Oregon Lemon Law

Oregon Lemon LawsSummary

Oregon’s lemon laws state that if the buyer or lessee of a vehicle finds a major fault in it – which the manufacturers are unable to fix even after 3 valid attempts ( 1 attempt for life-threatening faults) by the vehicle manufacturer to repair it – the manufacturer is liable to repurchase or replace the faulty vehicle. This law applies to the vehicle throughout a period of 2 years from its delivery or 24,000 miles on its odometer, and if the vehicle is still under its warranty period and meets the eligibility criteria as specified by Oregon’s state laws, the owner of the vehicle can claim their lemon aid and demand the manufacturers to provide them with the necessary reimbursement, in the form of a refund or replacement of the faulty vehicle through arbitration. The repurchase costs will also cover any additional costs the owner underwent while purchasing the vehicle, while the replacement procedure will not require the customer to pay any additional fees, including costs for usage.

Time Limits & Eligibility for Oregon Lemon Law

The lemon law protects all vehicles registered in Oregon, purchased or leased for purposes other than resale. The vehicle must have a nonconformity which severely impairs its usage, safety and market value, and this nonconformity must solely be the responsibility of the manufacturer and must not be caused due to the owner’s negligence, abuse, or an unauthorised attempt to modify the vehicle. The defect must be reported to the manufacturer within a period of 2 years from the vehicle’s delivery, or 24,000 miles on the vehicle’s odometer, whichever of these comes first. 

Oregon Lemon Law Used Vehicles

The law is also applicable to used vehicles which fit the above criteria. Regardless of whether the vehicle has undergone any changes in ownership during the 2 year period or mileage limit of 24,000 miles, it will still be eligible to claim its lemon aid as long as it has a substantial nonconformity.

Oregon Lemon Law Repair Attempts

The law specifies that the manufacturer will be given 3 attempts to repair the same nonconformity in the vehicle, or 1 attempt to repair a nonconformity which may cause serious injuries or threaten the safety of the owner or anyone riding the vehicle. If these repair attempts are unsuccessful, or if the vehicle remains out of service for repair reasons for over 30 days (60 days for motorhomes), the owner may then give the manufacturer a final notice regarding their wish to proceed for arbitration. Following this, the manufacturer will be given a final attempt to repair the vehicle, and if this attempt fails as well, the case will proceed for arbitration. 

Time Period For Arbitration

Lemon law claims to a registered arbitration program need to be submitted before the mileage of the vehicle reaches 24,000 miles, or before the vehicle crosses a 2 year period since its delivery. However, these periods may vary depending on circumstances which are not under the control of the owner or the manufacturer. Once the arbitration claim is filed, the arbiter will then pass his judgement either in your favor, or against it. 

Lemon Law Compensation in Oregon – Repurchase or Replacement 

If the arbiter’s decision is in your favor, it is most likely that you will be awarded either a replacement of the faulty vehicle, or a refund, as per your preference.

Repurchases will result in you receiving a full refund of the original price of the vehicle, including all additional charges such as towing and taxes. You will, however, be required to pay a reasonable fee for your usage of the vehicle prior to the defect getting reported. 

In case of a replacement, the manufacturer will provide you with a new vehicle that is identical or comparable to the original vehicle’s model. You will not be required to pay any fees for the new vehicle, including any usage fee.

Other Oregon Laws

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