Idaho Lemon Laws

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Lemon Law Basics: Idaho Lemon Laws

Understanding Idaho Lemon Law

Who is covered under Idaho lemon law?
Idaho lemon law covers owned and leased vehicles that are sold or licensed in Idaho. Vehicles can be new or used to fall under Idaho lemon law, but motorcycles, tractors, trailers, and vehicles with a gross laden weight of more than 12,000 pounds are not covered.

What problems does Idaho lemon law cover?
Idaho lemon law protects consumers whose vehicles have defects that hamper its use or value. A manufacturer is not responsible for nonconformities that occur because of neglect, abuse, or modification by anyone other than the manufacturer or its agents. According to Idaho lemon law, the nonconformity must be reported within the vehicle's express warranty period, within the first two years after the consumer has taken possession of the vehicle, or within the first 24,000 miles, whichever comes first.

Before a consumer can seek compensation under the Idaho lemon law, the manufacturer has to have a reasonable chance to repair the nonconformity. A reasonable chance is defined as either four unsuccessful attempts to repair the nonconformity, a cumulative total of thirty days when the car is out of commission for repairs, or one unsuccessful attempt to repair a potentially life-threatening nonconformity to the brake or steering mechanisms.

What happens under Idaho lemon law if repairs cannot be performed?
If the manufacturer has had a reasonable chance to repair the nonconformity and the defect still exists, the manufacturer must offer reparations to the consumer. If the vehicle is owned by the consumer, the manufacturer must offer to either repurchase the vehicle or provide a replacement. If the vehicle is leased, the manufacturer must repurchase the vehicle.

The consumer must agree to attempt a settlement through the manufacturer's informal arbitration board, unless the manufacturer waives that right. This process must be started within three years of taking possession of the vehicle. If the consumer is dissatisfied with the decision of the arbitration board, they may appeal within thirty days.

Are the terms under the Idaho lemon law for vehicle repurchase or replacement?
If an owned vehicle is repurchased, the manufacturer must pay the entire purchase price of the vehicle, including trade-ins and installed options. This amount cannot exceed 105% of the original Manufacturer's Suggested Retail Price (MSRP) of the vehicle. The manufacturer is also responsible for all expenses, including tax, tags, license and registration fees, towing, and car rental while the vehicle was out of commission. Excise taxes must also be refunded. This total is reduced by a reasonable offset for usage of the vehicle. The offset is determined by dividing the number of miles driven before the case went before the arbitration board by 120,000, and multiplying the result by the full purchase price.

In the case of a replacement for owned vehicles, the new vehicle must be comparable to the original. No offset for usage of the original vehicle is allowed.

When leased vehicles are repurchased, the lessor receives a sum including early termination charges and the remaining value of the vehicle, as defined in the lease agreement. The amount of the payments already received from the lessee is deducted from this sum.

The lessee receives a prorated refund of his down payment, calculated by dividing the number of months remaining on the lease by the total number of months of the lease, and multiplying this number by the down payment amount. The prorated down payment amount cannot equal more than 105% of the MSRP. The lessee also receives a refund of all other charges including lease payments, excise taxes, license fees, towing, and car rental.