Leased Vehicle Lemon Law in Florida

Florida Lemon Law covers vehicles that are lease-purchased, and leased vehicles if the lease is for one year or more and the lessee is responsible for taking the vehicle in for repair. In order to be considered a "lemon," the vehicle must meet the following requirements:

• Does not conform to the manufacturer's express warranty
• Has substantial defects affecting the use, safety or value of the vehicle
• Has manufacturer's defects that occurred during the first two years from the delivery date
• Has been taken in three times for the same problem or if it has been out of service for 30 business days due to a series of unrelated problems
• After the dealer has tried to repair the vehicle three times or a total of 15 days, the manufacturer has been notified and given an opportunity to repair the vehicle

Under Florida Lemon Law, you must notify the manufacturer of the problem with your vehicle after the third repair attempt or after the vehicle has been out of service for 15 days, and give the manufacturer the opportunity to fix it one last time.

Before you are eligible to file a Lemon Law claim in court, you must also participate in your vehicle manufacturer's state-certified dispute resolution process (for example, arbitration, conciliation, or mediation). If your vehicle manufacturer does not have a state-certified program, you must submit your dispute to the Florida New Vehicle Arbitration Board. If you are offered a settlement through the arbitration process, you can decline the settlement and file suit.

Wherever you are in the Lemon Law claim process, it is generally in your best interest to have an attorney represent you. After all, vehicle manufacturers have teams of lawyers that do nothing but fight Lemon Law claims. As you consider your options, imagine the difference between going up against a team of lawyers on your own, versus having a Lemon Law attorney speak on your behalf. Also keep in mind that being represented by a Lemon Law attorney won't cost you a dime if you go to court; the law says that the car manufacturer has to pay your attorney's fees in successful Lemon Law claims.

If you choose to go it alone and submit your claim to the Florida New Vehicle Arbitration Board, you should contact the Florida Lemon Law Hotline (800-321-5366 or 850-488-2221) to obtain a Request for Arbitration form. You then submit the form to the Department of Agriculture and Consumer Services, Division of Consumer Services. They will determine whether or not your case is eligible for arbitration.

The Arbitration Hearing

A hearing will be scheduled within 40 days from the date your arbitration application has been accepted. You will be notified of the date, time, and location of your hearing.

A panel of three arbitrators who are trained and experienced in dealing with Lemon Law claims will preside over your hearing. Both you and a representative from the manufacturer speak before the panel. You will speak first. The attorneys for the manufacturer can question you; when the attorneys for the manufacturer speak, you can question them. You should bring your vehicle to the hearing unless it is inoperable or unsafe to drive.

While the arbitration hearing is less formal than an actual court proceeding, you need to come prepared to present your case. You will need the records that outline all of the work done on your car and all of the diagnosed problems; an odometer reading; copies of correspondence with the dealer and/or manufacturer; statements from mechanics or other experts; statements from witnesses; appraisals or estimates of the resale value of the vehicle with its defects; proof that the manufacturer has had the opportunity for one final attempt at repair; and a variety of financial records. It is also important that you have your records in chronological order and ready to present to the panel in an organized fashion.

You must prove to the arbitration panel that the claims you are making are true, and that the defect negatively impacts the use, market value, or safety of the vehicle. It is absolutely vital that you bring proof of each and every point you plan on making. A "he-said-she-said" argument will never result in a ruling in your favor.

At the end of the hearing, the panel will reach a decision that it will later put in writing. You will receive the written version by mail. The decision will outline whether or not your vehicle meets the standards for a refund or replacement. If so, you get to decide whether you want a replace or a refund, which can include:

• The amount of any security deposit paid at lease signing
• Other costs paid out-of-pocket to obtain the lease (for example, service fees, pro-rated taxes, government fees, first monthly payment in advance, and so forth)
• The amount of any allowance for a trade-in vehicle
• The amount of any reasonable "collateral charges," such as dealer-installed options and an extended warranty
• Incidental costs of the defect, such as telephone calls, car rental, towing, repair charges, postage

The amount of the monetary reward may be reduced by a deduction for your use of the vehicle. That deduction is calculated by taking the purchase price, less any manufacturer rebate or negative equity resulting from a trade-in, and multiplying it by the mileage on the date of the arbitration hearing, and then dividing it by 120,000. Mileage that is accrued from dealer test drives, pre-arbitration inspections, and independent inspections for the manufacturer's informal dispute process is not included in the equation.

The arbitration panel's decision is final, unless an appeal is filed with the circuit court within 30 days. If you are awarded a replacement vehicle or refund, and the manufacturer does not appeal it, they must give you your replacement or refund within 40 days of receiving the panel's written decision.