AUTO FRAUD / LEMON LAW



Lemon Law: The Indiana Lemon Law applies where a defect arises within the first 18 months or 18,000 miles, you could be entitled to a refund or replacement vehicle as long as you provide the automobile manufacturer an opportunity to repair the vehicle. In order to be eligible, you are required to provide the manufacturer, through its dealers, with either 4 times or 30 days to repair your vehicle. The repair attempts can occur after the vehicle has reached 18 months or 18,000 miles. In the case where the dealer is unable to repair the vehicle, you ay be entitled to compensation. Compensation for Indiana Lemon Law would consist in a refund less a reasonable offset for your use of the vehicle. Additionally, there are certain scenarios where a replacement vehicle is presented.

Lemon Law in Indiana requires that the vehicle manufacturer is responsible for paying the consumer’s attorneys’ fees. Consumers may use Indiana Lemon Law to retain attorneys who will represent them wherein the attorneys rely solely on their ability to win the consumer’s case.

Warranties: If the Indiana lemon law does not apply, a consumer may be able to sue under a federal statute called the Magnuson-Moss Warranty Act, a federal statute, if the vehicle is nonconforming to a written or implied warranty.

Illegal Dealer Doc Prep Fees: Some fees may be inflated or hidden within the financing. Also, the Document Preparation Fee (Doc Fee) must be disclosed as negotiable and must relate to the actual costs of preparing the documents. Often this doc fee is charged illegally.

Rebuilt Wrecks/Unsafe Vehicles: Buyers may purchase a vehicle that was previously wrecked yet that fact was not disclosed to the buyer. Typically, this may be okay. However, if the vehicle was damaged so much that it was deemed a salvaged vehicle by the insurance company, this must be affirmatively disclosed. Also, if the damage was severe enough to cause a material defect such as making it unsafe to drive like a bent frame or no airbags the dealership must disclose those defects. Material defects must be affirmatively disclosed even if the vehicle is sold “As Is”. It is also illegal to sale a vehicle that has sustained flood damage which can trigger problems down the road. Lastly, if the vehicle was ever labeled a Lemon by a previous repurchase of the vehicle by the manufacture, this must also be affirmatively disclosed.

Odometer Fraud: It is illegal for a dealer to tamper with the odometer in any way.

Illegal Repossessions: Dealers and finance companies sometimes will repossess a vehicle but not follow the strict laws to do it properly. Violating the repossession laws may allow the consumer to obtain money damages.