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The motor vehicle today is an expensive and complicated device. Most of Alaska has become dependent on the availability of a motor vehicle to conduct their daily affairs. Unfortunately, some new cars be less reliable. Turn out to be lemons. When this happens, the consumer faces a problem not easily solved. The Legislature, recognizing the dilemma facing many new car buyers, signed a bill that has become known as the Lemon Law.
Benefits Act
• Lemon Law (AS 45.45.300) provides protection to purchasers of new motor vehicles. If a new car turns out to be defective and not properly repaired after a reasonable number of attempts, the law requires a refund or replacement vehicle.
• Only a small percentage of new vehicles will be declared lemons. However, all new car buyers will benefit from this law. The manufacturer and distributor now have a strong economic incentive to deliver the car free of defects, and if problems arise, to address quickly and accurately.
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• The law encourages vehicle manufacturers to establish third-party arbitration programs. These programs must meet specific standards and must be approved by the Attorney General. Any decisions ordered by the arbitration are binding on the manufacturer but not the consumer.
This law specifies the owner, the responsibilities of a trader and manufacturer. That does not limit the rights and remedies that may be available for the owner of a motor vehicle under other provisions of law.
Manufacturer Responsibilities
• If an owner of a new motor vehicle reports a defect or problem, usually the manufacturer through your dealer or repairing agent, make necessary repairs.
• If the manufacturer, dealer or repairing agent has been able to repair the defect or problem after a reasonable number of attempts, the manufacturer, the owner so chooses, replace the vehicle or give a refund.
• When a manufacturer or refunds replaces a motor vehicle is also required to reimburse all reasonable expenses the owner has paid the motor vehicle transport defective return to the nearest authorized service center for repair.
• The manufacturer shall issue its distributor or agent of the repair parts necessary for warranty repairs by the quickest means available (usually air freight) at no additional charge for freight or handling.
Reasonable number of attempts
• First, by a single defect or condition that challenges the repairs, the Lemon Law says:
• The same nonconformity has been subject to repair three or more times by the manufacturer, distributor, dealer or repairing agent during the express warranty period or the period of one year after delivery of the vehicle to the original owner, subject the term that ends first, but the nonconformity continues to exist.
• Second, for a motor vehicle that has been out of service for a reasonable period of time due to single or multiple defects, the Lemon Law says:
• The vehicle is out of service for repair for a total of 30 or more days during the express warranty term or the period of one year mentioned in (1) of this section, whichever period ends first.
What are the hooks?
• The defect or problem must substantially impair the use or market value of the vehicle.
•The defect or problem should not be the result of alteration, abuse or neglect by the owner or a person other than the dealer or repairing agent.
• Any time that repairs are not made for reasons that are beyond the control of the manufacturer, dealer or repairing agent is excluded from the period of 30 days. This refers to situations such as labor disputes or natural disasters.
• The landlord must give written notice by certified mail to the manufacturer and its distributor / agent for repair. Within 30 days after receiving the notification, the manufacturer can make another final attempt to repair the vehicle.
• If you choose a refund plus a replacement, refund does not include accrued finance charges. The manufacturer may also deduct an allowance for vehicle usage and excess depreciation due to damage, neglect or abuse.
• If the manufacturer has adopted an informal dispute resolution will be required to arbitrate their dispute before going to court under the lemon law. If the program is not approved by the Attorney General is the option of resorting to arbitration or proceed directly to court.
Protecting Your Rights
• You never know when purchasing a new car if you become a lemon. As new car buyer should check out facilities service dealers as far as you can see the new vehicle. Is the area clean, organized and well lit, making modern tools and equipment and appears in good condition? A trader who is proud of the service installation will be happy to prove it. Also, ask if the dealer gives quotes for repairs under warranty and what is the normal delay in obtaining an appointment.
• Before the sale, read and understand the warranty. The distributor is required by a rule the Federal Trade Commission to make all securities available before the sale.
• Be careful buying a service contract (extended warranty), especially contracts that are not backed by the vehicle manufacturer. Read and understand what is covered and more importantly what is not covered. In most cases the service contracts can be purchased until the date of manufacturer's warranty expires new car. Profit Remember, there is little or no service contract during the first year of a vehicle.
• Before you start delivery of their new car, inspect it. If you notice any problems, refuse delivery until they are corrected. Beware of promises that "We take care of the problems in the first service."
• You should be very concerned if a merchant tries to deliver a new vehicle with obvious defects.
• Read, understand and follow the maintenance requirements contained in the owner's manual. Your driving habits may be considered by the manufacturer as a severe operating condition and may require more frequent maintenance.
• If there are problems, contact your dealer as soon as possible to request an appointment for repair. On the day of your appointment, arrive 15 minutes early and be prepared for up to an hour late. Few vendors offer loan Alaska or courtesy car service. Therefore, you should arrange to be picked up or plan to travel by taxi.
• Give the service advisor a note dated fully describe all the conditions on which you are complaining. Do not try to diagnose the cause of conditions, simply describing them.
• Consider consulting a lawyer. If you do not have a lawyer, contact the Bar Association Lawyer Referral Service in Anchorage Alaska. The phone number is 272-0352 (outside of Anchorage call toll free (800) 770-9999). Some employment contracts allow the union of legal services. If you have this coverage, contact your union representative for assistance.
• Under the Lemon Law, if you request a refund or replacement must give written notice by certified mail to the manufacturer and its distributor / agent for repair. You must send this notice within sixty days after the end of the express warranty, or within sixty days after the one year period ends (measured as one year from the date the vehicle was delivered to original owner ), whichever occurs first.
• The notice must contain the following information:
• The vehicle has a nonconformity;
• A reasonable description of the nonconformity;
• The manufacturer, distributor, dealer, or repairing agent has made a reasonable number of attempts to conform the vehicle;
• The owner demands a refund or replacement vehicle to be delivered on day 60 after delivery of written notice;
• A vehicle description (year, make and model);
• The vehicle identification number. This number is located on the label behind the driver's side of your windshield, or can be found in the vehicle registration as a "serial number" and the
• Your name, address and, if possible, a phone number during the day.
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