Friday, September 26, 2008

Nebraska Used Car Lemon Law Tips

Sergei Lemberg, an attorney specializing in lemon law [link: http://www.lemonjustice.com/ftc_used_car_rule.php], is sitting in the guest blogger’s chair today. He’s outlining some of the ways that consumers with used car lemons can get justice.

I don’t know anyone who doesn’t feel at least a little bit of trepidation when they buy a used car. Always lurking in the back of your mind is the thought that you might just be buying someone else’s troubles. Unfortunately, although every state in the nation has a new car lemon law, few states have lemon laws covering defective used cars. That doesn’t mean that all is lost, however. There are a number of other ways consumers can take action if they find they’ve purchased a lemon.

The “New” Used Car – Some states’ lemon laws (but not Nebraska’s, unfortunately) include newer used cars in their lemon laws. So, for example, if the used car is purchased while the original manufacturer’s warranty is still in effect, the car is covered by the lemon law. The drawback is that the window of opportunity for pursuing a lemon law claim is fairly short, in that action needs to be taken within a timeframe that starts from the delivery date to the vehicle’s original owner.

Magnuson-Moss Warranty Act – The federal Magnuson-Moss Warranty Act typically covers written or implied warranties, as well as service contracts.

FTC Used Car Rule – The Federal Trade Commission requires dealers to post a Buyer’s Guide in every used car. It becomes part of the sales contract and overrides conflicting provisions in the sales contract. If the dealer doesn’t abide by the Used Car Rule, there can be cause of action.

Warrant of Merchantability – If there are fundamental problems with the used car, consumers can claim that the warrant of merchantability was breached. Unfortunately, though, the burden of proof is on the consumer to prove that the defect was present at the time of sale.

Express Warranties – Again, newer used cars may be covered by manufacturer’s express warranties, as well as verbal representations made by a salesperson or in advertisements.

UDAP – If the dealer has failed to disclose information about the vehicle, or is guilty of verbal deception, Unfair and Deceptive Acts and Practices laws can be used on behalf of consumers – even if the used car is sold “as is.”