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Category: used car

Certified pre-owned vehicle lemon buyback: A compact car success story

Posted on by Sotera Anderson

The automobile market has been taking car buyers on an incredibly wild ride this past year. Uncertainties created by COVID-19, a shortage of microchips and other components, and slower production of new cars have simultaneously increased consumer demand (and prices!) and decreased supply of new automobiles. That’s why consumers have been turning to the used car market, especially certified pre-owned vehicle s which often give consumers extra peace of mind about their purchase.

Buyer beware

But simply because a vehicle is designated a certified used vehicle, it can still become a problematic purchase, and you could be stuck with a lemon. While these vehicles often undergo a battery of inspection points, repairs and other adjustments to meet manufacturers’ standards, these standards for certification are often visual inspections, not deep dive inspections, and issues are often missed. Or the vehicle could have been part of a lemon law lawsuit, but the previous owner settled for cash instead of a buyback and traded the car in and you would never know. Even worse, the prior car owner might have been experiencing recurring issues but chose to trade in the vehicle rather than go through the lemon law process (this happens all the time). All of which place potential lemons on used car lots in front of unsuspected consumers.

Consumer protection

Fortunately, the California Lemon Law provides consumer protection against faulty vehicles. Take for example, a recent client who bought a certified pre-owned 2013 compact car. He assumed that since it was certified, it would be a reliable car. Nothing could be further from the truth. The owner went through not one, not two, but four transmission repairs, among a host of other issues. As the problems persisted, he finally turned to legal help. By compiling his repair history and receipts, and submitting the appropriate paperwork, we were able to arrange a buyback of his vehicle. He returned the car to the manufacture, got his back, and purchased a more reliable automobile.

Is certified your best ride?

There’s no question certified pre-owned vehicles appeal to wary consumers. Certified cars are almost always new enough to be covered by the manufacturer’s original warranty or certified warranty. Regardless, it is still important to do your own research and take the vehicle to a trusted mechanic for an independent inspection before signing on the dotted line.

If you go through due diligence in the purchase process and still end up with a certified pre-owned vehicle that gives you nothing but trouble, even after repeated repair attempts, the California Lemon Law is your best recourse. An experienced lemon law attorney can help you turn a sad tale into a success story like our compact car owner client.

Think you have a claim? Get a free, no-obligation case evaluation from Sotera L. Anderson, California Lemon Law Attorney, here or call  1-855-96-LEMON, or (858) 247-0050. Visit our website to find out more information.

Certified Vehicles in California Still be a Lemon?

Posted on by Sotera Anderson

The internet has revolutionized the car buying experience. For consumers, it can greatly streamline the process, provide quick price comparisons, and eliminate the often-unpleasant experience of haggling the price in person. Online services, such as CarFax, supply car buyers with vehicle history reports that provide additional consumer protection. Certified pre-owned vehicles are also rising in popularity. This designation is a way for auto dealers to give consumers peace of mind about their potential purchase.

What is a certified pre-owned vehicle?

Also referred to as a certified used vehicle, a certified pre-owned vehicle is a used automobile that the dealer has inspected, made adjustments or repairs, and obtained the manufacturer’s permission to “certify” that the vehicle meets certain standards. The items inspected and the standards which a vehicle must meet to become certified varies from manufacturer to manufacturer.

What’s in it for the manufacturer? Certification is a way to instill trust in customers and pave the way for an easier sales process. With extra behind-the-scenes work being done on certified vehicles, it also enables dealerships to charge a premium over vehicles that are not certified.

Can all vehicles be certified?

Absolutely not! California law protects consumers by prohibiting certain cars from receiving this designation. In fact, the California Vehicle Code outlines some circumstances where a vehicle cannot be certified:

  1. The vehicle has been part of a lemon law buyback.
  2. The vehicle was purchased as a salvaged, junked, flooded, or non-repairable vehicle.
  3. The vehicle has frame damage, usually due to being in an accident.
  4. The vehicle was sold “as-is.”
  5. The dealer does not provide the consumer with a completed inspection report that identifies the results of the inspection.
  6. The odometer was tampered with (called “rolled back”) to show fewer miles than the vehicle actually has.
  7. The vehicle sustained damage in an impact, fire or flood and after repair, it still substantially compromises use or safety.
  8. The dealer disclaims warranties on merchantability.

Does certification guarantee the car won’t be a lemon?

The good news is certified used vehicles are almost always new enough to be covered by the manufacturer’s original warranty. Warranties vary from manufacturer to manufacturer, but certified vehicles are usually under seven years old and have fewer than 80,000 miles. However, just because the vehicle has had an inspection performed doesn’t mean that problems won’t occur. The bottom line is, warrantied cars, including certified pre-owned vehicles, can indeed be lemons.

Why are there no guarantees?

That’s a decidedly frustrating answer. And the reason there are no guarantees is because, well, it is an imperfect system:

  • The manufacturer’s “standards” for certification are often visual If a car has a chronic oil leak, for example, but is not leaking at the time of inspection, it might pass the inspection.
  • The vehicle could have been part of a lemon law lawsuit, but the consumer settled for cash instead of a buyback and traded the car in. When this happens, the title is not branded a lemon.
  • Perhaps a customer was experiencing recurring issues but chose to trade in the vehicle rather than going through the lemon law process.
  • And sometimes defects have been developing but don’t appear until after a car has been traded in.

Whether you buy a certified pre-owned car, an automobile under warranty or brand new, you are still protected by the California Lemon Law. Understanding your rights and how to exercise them is key to righting a wrong when you bring home a lemon.

 

Think you have a claim? Get a free, no-obligation case evaluation from Sotera L. Anderson, California Lemon Law Attorney, here or call  1-855-96-LEMON, or (858) 247-0050. Visit our website for more information here.

 

Private Auto Sales: Does the Lemon Law Apply?

Posted on by Sotera Anderson

Are you in the market for a used car? If so, you’re not alone. As consumers emerge from the pandemic shutdown, the demand for used car sales is surging. According to auto dealership consulting firm PureCars, consumer searches for used cars have doubled what they were last year. A global shortage of semiconductor computer chips is slowing production of new cars, further driving the demand for used automobiles.

Many buyers turn to local car dealerships in their search for used cars. But the proliferation of websites and apps, such as AutoTrader and Facebook Marketplace, gives buyers and sellers an easy way to bypass dealerships to conduct private transactions of used automobiles. This opens up new opportunities for buyers and sellers. But, as they say, buyer beware. If the used car you purchase from a private party turns out to be a lemon, are you protected by the California Lemon Law?

Buying from a private owner vs. a dealer

When you purchase a used car from a dealer, you are covered by federal and state consumer protection statutes for certain claims. However, the private sale of a vehicle is considered sold “as is.” If there is an issue after the transaction, you can request your money back, but the seller is under no legal obligation to comply.

Generally speaking, consumers’ rights are limited when buying a used vehicle from a private party. In short, the California’s Lemon Law does not apply to vehicles purchased from a private seller.

Coverage with a manufacturer’s warranty?

Finding a used car from a private owner that is still under manufacturer’s warranty can seem very promising. The vehicle will still likely be covered by the warranty, although some manufacturers shorten the warranty for subsequent purchasers. Consult the warranty paperwork to verify the terms.

But, even if you experience a persistent mechanical issue with car purchased privately and follow the remediation steps outlined by the lemon law–taking the vehicle to a mechanic for repair a “reasonable” number of times—and the manufacturer’s dealer can’t or won’t repair it properly, you are still not covered under the California Lemon Law.

The law specifically provides that only automobile owners who buy warrantied vehicles from a dealer are protected. To be clear, the California Lemon Law does not apply to a used car purchased from a private seller, even if the vehicle was purchased while a manufacturer’s warranty was still in effect.

The risk of ending up with a lemon when buying directly from a seller and having no legal recourse, is a compelling reason for many to turn to car dealers for their purchase.

Buyer beware

If you do decide to purchase a used car from a private seller, there are a few consumer protection measures you can follow: 1.) Do not accept as fact anything that a private vehicle seller tells you about the vehicle. 2.) Before you finalize a transaction, have a trusted mechanic inspect the vehicle thoroughly. 3.) If the seller won’t let your mechanic inspect the vehicle, walk away from the deal.

Think you have a claim? Get a free, no-obligation case evaluation from Sotera L. Anderson, California Lemon Law Attorney, here or call  1-855-96-LEMON, or (858) 247-0050 or contact us here.

Help Keep California’s Lemon Law Strong

If you want to help make sure the lemon law continues to protect your rights, please contact your Assembly member and Senator and let them know how the manufacturer mistreated you, the problems you experienced with your vehicle, and how important it is to keep California’s lemon law strong.

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