Lemon Law Blog

I hope I don’t sound like a broken record, but we cannot stress the importance of repair invoices. A young lady called today on the 1800 LEMON LAW hotline  to complain about the water leaks in her Jeep–she has been there too many times to count.  Now, anyone who reads our blog knows that we are very familiar with the problem and can help her.  We just need her to provide proof of her repairs. That’s where the problem lies-the dealer never gave her repair invoices.

Every time you pick up your car from a warrantied repair visit, it is essential that you receive an invoice which outlines the mileage in, mileage out, the complaint and the solution.  Could they duplicate the problem?  Were parts replaced?  Were codes found?  Is your problem related to a technical service bulletin, known as a TSB?  Were recalls performed?  Were these repairs covered internally by the dealer, under the manufacturers warranty, or were they the responsibility of the consumer? The answers to these questions could make or break a lemon law or breach of warranty claim.

Invoices provide proof of a continuous defect and illustrate that the problem was so severe that you had to return to the dealer time and time again. In addition, the invoices and repair histories can actually strengthen a claim.  We frequently ask potential clients to fax over their repair invoices so we can have them reviewed by one of our ASE-certified experts (we have three full-time mechanics on staff).  Sometimes, problems are related and the consumer has absolutely no idea.  This afternoon alone, we took two cases dealing with issues that may not have seem related to the “every man,” but our mechanics discovered the pattern immediately.

So, I know that we all dislike clutter, but do yourself a favor and hold on to those invoices.  Throwing them away could turn out to be very costly in the long run.

Popularity: 16% [?]

This just in–Edmunds is reporting that Volkswagen, once revered for having a 4 year/50,000 mile original manufacturers warranty, is now reducing the coverage to 3 years/ 36,000 miles on all 2009 models and newer.  The good news is that like several other high-end manufacturers, VW will be covering this cost of all scheduled maintenance up to 36,000 miles.  Which would you rather have–a longer warranty or free service? While some may perceive it as six of one, half a dozen of the other, that’s not really true.  You certainly could shell out a lot more money with the 14 less months of warranty coverage if a transmission or engine problem occurs at 40,000 miles, or 3 years and 2 months after you purchase your car.  One may also question why VW is shortening their warranty at a time where most companies are tyring to find a competitive edge.

Less publicized is the fact that Mazda has also reduced their manufacturers warranty from 4/50 to 3/36 as well.

No doubt these reductions in warranty protection will help the manufacturers with their bottom line, but how will the change affect sales?  Only time will tell.

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No, we are not talking about that ridiculous boy band song.  We are saying that if you have some money in your pocket, now is the time to consider buying a new set of wheels. The incentives are very attractive, there are many dealers out there who are hungry to make a great deal with you, the cash for clunkers program is in effect, and there are still plenty of 2009 models out there for the picking.  Heck, you can even consider a certified pre-owned car, but as we have repeatedly reminded you, if you buy a used car, please make sure it has a manufacturers warranty.

Just remember the five golden rules you need to keep in mind when aiming to buy your next auto:

KNOW YOUR NEEDS.  Identify what you need a car for.  Is it to get to work an hour away and use as little gas as possible?  Consider a hybrid.  Is it to taxi your brood of children from soccer games to ballet to Chuck E Cheese and then back to ballet because you daughter forgot her slippers? You may want to consider a minivan or crossover.  Figure out your daily schedule and that will help you narrow down the search immensely.

RESEARCH, RESEARCH, RESEARCH.  It’s so important we say it three times.  The internet provides so many incredible opportunities to gather information about cars.  There are reviews on such sites as vehix.com, where you can even put together a side-by-side comparison.  There is a complaint and defect database at the National Highway Traffic and Safety Administration (NHTSA) website. Every manufacturer from Kia to Jaguar has a comprehensive website where you can examine a model inside and out, review its features and its pricing.  Plus, there are so many automotive forums out there, the king being at edmunds.com. And lastly, don’t forget about our car complaint index and best bets, furnished by consumer advocate Jack Gillis and the good people at the Center for Auto Safety. Before you drive to the dealer, take a trip down the information superhighway and learn everything you can about the car you are looking at. Remember, an educated consumer is an effective consumer.  (And if you do have a gas guzzler you are thinking of trading in, read up on the Cash For Clunkers program before going to the dealer.  Don’t rely on the salesman to give you the most accurate information.  Know your stuff beforehand and correct him if necessary.)

TRY IT BEFORE YOU BUY IT.  And we are not talking about a car like the one you are planning to buy; we are talking about the EXACT car you are buying.  BEFORE you sign on the dotted line, take the car out for a long test drive and go through every single feature from the air conditioner to the trunk release.  Make sure you ask every question and if something is not working, tell them to fix it NOW.  Never settle for an IOU.  This is your one chance to demand satisfaction.  Take advantage of the opportunity. 

UNDERSTAND YOUR WARRANTY.  Every warranty is different.  You need to know the terms of the warranty and what it covers.  Is it cheaper to buy an extended manufacturers warranty when you first buy the car or can you purchase it later?  If this is a used car, is it covered by the company who is manufacturing your car? (We get so many folks calling the 1-800 LEMON LAW hotline who are driving a used Toyota with a Kia warranty. Make sure if you are driving a Toyota, you have a Toyota warranty.)  Are there deductibles?  Is it bumper-to-bumper or does it just cover the powertrain components?  Is roadside assistance offered?  Are loaner cars provided?  The warranty is your insurance that if something goes wrong with this car, and chances are it will at least once, you are covered.  Which bring us to…..

FIGHT FOR YOUR RIGHTS.  If something continues to go wrong with your car, or the car is in the shop for an extended period of time, contact a lemon law attorney to find out about your rights.  The State and Federal Laws are on your side and help you go against the billion-dollar automobile manufacturers. Remember, the legal help is completely free, so take advantage of it.

Now, without further ado, get your motor running, head out on the highway, and good luck!

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No doubt you have read all about the Chrysler bankruptcy in the headlines.  It has been covered by print outlets and blogs throughout the Country, or perhaps you heard Kimmel and Silverman attorney Bob Silverman discuss the situation on the local news.  All current Chrysler, Dodge and Jeep owners and anyone who intends to purchase one of these cars in the near future has hit a pothole when it comes to their consumer rights under State Lemon Law and Federal Warranty Law. 

As a result of the manufacturer filing in bankruptcy court, all lemon law and breach of warranty claims currently in litigation have been “stayed” or stalled until we receive instruction from the court on how to proceed.  But that’s not all; we have over 20 consumers waiting for complete repurchases or refunds, agreed upon before the manufacturer filed for bankruptcy, who are now stuck.  These folks each have signed releases from the manufacturer.  One client is a handicapped woman who desperately needs her Dodge conversion van to get around, and it has been in the shop numerous times for transmission problems. Another client, who has faced tough financial problems himself, already turned his car in and was waiting for his repurchase, and now he has no car, and no money. Plus, being that his creditor was never paid, he is facing the prospect of his lemon car being repossessed and ruining his credit.  Dozens of other folks have received checks which have bounced and these checks were dated prior to the 4/30 filing.

Currently, Kimmel and Silverman is working extensively on efforts to make sure Chrysler, Dodge and Jeep consumers are protected.  The manufacturers stance (and the PR statement we have heard from Washington DC and DCC headquarters) is your cars will be fully covered under warranty.  But, that’s not really the case.  If you can find a dealer that hasn’t closed, and they do have the part you need in stock (doubtful as a result of the closed factories and stop in production), what happens if they still can’t fix the problem?  If the check engine light keeps coming on?  If the water leak keeps reoccurring, resulting in mold?  If the windows still don’t go down?  If the car still won’t start?  And you are back one, two, three, four times?  Well, under normal circumstances, you would be able to use your rights under State and Federal Law to seek recourse, either a complete buyback, a new vehicle, or monetary damages to reflect the diminished value of the car as a result of the problems that occurred.  But that’s not the case right now.  Right now, Chrysler feels you are entitled to nothing other than continuous repair.  And, the new company that is looking to take over Chrysler is NOT interested in taking over these responsibilities; they do not want to compensate all the distressed drivers who have suffered defects or are currently suffering defects with their products.  The language in their motion is very unclear and contradicts itself.

We are currently working on a motion in an attempt for Chrysler to establish a litigation trust for those people who were entitled to recourse under warranty claims.  We will keep you abreast of our progress. In the meantime, we encourage you to reach out to your State’s consumer protection division and attorney general office and make sure they are aware of this situation.  Ask them what they are doing to advocate for consumers in perhaps one of the most troubling situations we have ever seen.

Confused? No doubt.  if you feel you have a potential DCC lemon law or breach of warranty claim and you would like to discuss this situation and your rights further, please e-mail us or call 1-800 LEMON LAW (1-800-536-6652). (Our firm handles claims in Pennsylvania, New Jersey, Ohio, Delaware, Maryland, Connecticut,  Massachusetts, New York and New Hampshire.  For other states, please visit www.lemonlawamerica.com.) We will be more than happy to go over your matter with you. 

Popularity: 25% [?]

It’s a sad day in the history of automobiles.  Autoblog reports that General Motors will phase out Pontiac by the end of 2010, and will build its accelerated visibility plan surrounding its four remaining brands:  Chevrolet, Buick, GMC and Cadillac.  By the end of the year, we will also know if and how GM will move forward with the Saab, Saturn and Hummer brands.

The first Pontiacs were produced in 1926 and their popularity has escalated throughout the decades with the production of the Bonneville, GTO, Firebird, and in later years the G6 and Solstice.

So, what does this mean if you have a Pontiac?  Ideally, this situation should not have any effect on your manufacturers warranty or in filing a lemon law or breach of warranty claim if in fact GM cannot fix a non-conformity despite numerous repair attempts.  It appears General Motors is standing behind the brand and its warranty and will continue to do so until the make phases out.

And while the value of the vehicles will certainly diminish come trade-in time, if you like the model, now may be a time you can take advantage of the situation and purchase one for a very reasonable price.

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An interesting article today in AOL’s automotive section sparks a debate we have seen many times over the years.  A consumer starts to encounter problems with their engine.   The car starts to sputter, the service engine soon light comes on, and then all of a sudden, the distressed driver finds himself stuck in the middle of a busy highway.  He has his car towed to the dealer.  After all, he is under manufacturers warranty and therefore there should be no issue with the car being fixed, right? 

Wrong.  The dealer blames the problem on engine sludge and asks to see the driver’s oil change receipts confirming that they have cared for the car as outlined in the owner’s manual.  Fear starts to set in the driver’s face.  He doesn’t remember if and when he got his oil changed.  Perhaps, he went to a franchise, but when and how many miles were on the car?  Did he take it to his mechanic?  Did he change the oil himself?  Before he knows it, the consumer is socked with a repair bill in the thousands and there is nothing anyone can do about it, including us.  Why?  because the consumer did not keep proof that he fulfilled his responsibilities.

Now more than ever, as manufacturers continue to look at the bottom line, it is imperative that you keep records of all maintenance.  There is nothing wrong with going to Jiffy Lube or Grease Monkey but hold to those receipts; do not discard them with the egg mcmuffin wrapper from the sandwich you enjoyed in the waiting room. Those receipts outline the date and mileage of the service.  If you choose to change the oil yourself, you want to keep the store receipt and the proof of purchase, as well as keep a written log. 

If you have proof that you have covered all of your responsibilities and the manufacturer still is not covering the repair under warranty, that is where we step in.  We have represented many organized drivers in these types of breach of warranty claims and manufacturers have no idea what hit them!

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