Wisconsin Lemon Law: Your Complete Legal Guide

Wisconsin has one of the strongest and most consumer-friendly lemon laws in the country. Codified at Wis. Stat. section 218.0171, the law covers a broader range of vehicles than most states, including motorcycles, motor homes, and heavy-duty trucks. It gives consumers a clear choice between a replacement vehicle and a full refund when a new vehicle has a defect that cannot be fixed after reasonable attempts.

This guide explains who qualifies, what triggers a lemon law claim, the remedies available, and how to navigate the filing process in Wisconsin.

Which Vehicles Does the Wisconsin Lemon Law Cover

Wisconsin has one of the broadest vehicle coverage provisions of any state lemon law. The law applies to nearly every type of new motor vehicle.

Covered Vehicle Types

• Standard motor vehicles required to be registered under Wisconsin law
• Vehicles exempt from registration if exempt as nonresident or foreign-registered vehicles
• Demonstrator vehicles used primarily for demonstration to the public
• Executive vehicles used primarily by manufacturer, distributor, or dealer executives
• Motorcycles (with a modified usage deduction formula)
• Motor homes including the living quarters components
• Heavy-duty vehicles with a gross vehicle weight rating (GVWR) over 10,000 pounds (with extended timelines)
• Leased vehicles under written lease agreements
• Electric and hybrid vehicles of any type listed above

Vehicles NOT Covered

• Mopeds
• Semitrailers
• Trailers designed for use in combination with a truck or truck tractor
• Previously owned (used) vehicles

Who Counts as a Consumer

Wisconsin defines "consumer" broadly to include:

• Purchasers of new motor vehicles from dealers (not for resale)
• Transferees who receive the vehicle before warranty expiration (not for resale)
• Persons who may enforce the warranty
• Persons who lease a motor vehicle under a written lease

The Wisconsin Lemon Law Presumption

Under Wis. Stat. section 218.0171(1)(h), Wisconsin law defines a "reasonable attempt to repair" as occurring when certain conditions are met within the warranty period or one year after first delivery, whichever is sooner.

When the Presumption Applies

Condition	Threshold	Details
Repair attempts (same defect)	4 or more attempts	The same nonconformity has been subject to repair and continues to exist
Days out of service	30 or more aggregate days	Vehicle out of service because of one or more warranty nonconformities
Coverage window	Warranty term OR 1 year	Whichever is sooner from date of first delivery

What Counts as "Out of Service"

Wisconsin provides a specific definition of when a vehicle is considered out of service:

• The vehicle is in the possession of the manufacturer, motor vehicle lessor, or any authorized dealer for repairs or repair attempts, OR
• The vehicle is in the consumer's possession AND has a nonconformity that substantially affects use or safety AND has been subject to at least 2 prior repair attempts

This second prong is important. It means time spent driving a vehicle with a known, unresolved safety issue can count toward the 30-day total, as long as there have been at least two prior repair attempts.

Exclusions from the 30-Day Count

Time when repair services are not available because of flood, other natural disaster, war, invasion, fire, or strike does not count toward the 30-day period.

What Qualifies as a Nonconformity

A nonconformity is any condition or defect that:

• Substantially impairs the use, value, or safety of the motor vehicle
• Is covered by an express warranty applicable to the vehicle or a component

A condition caused by abuse, neglect, or unauthorized modification by the consumer does not qualify.

Consumer Remedies: Replacement or Refund

After a reasonable attempt to repair, Wisconsin gives the consumer the choice between a replacement vehicle or a full refund. The consumer makes this election using a state-prescribed form from the Wisconsin Department of Transportation.

Option 1: Replacement Vehicle

If the consumer chooses a replacement, the manufacturer must:

• Accept return of the nonconforming vehicle
• Provide a comparable new motor vehicle
• Refund any collateral costs

Timeline for standard vehicles: The manufacturer must agree in writing within 30 days to provide a comparable new vehicle or a refund. The replacement or refund must then be delivered within 45 days.

Timeline for heavy-duty vehicles (over 10,000 lbs GVWR): The manufacturer has 120 days instead of 45 days to provide the replacement or refund.

If no comparable vehicle can be found, the manufacturer may provide a refund instead.

Option 2: Full Refund

If the consumer chooses a refund, the manufacturer must provide:

• Full purchase price of the vehicle
• Sales tax paid on the purchase
• Finance charges including interest and fees
• Amount paid at point of sale such as down payments
• Collateral costs including expenses for alternative transportation during repairs

Usage Deduction Formula

The manufacturer may subtract a reasonable allowance for the consumer's use of the vehicle before first reporting the defect:

Usage Deduction = (Full Purchase Price x Miles Before First Report) / 100,000

For motorcycles, the formula uses 20,000 instead of 100,000.

Example: If you paid $35,000 for a car and drove 3,000 miles before reporting the defect, the usage deduction would be $35,000 x 3,000 / 100,000 = $1,050.

Payment Timeline

The refund must be provided no later than 30 days after the consumer offers to transfer title to the manufacturer.

How to File a Lemon Law Claim in Wisconsin

Step 1: Document Everything

• Keep all repair orders and invoices
• Record dates your vehicle was in the shop or out of service (including days in your possession with an unresolved safety defect after 2 repairs)
• Document the symptoms you experienced each time
• Save all correspondence with the dealer and manufacturer
• Take photos or videos of defects when possible

Step 2: Report the Problem

Report the nonconformity to the manufacturer, motor vehicle lessor, or any authorized dealer and make the vehicle available for repair before the warranty expires or within one year of first delivery, whichever is sooner.

Step 3: Allow Repair Attempts

Give the manufacturer, lessor, or dealer the opportunity to repair the nonconformity. Keep careful records of each attempt, including what was done and whether the problem recurred.

Step 4: Obtain the State-Prescribed Election Form

The Wisconsin Department of Transportation prescribes forms for consumers to elect replacement or refund. These forms are available on the DOT's lemon law page. You must submit this form to the manufacturer.

Step 5: Check for a Certified Dispute Settlement Procedure

If a state-certified informal dispute settlement procedure is available for your vehicle's manufacturer, you must use it before filing a lawsuit. The DOT certifies these programs and publishes annual reports evaluating them.

Step 6: File a Civil Action if Necessary

If the manufacturer fails to provide relief, you may file a civil action within 36 months (3 years) after first delivery of the vehicle.

Certified Dispute Settlement Procedures

Wisconsin has a distinctive system of state-certified informal dispute settlement procedures, overseen by the Department of Transportation.

DOT Certification Requirements

The DOT adopts rules requiring each procedure to:

• Provide rights and procedures at least as favorable as required under federal regulations (16 CFR Part 703)
• Require manufacturers to provide the lemon law remedies after a reasonable attempt to repair

DOT Oversight

The Department of Transportation:

• Investigates each informal dispute settlement procedure used in Wisconsin
• Certifies procedures that comply with state rules
• May revoke certification if a procedure no longer complies
• Publishes annual reports evaluating procedures, stating certification status and reasons for any failures

When Dispute Resolution is Required

If a certified procedure is available, the consumer may not bring a lawsuit until they have first used that procedure.

Manufacturer Licensing Impact

The DOT may consider whether a manufacturer obtains certification in determining whether to issue a manufacturer's license to do business in Wisconsin. This gives manufacturers a strong incentive to maintain compliant programs.

Leased Vehicle Protections

Wisconsin provides detailed protections for consumers who lease vehicles under written lease agreements.

Refund Distribution for Leased Vehicles

When a leased vehicle qualifies as a lemon, the refund is split between the lessor and the lessee.

The motor vehicle lessor receives the current value of the written lease, calculated as:

• Total remaining lease obligation, PLUS
• Early termination costs, PLUS
• Vehicle value at lease expiration (if stated in the lease), MINUS
• Early termination savings

The consumer (lessee) receives:

• Amount already paid under the lease
• Any sales tax paid
• Collateral costs
• Less a reasonable allowance for use

Usage Deduction for Leased Vehicles

Usage Deduction = (Total Lease Obligation x Miles Before First Report) / 100,000

Lease Termination

After the consumer receives a refund, no person may enforce the lease against the consumer.

Heavy-Duty Vehicle Provisions

Wisconsin includes special provisions for "heavy-duty vehicles," defined as motor vehicles with a GVWR or actual gross weight of more than 10,000 pounds.

Extended Replacement Timeline

For heavy-duty vehicles, manufacturers have 120 days (instead of 45 days) to provide a comparable new motor vehicle or refund after receiving the consumer's election form.

Negotiated Settlement Option

If a consumer enters into a negotiated written settlement with the manufacturer about a heavy-duty vehicle nonconformity, the manufacturer is no longer subject to most lemon law requirements for that vehicle. The exception is the lemon buyback disclosure requirement, which still applies if the vehicle is later resold.

Manufacturer Defenses

Wisconsin's lemon law does not create a nonconformity when the condition or defect results from consumer abuse, consumer neglect, or modification or alteration not authorized by the manufacturer.

Failure to Cooperate

If a court finds that any party has failed to reasonably cooperate with another party's efforts to comply with the law, the court may:

• Extend deadlines in the statute
• Reduce damages, attorney fees, or costs
• Strike pleadings
• Enter default judgment against the offending party

This provision applies equally to consumers and manufacturers, creating an incentive for both sides to act in good faith.

Resale of Lemon Buyback Vehicles

No vehicle returned under Wisconsin's lemon law (or under a similar law in another state) may be sold or leased again in Wisconsin unless full disclosure of the reasons for return is made to any prospective buyer or lessee.

Sales Tax Refund

The Department of Revenue must refund sales tax to:

• The manufacturer, if the manufacturer already refunded sales tax to the consumer
• The consumer, if the manufacturer refunded the purchase price but not the sales tax

Electric and Hybrid Vehicle Coverage

Wisconsin's broad definition of "motor vehicle" means that electric vehicles, plug-in hybrids, and hydrogen fuel cell vehicles are all covered under the lemon law as long as they are new and required to be registered under Wisconsin law.

Common EV-specific issues that may support a lemon law claim include:

• Battery capacity or range degradation beyond what the warranty allows
• Repeated charging system malfunctions
• Thermal management failures leading to reduced performance
• Software defects affecting drivetrain, regenerative braking, or safety systems

The same 4-repair or 30-day presumption applies. Consumers should note that some EV repairs take longer because parts may need to be specially ordered, but this extra time still counts toward the 30-day threshold.

Statute of Limitations

Under Wis. Stat. section 218.0171(7)(a), any action to recover for damages caused by a violation of the lemon law must be commenced within 36 months (3 years) after first delivery of the motor vehicle to a consumer. This is one of the longer statutes of limitations among state lemon laws.

Attorney Fees and Court Remedies

A court may award a prevailing consumer the amount of any pecuniary loss together with costs, disbursements, and reasonable attorney fees. If the court finds the manufacturer's failure to comply was willful, additional penalties may apply.

More Wisconsin Laws

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• Wisconsin Dog Bite Laws
• Wisconsin Recording Laws
• Wisconsin Hit and Run Laws
• Wisconsin Car Seat Laws
• Wisconsin Child Support Laws
• Wisconsin Sexting Laws
• Wisconsin Hit and Run Laws