Chapter 5: The Need for Lemon Law | All About Lemon Law
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Chapter 5: The Need for Lemon Law

How Many Lemons?

It is estimated that California car dealers sell 1,500,000 new motor vehicles per year. Various studies have found that an alarming percentage of vehicles manufactured in any given year turn out to be lemons. One such study in the late eighties estimated the percentage to be as high as 10 percent.3 This means at one time there may have been as many as 150,000 new lemons on the road in California alone! Even if the percentage were only 1 percent, 15,000 lemon vehicles every year, in just one state, is still a serious problem. Nothing we have seen indicates that these numbers have been reduced over the intervening twenty years.
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Complexity and Malfunctions: A Catch-22

Let’s look at the increasing complexity of the modern automobile. All manufacturers want to gain an edge over the competition. They need to tell consumers that their vehicles offer more and better conveniences. These lead to greater complexity, and greater complexity increases the number of parts.

When there are more parts, there are simply more things that can go wrong. This increases the possibility that a car will become a lemon-even if each individual part is of higher overall quality. If only one out of every thousand components is defective, a car with 15,000 components will still have five times as many defects as a car with 3,000 components.

A part that works properly 99.9 percent of the time will still fail one time in 1,000. Put together just fifty parts that work properly 99.9 percent of the time, and the entire vehicle will work properly only 95.2 percent of the time-failing nearly one time in twenty. What do you think happens when manufacturers assemble 15,000 parts?

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