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STANDARDS OF THE ARIZONA LEMON LAW

The following is an brief explanation of most relevant provisions of the Arizona lemon law. The complete text of the lemon law can be found at Ariz. Rev. Stat. section 44-1261 et seq.

VEHICLES COVERED BY THE ARIZONA LEMON LAW

The Arizona lemon law covers motor vehicles, defined as self-propelled vehicles designated primarily for the transportation of persons or property over public highways, including the selfpropelled vehicle and chassis of motor homes. The lemon law appears to cover used vehicles.

The lemon law does not cover the portions of a motor home designed, used or maintained primarily as a mobile dwelling, office or commercial space, or vehicles with a declared gross weight over 10,000 pounds.

CONSUMERS COVERED BY THE ARIZONA LEMON LAW

The Arizona lemon law covers the following consumers:

  1. The purchaser of a motor vehicle for purposes other than resale;

  2. Any person to whom the motor vehicle is transferred during the duration of an express warranty applicable to the motor vehicle; and

  3. Any other person entitled by the terms of the warranty to enforce its obligations. The lemon law appears not to cover a lessee.

PROBLEMS COVERED BY THE ARIZONA LEMON LAW

The lemon law covers any defect or condition that substantially impairs the use and value of the motor vehicle to the consumer. This is referred to as a nonconformity. The lemon law provides manufacturers with an affirmative defense if it can be shown that the nonconformity is the result of abuse, neglect, or unauthorized modifications or alterations of the motor vehicle.

MANUFACTURER‘S DUTY TO REPAIR

If a motor vehicle does not conform to all applicable express warranties, and the consumer reports the nonconformity to the manufacturer, its agent or authorized dealer during the shorter of the following:

  1. the term of the express warranty, or

  2. the period of two years or 24,000 miles following the date of the motor vehicle‘s original delivery to the consumer, whichever is earlier;

then the manufacturer, its agent, an authorized dealer or the issuer of the warranty must make the necessary repairs to conform the motor vehicle to the express warranty.

This information is not intended as legal advice. Please direct specific questions to your legal counsel.

 

The necessary repairs must be made even if the term of the warranty, the two year period, or the 24,000 mile period has expired.

MANUFACTURER‘S DUTY TO REPURCHASE OR REPLACE A VEHICLE

If the manufacturer, its agent or authorized dealer is unable to conform the motor vehicle to any applicable express warranty by repairing or correcting a nonconformity after a reasonable number of attempts, the manufacturer must either replace the motor vehicle with a new motor vehicle or repurchase the motor vehicle.

REASONABLE NUMBER OF REPAIR ATTEMPTS

The Arizona lemon law establishes a presumption that a reasonable number of attempts has been undertaken to conform a motor vehicle to the applicable express warranties if, during the shorter of the term of the express warranty, or the period of two years or 24,000 miles following the date of the motor vehicle‘s original delivery to the consumer, whichever is earlier, either of the following occurs:

  1. The same nonconformity has been subject to repair four or more times by the manufacturer, its agents or authorized dealers but the nonconformity continues to exist.

  2. The motor vehicle is out of service for repair for a cumulative total of 30 or more calendar days.

The term of an express warranty, the two year period, and the 30 day period are extended by any period of time during which repair services are not available to the consumer because of war, invasion, strike, fire, flood, or other natural disaster.

NOTICE AND OPPORTUNITY TO REPAIR

The presumption that a reasonable number of repair attempts has occurred does not apply against a manufacturer unless the manufacturer has received prior direct written notification of the alleged defect from or on behalf of the consumer and has had an opportunity to cure the alleged defect.

DISPUTE RESOLUTION

If the manufacturer has established or participates in an informal dispute settlement procedure that complies with 16 C.F.R. Part 703, then the provisions requiring refund or replacement do not apply unless the consumer has first resorted to the informal dispute settlement procedure.

TIME PERIOD FOR FILING CLAIMS

An action must be commenced within six months following the earlier of (1) expiration of the express warranty term; (2) two years following the date of the vehicle‘s original delivery to the consumer; or (3) 24,000 miles following the date of the vehicle‘s original delivery to the consumer.

This information is not intended as legal advice. Please direct specific questions to your legal counsel.

 

REMEDIES UNDER THE ARIZONA LEMON LAW REPURCHASE OF OWNED VEHICLE

The Arizona lemon law sets out the following amounts that a manufacturer must pay when it repurchases a motor vehicle under the lemon law:

  1. The motor vehicle‘s full purchase price; and

  2. All collateral charges associated with the purchase;

  3. Less a reasonable allowance for the consumer‘s use of the vehicle.

Refunds must be made to the consumer and lienholder, if any, as their interests may appear.

The reasonable allowance for use is that amount directly attributable to use by the consumer before the first written report of the nonconformity to the manufacturer, its agent or dealer, and during any subsequent period when the vehicle is not out of service by reason of repair.

REPLACEMENT

When replacing a vehicle under the Arizona lemon law, the manufacturer must provide a new motor vehicle. The reasonable allowance for use appears not to apply to a replacement.

This information is not intended as legal advice. Please direct specific questions to your legal counsel.

 

ARIZONA LEMON LAW SUMMARY

EXECUTIVE SUMMARY
TIME PERIOD FOR FILING CLAIMS Within six months following the earlier of expiration of the warranty
or two years or 24,000 miles following original delivery to the
consumer, whichever comes first.
ELIGIBLE VEHICLE All motor vehicles used on highways. Excludes (1) the portions of a motor home designed, used or maintained primarily as a mobile dwelling, office or commercial space; (2) vehicles with a declared gross weight over 10,000 pounds; and (3) vehicles sold at public auction.
Appears to cover used vehicles. Does not apply to the sale of a motor vehicle to a purchaser for the purpose of resale for profit.
ELIGIBLE CONSUMER (1) Purchaser of a motor vehicle for purposes other than resale; (2) any person to whom the motor vehicle is transferred during the duration of an express warranty; and (3) any other person entitled by the terms of the warranty to enforce its obligations.
Appears not to cover a lessee.
TIME PERIOD FOR FIRST Earlier of the warranty term or two years or 24,000 miles following
OCCURRENCE OR NOTICE original delivery to the consumer, whichever comes first.
TIME PERIOD FOR REASONABLE Not specified.
NUMBER OF ATTEMPTS TO
REPAIR
PRESUMPTION OR DEFINITION Presumption: during earlier of the warranty term or two years or 24,000 miles following original delivery to the consumer, whichever comes first, (1) four or more attempts or (2) out of service for 30 or more calendar days.
NOTICE TO MANUFACTURER Direct written notice from or on behalf of consumer; before presumption applies.
FINAL OPPORTUNITY TO REPAIR Before presumption applies.
REASONABLE ALLOWANCE That amount directly attributable to use by the consumer before the first written report of the nonconformity to the manufacturer, its
agent or dealer, and during any subsequent period when the vehicle
is not out of service by reason of repair.
DISPUTE RESOLUTION Before seeking refund or replacement, consumer must resort to
manufacturer‘s program if it complies with 16 C.F.R. Part 703.
DISCLOSURE TO SUBSEQUENT Yes.
PURCHASER
TITLE BRANDING No.

This information is not intended as legal advice. Please direct specific questions to your legal counsel.

ARIZONA LEMON LAW SUMMARY
1. Citation Ariz. Rev. Stat. §§ 44-1261 through 44-267.
2. Motor vehicle covered Self-propelled vehicles designated primarily for the transportation of persons or property over public highways, including the self-propelled vehicle and chassis of motor homes. Excludes (1) the portions of a motor home designed, used or maintained primarily as a mobile dwelling, office or commercial space; (2) vehicles with a declared gross weight over 10,000 pounds; and (3) vehicles sold at public auction. Lemon law does not apply to the sale of a motor vehicle to a purchaser for the purpose of resale for profit. Appears to cover used vehicles.
3. Consumer covered (1) The purchaser of a motor vehicle for purposes other than resale; (2) Any person to whom the motor vehicle is transferred during the duration of an express warranty applicable to the motor vehicle; and (3) Any other person entitled by the terms of the warranty to enforce its obligations. Appears not to cover lessees.
4. Nonconformity defined Not defined. Any defect or condition that substantially impairs the use and value of the motor vehicle to the consumer is referred to as a nonconformity.
5. Warranty defined Not defined.
6. Lemon law rights period Not defined.
7. Manufacturer‘s obligation to repair If the consumer reports the nonconformity to the manufacturer, its agent or authorized dealer during the shorter of (1) the term of the express warranty or (2) the period of two years or 24,000 miles following the date of the motor vehicle's original delivery to the consumer, whichever is earlier, then the manufacturer, its agent, an authorized dealer or the issuer of the warranty must make the necessary repairs to conform the motor vehicle to the express warranty. The necessary repairs must be made even if the term of the warranty, the two year period, or the 24,000 mile period has expired.
8. Manufacturer‘s obligation to repurchase or replace If the manufacturer, its agent or authorized dealer is unable to conform the motor vehicle to any applicable express warranty by repairing or correcting a nonconformity after a reasonable number of attempts, the manufacturer must either replace the motor vehicle with a new motor vehicle or repurchase the motor vehicle.
9. Criteria for reasonable number of repair attempts Presumed if, during the shorter of the term of the express warranty, or the period of two years or 24,000 miles following the date of the motor vehicle's original delivery to the consumer, whichever is earlier, either of the following occurs: (1) The same nonconformity has been subject to repair four or more times by the manufacturer, its agents or authorized dealers but the nonconformity continues to exist. (2) The motor vehicle is out of service for repair for a cumulative total of 30 or more calendar days.
10. Notice of nonconformity and final opportunity to repair The presumption that a reasonable number of repair attempts has occurred does not apply against a manufacturer unless the manufacturer has received prior direct written notification of the alleged defect from or on behalf of the consumer and has had an opportunity to cure the alleged defect.
11. Affirmative defenses It is an affirmative defense that the nonconformity is the result of abuse, neglect, or unauthorized modifications or alterations of the motor vehicle.
12. Refund Refund consists of: (1) The full purchase price; and (2) All collateral charges associated with the purchase;

This information is not intended as legal advice. Please direct specific questions to your legal counsel.

ARIZONA LEMON LAW SUMMARY
(3) Less a reasonable allowance for the consumer's use of the vehicle.
13. Replacement Replacement is a new motor vehicle.
14. Reasonable allowance A reasonable allowance for use is that amount directly attributable to use by the consumer before the first written report of the nonconformity to the manufacturer, its agent or dealer, and during any subsequent period when the vehicle is not out of service by reason of repair.
15. Refund of sales tax No specific reference to sales tax, although —all collateral charges“ would likely include sales tax. No provision for the manufacturer to obtain a refund of sales tax from the state.
16. Enhanced damages Not specified.
17. Attorney‘s fees If a consumer prevails in an action under the lemon law, the court must award the consumer reasonable costs and attorney fees.
18. Statute of limitations An action must be commenced within six months following the earlier of (1) expiration of the express warranty term or (2) two years or 24,000 miles following the date of the vehicle‘s original delivery to the consumer, whichever comes first.
19. Manufacturersponsored arbitration If the manufacturer has established or participates in an informal dispute settlement procedure that complies with 16 C.F.R. Part 703, then the provisions requiring refund or replacement do not apply unless the consumer has first resorted to the informal dispute settlement procedure.
20. State-sponsored arbitration Not specified.
21. Dealer liability Not specified.
22. Restrictions on resale of returned vehicles A manufacturer who, under this or any other state‘s lemon law, has replaced or repurchased a motor vehicle or has been ordered by decree or judgment to replace or repurchase a motor vehicle must, before offering the motor vehicle for resale, attach to the motor vehicle written notification indicating the motor vehicle has been replaced or repurchased. A motor vehicle dealer, broker, wholesale motor vehicle dealer or wholesale motor vehicle auction dealer who offers for sale a motor vehicle that has been replaced or repurchased under the lemon law of this state or of another state must provide the purchaser with the manufacturer‘s written notification indicating that the motor vehicle has been replaced or repurchased before completion of the sale. A consumer has a cause of actin against any person who removes the written notification from the motor vehicle. In such an action, a motor vehicle dealer or its agent has an affirmative defense that the written notification was removed by someone other than the dealer or agent without the knowledge of the dealer or agent.
23. Point of sale notice of lemon law rights Not specified.
24. Limitation on waiver Not specified.

This information is not intended as legal advice. Please direct specific questions to your legal counsel.






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