Tag Archives: small business lemon law

Does The Lemon Law Apply To Used Cars?

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Lemon laws are American state laws that provide help for purchasers of cars and other consumer goods who have bought products that repeatedly fail to meet the standards of quality and performance.

Each state imposes different requirements for their lemon laws, but a basic condition common to almost all jurisdictions is that in order for the lemon law to apply, the automobile or product must have been purchased with a warranty. Products purchased “as is” are typically not covered by state or federal lemon laws.

The California lemon law applies to all new and used vehicles, whether purchased or leased, for personal and most small business use. Learn more about the California Lemon Law Requirements

Lemon Law Protection For Small Business

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A California Court of Appeal ruling last September may seem like a small victory for one business owner, but the courts decision is setting a precedence that will affect future decisions across the country when it comes to small business automobiles with a gross vehicle weight (GVWR) of 10,000 pounds.

Daniel Joyce, a licensed contractor from Petaluma first started having problems with his Ford F-250 shortly after purchasing it brand-new in 2006. Joyce decided to sue Ford, but the case was overturned saying that the truck was not covered by the lemon law because the GVWR was 10,000 pounds. After a four year battle, court finally issued a ruling siding with Joyce saying that it is the actual weight of the vehicle that counts. This decision is a victory for the consumer and could help other business owners who may be in a similar situation.

California Lemon Law Gross Vs Actual Auto Weight

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The result of a four year California lemon law battle has California courts siding with consumer when it comes to vehicles weighing 10,000 pounds. The confusion is the result of automobile manufacturers refusing lemon law buybacks because the gross vehicle weight rating (GVWR) of the vehicle is over the 10,000 pound limit. The GVWR is the maximum allowable total weight of a vehicle including passengers and cargo, but does not mean the vehicle is being driven at this weight.

In the aforementioned case, the business owners truck weight was under 7,000 pounds, but because the GVWR was 10,000 pounds, it did not qualify under the California lemon law. Courts eventually sided with the business owner, saying that the gross vehicle weight (GVW) and not the fully loaded weight, is what counts. This case has set the precedent for auto makers and future lemon law cases in California involving small business owners and trucks used primarily for small businesses.

The California lemon law considers the importance of vehicle warranties to small business owners, and has included an exception in the California lemon law to offer consumers more protection. California’s lemon law covers business vehicles as long as: (1) the business that owns the lemon car or truck has no more than five vehicles registered in its name; and (2) the vehicle’s “gross vehicle weight” is less than 10,000 pounds.

If you have been denied repurchase of you vehicle because it exceeded the weight limit of the lemon law but the gross vehicle weight is under 10,000 pounds, contact the offices of Delsack & Associates for a free consultation with an attorney. Your vehicle may qualify for repurchase under the California lemon law.