What is an Illinois Lemon Law?
The Illinois Lemon Law is a consumer protection statute that was introduced to safeguard Illinois residents against the sale of defective vehicles. The law identifies a vehicle as a "lemon" if there are defects that fall under warranty coverage, and the manufacturer has failed to repair or replace the vehicle in a reasonable amount of time. While you may have heard of lemon law in the context of new cars, the Illinois Lemon Law also applies to used car. Many assume that Illinois Lemon Law applies only to new cars, but the Illinois Lemon Law also applies to used cars for a limited period of time . The lemon law provides the same protection to both used cars and new vehicles, but the reason for the defect must have occurred during the warranty period. A warranty is a guarantee given by sellers or manufacturers for a specific period of time that the vehicle is free of defective parts. If it breaks down after the warranty period, the buyer must accept that they purchased a defective vehicle and wait until it breaks down again for a fault to be repaired. In general, lemon law offers the same protection for used cars, but built-in restrictions apply.
Who Qualifies Under The Illinois Lemon Law for Used Cars?
Eligibility under the Illinois Lemon Law for Used Cars
While the purchase of a used vehicle generally disqualifies a consumer from securing protection under the Illinois Lemon Law, it may do so if the vehicle meets certain requirements at the time of purchase.
The law specifically allows that the vehicle must have been warranted during the term of the warranty and that the warranty was either issued by the manufacturer or seller and was in force at the time of purchase or the vehicle is the subject of a contractual agreement or warranty enforceable against the new vehicle transferee regardless of where the warranty was procured.
In the latter circumstance, the used vehicle must be within the manufacturer’s protections of the original warranty and must have been manufactured or sold with the original warranty. The warranty for the vehicle must also remain effective at the time of the sale to the used vehicle purchaser. Other requirements are that the defects must cause nonconformities and that the purchaser must notify the manufacturer or dealer no later than one year after the original delivery of the vehicle to the consumer. The notification must be in writing, be sent to the manufacturer or dealer, and describe the problems and concerns experienced with the vehicle. The purchaser must also give the manufacturer or dealer a reasonable opportunity to repair the vehicle. Alternately, a manufacturer or dealer can satisfy a consumer by offering a refund or replacement of the vehicle.
How Are Used Cars and Their Owners Protected by the Illinois Lemon Law?
The Illinois Lemon Law does not only apply to new motor vehicles, but to used vehicles as well. When you purchase a used car from a dealer, you will be protected under the Illinois Lemon Law. In fact, the used car that you have purchased from a dealer is automatically covered under the Illinois Lemon Law for a full 12 months or 12,000 miles from the date of purchase, whichever comes first. Although this provides some protection, it is important to know that these protections have their limits.
A used car is considered a lemon if, during the warranty period, a technical defect that substantially impairs the safety, value or use of the vehicle is evidenced which has not been repaired after four (4) attempts by a dealership. The word "technically" is key when talking about a defect. Mentions of "defects" in the law do not mean scratches and cosmetic issues which you may notice on a used car. These minor scratches and paint issues that you might notice on a used car are considered normal "wear-and-tear" issues. These types of scratches and paint issues are not defects under the law, so you will not be protected under the Lemon Law for these.
If the defect in your used car has been on-going and has not been repaired after four (4) attempts, then you are protected under the law. However, there are limitations under the law with the term "attempts." For each individual problem, the dealership gets one (1) attempt to repair that problem, so the problem must be unsuccessfully repaired a total of four (4) times. Furthermore, the law does not require the dealership to actually fix the problem, only to try. However, it is important to note that even though the dealership might fix the issue, it might not be fixed permanently. If the same problem occurs again, you may still be able to return the vehicle for a refund/replacement.
There are remedies that the law makes available to you if you have purchased a lemon. A lemon law consumer has the choice of a refund or a replacement vehicle. The word "vehicle" with regard to used cars denotes that the substitute vehicle provided to you must be the same type of vehicle that you originally purchased. Because you have the choice between either a refund or a replacement, you can avoid parting with money you were never meant to spend. A refund will include all out-of-pocket expenses and payments you made for the purchase of the vehicle. A smaller amount will be returned for used parts.
A replacement vehicle is exactly as it sounds. A dealer will simply give you a different vehicle. There are certain things that you cannot do with respect to a replacement vehicle. You cannot ask your dealer to provide you with anything but a different vehicle. A larger vehicle or a different color vehicle is not an option under the law. The law is just strictly for a different vehicle of the same type.
You, as a used car consumer, have very powerful protections under the Illinois Lemon Law. Should you need these protections you must follow the rules of the law exactly as they are written.
What to Do if Your Used Car is a Lemon?
While used cars are not subject to the same conditions, they still may qualify for lemon law relief. If the criteria above is met and the car was sold with a warranty, you may be qualified. The following steps should be taken in the order presented:
Document the Problem
The first step to pursue a successful lemon law claim is to fully document the issues with your car. Whether it is a major or minor defect, all problems should be reported and recorded. Pay attention to things like date, time, location, and the extent of the problem. If ignored, some issues can get worse and require more expensive repairs. Properly documenting the issue can improve your chances of getting your car repaired.
Give Your Dealer a Chance to Fix the Problem
Illinois law requires that a dealership have four opportunities, or a total of 60 days, to fix the problem. The car dealership has a distinct advantage in this matter since they are aware of existing recalls and technical service bulletins (TSBs) or Bulletins issued by automobile manufacturers. If they have attempted to fix the problem more than four times and have failed, you can qualify for lemon law relief.
File Consumer Lemon Law Claims
If the problem persists after it has been repaired four or more times, a written demand letter can be sent to the manufacturer. There are a few options for lemon law claims for both Illinois used cars and new automobiles. Contacts a lemon law attorney to find out your options.
Illinois Lemon Law, Legal Options, and Getting Assistance
If you find yourself in a situation where you must file a claim or pursue action under the Illinois lemon law, you will likely need assistance from a lemon law attorney to get the results you deserve. First, a lemon law attorney can help by exploring all your legal options and determining the best one for your situation . The Special Education Division of the Office of Attorney General, also known as The Illinois Lemon Law Enforcement Division, is another place that consumers may go for assistance. The Office of Attorney General acts as a mediator between yourself and the manufacturer to handle lemon law complaints. They are equipped with consumer affairs mediators and attorneys that take on lemon law cases for people until the problems are resolved.
Lemon Law Success Stories and Previous Cases in Illinois
Illinois dentist Ryan K. purchased a used Mercedes Benz SLK convertible for about $50,000. He took it to his daughter’s birthday party and then to a family wedding, both in beautiful weather. Then, on the way home, it started raining. "One of the windows went down, then the roof opened up. I didn’t know how to close it," Ryan said. He brought the car to the dealership, Cheltenham Auto Sport, and was told the convertible’s control module needed to be replaced. This would cost more than $7,000. But Ryan had received an extended service contract, and thought the Highland Park dealership would fix the entire problem. "I thought I was protected," he said. "But they told me I needed to pay 10 percent of the bill." Ryan brought the car to a rival dealer in Chicago and paid the initial deductible. "The bill was $12,000, and I never got my money back. I don’t think I should be responsible for such an outrageous fee because a company sold me a car with serious defects."
Ryan decided to make a lemon law claim, details of which are available here. After our Chicago lemon lawyers became involved, the dealership decided to settle the case, refunding Ryan the cost to repair the vehicle, as well as the initial deductible he paid. Ryan’s father is a retired lawyer, and helped him understand the process. Ryan used this case to teach his children the dangers of buying a lemon. He said, "I showed my 13-year-old son the post on Matthew’s website as an example of a case I was fighting for him." Matt’s blog, "Lemonade Chronicles," tells lemon law victims how they may pursue their claims.
Lemon Law Myths and Misconceptions
One common myth surrounding the IL lemon law for used cars is that it only applies to vehicles that have extremely major repairs. However, the term "major" is subjective and up for interpretation. Ill. Admin. Code tit. 92, 6 590.50 says that a major repair required is defined as a repair that costs the vehicle owner "at least 5 percent of the base manufacturer’s suggested retail price." A lemon is not considered a lemon unless the total repair costs required exceeds 20 percent of the vehicle’s purchase price. So, if your base vehicle purchase price is $9,000, then a total of at least $1 , 800 in repairs needs to be completed before it can be considered potentially a lemon.
Another common misconception is that there is no time within which a car should be repaired. The reality is: your new car must be repaired within 30 days of the Lemon Law notice request. If the car is still in the shop longer than 30 days within the first year of ownership, your vehicle qualifies as a lemon. 810 ILCS 5/2A-516(2)(C). To count as a valid notice request, it can be oral or in writing and must be sent to the vehicle manufacturer representative, done either personally, by certified mail, or commercially reasonable means such as electronic transmission, delivered in certified mail, or by overnight courier.
A less common misunderstanding is that the law only covers manufacturers and not dealers. However, 5 ILCS 516/2B indicate that the dealer may also be liable for vehicle recalls as well.