Lemon Laws in Vermont
Written in plain language for general understanding. This is educational content, not legal advice. Content is researched from federal statutes, state codes, and official government sources. Each article is reviewed for accuracy before publication. Our editorial process
What is this right?
Lemon laws protect you when you buy a new vehicle that turns out to have a serious defect that cannot be fixed after a reasonable number of repair attempts. If the manufacturer cannot fix the problem, they must either replace the vehicle or give you a refund.
Every state has its own lemon law with different rules about what qualifies, how many repair attempts are required, and what vehicles are covered. At the federal level, the Magnuson-Moss Warranty Act provides a backup right to sue manufacturers who fail to honor written warranties — including vehicle warranties.
When does it apply?
This right generally applies when:
- You purchased or leased a new vehicle (most state lemon laws cover new vehicles; some states also cover used vehicles)
- The vehicle has a substantial defect covered by the manufacturer's warranty that impairs its use, value, or safety
- The defect occurred within a specific time or mileage limit (typically 1-2 years or 12,000-24,000 miles, varies by state)
- The manufacturer or dealer has had a reasonable number of repair attempts and failed to fix the problem
What counts as a "reasonable number" of repair attempts:
- Most states: 3-4 repair attempts for the same defect, OR the vehicle has been out of service for 30+ cumulative days
- Safety defects (brakes, steering, airbags): some states require only 1-2 repair attempts
- You must give the manufacturer notice and opportunity to repair — you cannot simply demand a refund after one visit
Common misconceptions:
- "Lemon laws only cover cars" — Most states cover all motor vehicles. Some states also cover motorcycles, RVs, and boats. A few states have broader consumer protection lemon laws covering other products.
- "My used car is covered" — Most state lemon laws only cover new vehicles. However, some states (California, Connecticut, Massachusetts, Minnesota, New Jersey, New York, Rhode Island) have used car lemon laws.
- "I can return a car just because I don't like it" — Lemon laws cover manufacturing defects, not buyer's remorse. The defect must be substantial and not caused by you.
What to Do If You Bought a Lemon
Step 1: Document every repair visit. Keep copies of all repair orders, receipts, and correspondence with the dealer. Note the dates, mileage, and a description of the problem each time.
Step 2: Give the manufacturer written notice that you believe the vehicle is a lemon. Many states require a formal written demand before you can file a claim. Send it by certified mail.
Step 3: Check whether your state requires manufacturer arbitration before you can sue. Many manufacturers (and some states) require you to go through an arbitration process first. This is typically free and faster than court.
Step 4: If arbitration fails or is not required, file a lemon law claim in court. Under most state lemon laws and the federal Magnuson-Moss Act, you can recover attorney's fees if you win — meaning many lemon law attorneys take cases on contingency.
Step 5: Choose your remedy: a replacement vehicle of comparable value or a full refund minus a reasonable allowance for your use of the vehicle (calculated by mileage).
What should you NOT do?
Don't stop taking the vehicle in for repairs. You need to establish a record of repair attempts. If you stop going to the dealer, you may not meet your state's threshold for a lemon law claim.
Don't go to an independent mechanic for warranty repairs. Repairs must be performed by an authorized dealer or the manufacturer to count toward your lemon law claim.
Don't accept a settlement without understanding your rights. Manufacturers sometimes offer lowball settlements. Know the full value of your claim — including incidental costs like towing, rental cars, and missed work.
Don't trade in the vehicle before filing your claim. Once you trade it in or sell it, you may lose your lemon law rights. File your claim while you still own the vehicle.
How Vermont differs from federal law
Vermont has one of the most consumer-friendly lemon laws in the country, covering both new and used vehicles:
- Vermont Lemon Law (9 V.S.A. § 4170–4181): If a new vehicle has a substantial defect that the manufacturer or dealer cannot fix after a reasonable number of attempts, the buyer is entitled to a replacement vehicle or a full refund (minus a reasonable allowance for use).
- Used vehicle coverage: Vermont is one of the few states where the lemon law extends to used vehicles. Used vehicles sold by a dealer with a warranty are covered. This is a significant consumer protection not available in most states.
- Lemon law presumption: A vehicle is presumed to be a lemon if the same defect has been subject to repair 3 or more times, or the vehicle has been out of service for a cumulative total of 30 calendar days during the warranty period.
- Manufacturer arbitration: Vermont requires consumers to use a manufacturer's certified arbitration program (if one exists) before filing a lawsuit. The arbitration decision is binding on the manufacturer but not on the consumer.
- Attorney fees: If the consumer prevails, the manufacturer may be required to pay reasonable attorney fees, making it easier to find legal representation.
Additional Steps in Vermont
Document every repair attempt and keep all work orders. Notify the manufacturer in writing. Contact the Vermont Attorney General's Consumer Assistance Program at (800) 649-2424 or ago.vermont.gov.
Relevant Law: 9 V.S.A. § 4170–4181 (Vermont Lemon Law — new and used vehicles). Federal Magnuson-Moss Warranty Act, 15 U.S.C. § 2301 et seq.
Common Questions
When does lemon laws apply?
This right generally applies when:You purchased or leased a new vehicle (most state lemon laws cover new vehicles; some states also cover used vehicles)The vehicle has a substantial defect covered by the manufacturer's warranty that impairs its use, value, or safetyThe defect occurred within a specific time or mileage limit (typically 1-2 years or 12,000-24,000 miles, varies by state)The manufacturer or dealer has had a reasonable number of repair attempts and failed to fix the problemWhat counts as a "reasonable number" of repair attempts:Most states: 3-4 repair attempts for the same defect,...
What should I do if my new car keeps breaking down and the dealer can't fix it?
Step 1: Document every repair visit. Keep copies of all repair orders, receipts, and correspondence with the dealer. Note the dates, mileage, and a description of the problem each time.Step 2: Give the manufacturer written notice that you believe the vehicle is a lemon. Many states require a formal written demand before you can file a claim. Send it by certified mail.Step 3: Check whether your state requires manufacturer arbitration before you can sue. Many manufacturers (and some states) require you to go through an arbitration process first. This is typically free and faster than court.Step...
What mistakes should I avoid with lemon laws?
Don't stop taking the vehicle in for repairs. You need to establish a record of repair attempts. If you stop going to the dealer, you may not meet your state's threshold for a lemon law claim.Don't go to an independent mechanic for warranty repairs. Repairs must be performed by an authorized dealer or the manufacturer to count toward your lemon law claim.Don't accept a settlement without understanding your rights. Manufacturers sometimes offer lowball settlements. Know the full value of your claim — including incidental costs like towing, rental cars, and missed work.Don't trade in the vehicle...
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