AND A REASONABLE ALWWANCE FOR ANY
DAMAGE NOT ATTRIBUTABLE TO NORMAL WEAR OR IMPROVEMENTS.
(5) SPECIAL NOTICE PROVISION: IF WITHIN EIGHTEEN THOUSAND MILES
OR
TWO YEARS, WHICHEVER COMES FIRST, THE SAME COVERED
NONCONFORMITY, DEFECT OR CONDITION IN YOUR MOTOR HOME HAS BEEN
SUBJECT TO REPAIR TWO TIMES OR YOUR MOTOR HOME HAS BEEN OUT OF
SERVICE BY REASON OF REPAIR FOR TWENTY-ONE DAYS, WHICHEVER
COMES FIRST, YOU MUST HAVE REPORTED THIS TO THE MOTOR HOME
MANUFACTURER OR ITS AUTHORIZED DEALER BY CERTIFIED MAIL, RETURN
RECEIPT REQUESTED, AND YOU MAY INSTITUTE ANY PROCEEDING OR OTHER
ACTION PURSUANT TO THE LEMON LAW IF THE MOTOR HOME HAS BEEN OUT
OF SERVICE BY REASON OF THREE REPAIR ATTEMPTS OR FOR AT LEAST
THIRTY DAYS. THIS SPECIAL NOTICE REQUIREMENT SHALL ONLY APPLY IF
THE MANUFACTURER OR ITS AUTHORIZED DEALER PROVIDES WRITTEN
COPY OF THE REQUIREMENTS OF THIS PARAGRAPH TO YOU AND RECEIPT OF
NOTICE IS ACKNOWLEDGED BY YOU IN WRITING. IF YOU FAIL TO COMPLY
WITH THE SPECIAL NOTIFICATION REQUIREMENTS OF THIS PARAGRAPH,
ADDITIONAL REPAIR ATTEMPTS OR DAYS OUT OF SERVICE BY REASON OF
REPAIR SHALL NOT BE TAKEN INTO ACCOUNT IN DETERMINING WHETHER
YOU ARE ENTITLED TO A REMEDY PROVIDED IN PARAGRAPH FOUR.
HOWEVER, ADDITIONAL REPAIR ATTEMPTS OR DAYS OUT OF SERVICE BY
REASON OF REPAIR THAT OCCUR AFTER YOU COMPLY WITH SUCH SPECIAL
NOTIFICATION REQUIREMENTS SHALL BE TAKEN INTO ACCOUNT IN MAKING
THAT DETERMINATION.
NOTICE TO THE MANUFACTURER SHALL BE SENT TO THE FOLLOWING:
NOTICE TO THE DEALER SHOULD BE SENT TO THE FOLLOWING:
26
(6) A MANUFACTURER MAY DENY LIABILITY IF THE PROBLEM IS CAUSED
BY ABUSE, NEGLECT, OR UNAUTHORIZED MODIFICATIONS OF THE MOTOR
HOME.
(7) A MANUFACTURER MAY REFUSE TO EXCHANGE A COMPARABLE
MOTOR HOME OR REFUND YOUR PURCHASE PRICE IF THE PROBLEM IS NOT
COVERED BY THE LEMON LAW OR DOES NOT SUBSTANTIALLY IMPAIR THE
VALUE OF YOUR MOTOR HOME.
(8) IF A MANUFACTURER HAS ESTABLISHED AN ARBITRATION
PROCEDURE, THE MANUFACTURER MAY REFUSE TO EXCHANGE A
COMPARABLE MOTOR HOME OR REFUND YOUR PURCHASE PRICE UNTIL YOU
FIRST RESORT TO THE PROCEDURE.
(9) IF THE MANUFACTURER DOES NOT HAVE AN ARBITRATION
PROCEDURE, YOU MAY RESORT TO ANY REMEDY BY LAW AND MAY BE
ENTITLED TO YOUR ATTORNEY'S FEES IF YOU PREVAIL.
(10) NO CONTRACT OR AGREEMENT CAN VOID ANY OF THESE RIGHTS.
(11)
AS AN ALTERNATIVE TO THE ARBITRATION PROCEDURE MADE
AVAILABLE THROUGH THE MANUFACTURER, YOU MAY INSTEAD CHOOSE TO
SUBMIT YOUR CLAIM TO AN INDEPENDENT ARBITRATOR, APPROVED BY THE
ATTORNEY GENERAL. YOU MAY HAVE TO PAY A FEE FOR SUCH
ARBITRATION. CONTACT YOUR LOCAL CONSUMER OFFICE OR ATTORNEY
GENERAL'S OFFICE TO FIND OUT HOW TO ARRANGE FOR INDEPENDENT
ARBITRATION.
(o) At the time of purchase or lease of a motor vehicle from an authorized dealer in this state, the manufacturer
shall provide to the dealer or leaseholder, and the dealer or leaseholder shall provide to the consumer a
notice, printed in not less than eight point bold face type, entitled "New Car Lemon Law Bill of Rights".
The text of such notice shall be identical with the notice required by paragraph two of subdivision (m) of
this section.
27
ARBITRATION PROGRAM REGULATIONS
Pursuant to General Business Law
Sections 198-a and 198-b
Title 13 NYCRR Chap. VIII
Part 300
New York New and Used Car
Lemon Law Arbitration
Program Regulations
Section 300.1 Purpose
300.2 Definitions
300.3 Appointment of Administrator
300.4 Consumer's Request for Arbitration
300.5 Filing Date
300.6 Assignment of Arbitrator
300.7 Scheduling of Arbitration Hearing
300.8 Adjournments
300.9 Request for Additional Information or Documents
300.10 Representation by Counsel or Third Party
300.11 Interpreters
300.12 Hearing Procedure
300.13 Hearing on Documents Only
300.14 Defaults
300.15 Withdrawal or Settlement Prior to Decision
300.16 Decision
300.17 Record keeping
300.18
Miscellaneous Provisions
Section 300.1 Purpose
Section 300.2 Definitions
Section 300.4 Consumer's Request for Arbitration
Section 300.3 Appointment of Administrator
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Section 300.5 Filing Date
received
Section 300.6 Assignment of Arbitrator
i
filing
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Section 300.7 Scheduling of Arbitration Hearings
Section 300.8 Adjournments
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Section 300.9 Request for Additional Information or Documents
Section 300.10 Representation by Counsel or Third Party
Section 300.11 Interpreters
Section 300.12 Hearing Procedure
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Section 300.13 Hearing on Documents Only
Section 300.14 Defaults
Section 300.15 Withdrawal or Settlement Prior to Decision
Section 300.16 The Decision
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Section 300.17 Record keeping
Section 300.18 Miscellaneous Provisions
i
REGIONAL OFFICES OF THE ATTORNEY GENERAL
Albany
State Capitol
Albany, NY 12224
(518) 776-2307
Binghamton
State Office Building
44 Hawley Street, 17
th
Floor
Binghamton, NY 13901
(607) 251-2764
Brooklyn
55 Hanson Place, Suite 1080
Brooklyn, NY 11217
(718) 560-2040
Buffalo
Main Place Tower, Suite 300A
350 Main Street
Buffalo, NY 14202
(716)853-8404
Harlem
163 West 125
th
Street
New York, NY 10027
(212) 364-6010
Nassau
200 Old Country Road
Suite 240
Mineola, NY 11501
(516) 248-3300
New York City
28 Liberty Street
New York, NY 10005
(212) 416-8300
Plattsburgh
43 Durkee St., Suite 700
Plattsburgh, NY 12901
(518) 562-3282
Poughkeepsie
One Civic Center Plaza
Suite 401
Poughkeepsie, NY 12601
(845) 485-3900
Rochester
144 Exchange Boulevard
Rochester, NY 14615
(585) 327-3240
Suffolk
300 Motor Parkway
Hauppauge, NY 11788
(631) 231-2401
Syracuse
300 South State Street
Suite 300
Syracuse, NY 13202
(315) 448-4800
Utica
207 Genesee St., Room 508
Utica, NY 13501
(315) 864-2000
Watertown
Dulles State Office Building
317 Washington Street
Watertown, NY 13601
(315) 523-6080
Westchester
44 South Broadway
White Plains, NY 10601
(914) 422-8755
Consumer Complaint
telephone number:
1-800-771-7755
For the Hearing Impaired:
1-800-788-9898
34
Additional free copies of "New York's New Car Lemon Law: A Guide for
Consumers" are available from the New York State Department of Law, 28 Liberty
Street, New York, NY 10005 or from any office of the Attorney General. The Guide
may also be downloaded from the Attorney General’s website: www.ag.ny.gov
This Guide was written by: Stephen Mindell, Special Assistant Attorney General,
under the supervision of the Assistant Attorney General In Charge, Bureau of
Consumer Frauds and Protection.
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