Aug. 6, 2024 (DENVER) – Attorney General Phil Weiser is informing consumers about their new rights under the law if they purchase a new motor vehicle that turns out to be defective. Weiser issued a public advisory, designed to help consumers understand their rights and provide guidance to dealers to understand their responsibilities.
The updated law, which goes into effect tomorrow, expands which vehicles are covered by the law, increases the duration of lemon law protections, lowers the requirements for a vehicle to be considered a lemon, extends the amount of time for consumers to file a lemon claim, and clarifies the amount consumers can receive in a refund. Additionally, the law now affords consumers protections if they are considering purchasing used “lemon buyback” vehicles.
“Colorado’s lemon law, which used to be one of the worst in the country, just got a lot better for consumers,” Weiser said. “If you’re in the market for a new vehicle, you can breathe a little easier knowing you now have more protections against buying a lemon. And if you’re buying used, you now have more information and negotiating power if you want to buy a ‘lemon buyback’ vehicle from a dealer.”
Though defective new motor vehicles are uncommon, purchasing one can be costly for consumers. While any defects should be covered under a vehicle’s warranty, the law protects consumers from being stuck with a defective vehicle.
The updated law:
- Expands the vehicles included under the lemon law to include motor vehicles used by small businesses for both business and personal purposes.
- Extends the duration of lemon law protections to two years after purchase or within the first 24,000 miles of the vehicle’s operation, whichever is earlier.
- Lowers the requirements for a vehicle to be presumed a lemon from four to three failed repair attempts of the same defect or after the vehicle has been out of service for repair for 24 or more business days. Also, if a defect significantly impacts safety it will be presumed a lemon after two failed repair attempts.
- Extends the amount of time for consumers to file a lemon law claim to 30 months following delivery date; any period during which it is under repair does not count towards this limit.
- Clarifies refund amounts with an allowance formula ensuring fair deductions based on use.
- Requires decals on used “lemon buyback” vehicles indicating "Lemon Law Buyback" along with title notation.
In general, Weiser's office suggests that consumers do thorough research when purchasing vehicles. This includes examining different makes and models for quality and reliability; test driving; having trusted mechanics inspect potential purchases; ensuring dealer reputability; and understanding warranty details.
Coloradans who believe they have purchased defective vehicles or face consumer issues related to such purchases should file complaints with StopFraudColorado.gov.
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