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You bought a used car, it breaks down, know your rights under Arizona’s used car lemon law

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Imagine buying a car, only to have it break down two days later. That’s exactly what one Arizona woman said happened to her. She says she was caught in a maze of excuses and delays from the car dealer.

However, it raises an important question: What protections do you have under Arizona’s used car lemon law? Debra was ready to sell her 2018 SUV.

She found a dealership online and planned to sell her car, however, the dealership showed Debra another vehicle, and she decided to trade in her own. The car she liked was a 2020 vehicle with just over 40,000 miles.

Debra said she purchased it, but then two days later it broke down. “I made a quick run to the store, which is like five miles away, and it just stopped in traffic,” said Debra.

Debra said she immediately contacted the dealership. She said she told them about the problem but claims she was getting the run around from the dealership.

“(I’m) very upset, disappointing, there’s not even a word for it,” said Debra. She wanted to cancel her sale agreement with the dealership but said she was told by the management that wasn’t an option.

“I’m not buying a car, to take it back and forth to a shop,” said Debra. The Let ABC15 Know team reached out to the dealership through email and called about Debra’s concerns and to find out when she could get her vehicle back, but I never heard back.

But Debra did. The dealership called Debra stating they had replaced the engine of her new used car. Debra’s repair was covered by Arizona’s used car lemon law. The law says that if a major problem makes the car unsafe or hard to drive, the dealer must fix it.

This issue must happen within 15 days or 500 miles after buying the car, whichever comes first. Dealers are required to insert the following in the purchase contract, and most dealers use contract forms that contain this language.

“The seller hereby warrants that this vehicle will be fit for the ordinary purposes for which the vehicle is used for 15 days or 500 miles after delivery, whichever is earlier, except with regard to particular defects disclosed on the first page of this agreement. 

You (the purchaser) will have to pay up to $25.00 for each of the first two repairs if the warranty is violated.”

The implied warranty of merchantability is met if the motor vehicle functions in a safe condition as provided in title 28, chapter 3, article 16 and is substantially free of any defect that significantly limits the use of the motor vehicle for the ordinary purpose of transportation on any public highway.

So, if your used car breaks down within that time or mileage what should you do?

First, read your contract. Document the breakdown. Take pictures, videos, or get a diagnostic report from an independent shop. Notify the dealer of the problem, call, write, and/or both if possible.

According to the law, a buyer must give the dealer a reasonable opportunity to repair the vehicle.

As the buyer, you don’t have the right to cancel the sale, unless the dealers have had ample opportunity to repair the vehicle. But here’s where it gets tricky, the statute of the law, doesn’t define what’s a reasonable opportunity to repair.

Get in writing, how much time it will take for the repair. Once the repair is done, ask the dealers to provide all documents of work completed on the vehicle.

Take pictures and videos of the repair. Get an independent inspection from a place you trust to check the vehicle’s repair. If the dealer does not honor its obligations, the buyer has grounds to file a lawsuit. However, it’s typically not feasible.

Be sure to document all the problems you are having with the vehicle. Keep all receipts of service to your vehicle and record the number of attempts the dealer has made to correct the problem. Document, how many days your vehicle is in the repair shop.

Debra said she was able to get all the documents showing the vehicle engine was replaced. Debra checked the vehicle, and test-drove it.

“It actually runs better than it did when we purchased it,” said Debra!

Arizona Lemon Law New Car

If your new car is a lemon, consider filing a complaint with the BBB AUTO LINE Program (bbbautoline.org) or consult with an attorney. Here are the basics of Arizona’s Lemon Law for new cars:

  • Arizona’s Lemon Law covers the vehicle for the full length on the manufacturer’s warranty or two years or 24,000 miles, whichever is earlier. Coverage begins when the vehicle is given to the customer. 
  • You should report any problems that substantially limit the use and value of the vehicle and do not comply with the manufacturer’s warranty to the manufacturer. Your report must be made during the covered period.
  • The manufacturer or its authorized dealers can repair or correct the defect, accept return of the car or replace the car with a new car.
  • If the manufacturer fails to successfully repair the defect after four attempts, or the car is out of service for repairs for a total of 30 or more calendar days, the manufacturer must accept return of the car or replace the car with a new car.

Need more help with purchasing a car, check out these helpful tips from the Arizona Attorney General office.