Arkansas Lemon Law
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Arkansas Lemon Law Overview
Arkansas provides statutory remedies for consumers who purchase new motor vehicles that cannot be repaired after a reasonable number of attempts. The Arkansas New Motor Vehicle Quality Assurance Act (A.C.A. § 4-90-401 et seq.) outlines the definition of nonconformity, the applicable warranty period, repair obligations, refund and replacement procedures, and required documentation.
Definition of Nonconformity Under Arkansas’ Motor Vehicle Lemon Law
Under A.C.A. § 4-90-403(13), a nonconformity is any defect or condition that:
- Substantially impairs the use,
- Substantially impairs the market value, or
- Substantially impairs the safety of a motor vehicle, or
Renders the vehicle nonconforming to the terms of the manufacturer’s express or implied warranty
Motor Vehicle Quality Assurance Period
The lemon law protections apply during the motor vehicle quality assurance period, defined in A.C.A. § 4-90-403(12) as:
- Beginning on the date of original delivery, and
Ending 24 months after delivery or after the first 24,000 miles of operation, whichever is later.
Manufacturer’s Obligation to Repair
Under A.C.A. § 4-90-406(a):
- The manufacturer must repair a nonconformity within a reasonable number of attempts
- A defect is presumed unrepairable if:
- It persists after three repair attempts, or
- It is a defect likely to cause death or serious bodily injury and is not repaired after one attempt
When either of these circumstances occurs, the consumer must notify the manufacturer in writing to allow a final repair attempt.
Replacement or Refund
If the manufacturer cannot correct the nonconformity within a reasonable number of attempts, A.C.A. § 4-90-406(b) entitles the consumer to:
- A replacement vehicle, or
- A refund of the full purchase price or lease price,
- Minus a reasonable offset for use
- Minus any amount attributable to physical damage
Reasonable Offset for Use
The reasonable offset for use is calculated under A.C.A. § 4-90-406(b)(3) as:
(Purchase Price) × (Miles Driven Before First Repair Attempt ÷ 120,000)
Documentation Requirements
Under A.C.A. § 4-90-411, manufacturers or dealers must provide a written repair order each time the vehicle is brought in for repair.
The repair order must include:
- References to all defects or complaints reported by the consumer
- Documentation of the work performed
Legislative Intent
The Arkansas General Assembly declares, under A.C.A. § 4-90-402, that defective motor vehicles create significant hardships for consumers. The statute is intended to ensure:
- Prompt handling of warranty complaints
- Effective procedures for replacement or refund when a vehicle cannot be brought into conformity with the warranty
Sales Tax Refunds
Under A.C.A. § 26-52-515, when a manufacturer repurchases a vehicle under the lemon law, the manufacturer may apply for a refund of the sales tax paid on that vehicle, subject to statutory conditions.
Summary
Arkansas law provides:
- A clear definition of nonconformity
- A 24-month/24,000-mile protection period (whichever is later)
- Repair obligations and presumptions for unrepairable defects
- Replacement or refund remedies
- A statutory formula for use offsets
- Required repair documentation
- Legislative recognition of consumer hardship
- Sales tax refund rights for manufacturers repurchasing vehicles
If you believe your vehicle may qualify as a lemon under Arkansas law, contact Auto Lemon Lawyer today for guidance.
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