Calculation of Mileage Offset under Lemon Law

by Andrew Richardson allenstewart

The Lemon Law in California applies to both purchased as well as leased and second-hand vehicles (that are within the Warranty period) when the Company's Authorized Dealer has made several repair efforts under warranty the fix the problem with a vehicle – but to no success.

Looking at the law, it seems to be pretty simple at first glance. But as we all know, nothing in the law is that straightforward.

What Exactly is The Lemon Law?

Suppose you have just purchased or rented a new or a pre-owned vehicle in California, which turns to be a lemon (i.e., faulty). In that case, you can expect your dealer or manufacturer for a buyback of the car.

After purchasing a vehicle that is still under the warranty period, you have taken the vehicle numerous times to the dealer to get the same problem fixed. Still, to no avail, at such times, your vehicle is termed to be a lemon.

In such times, you ought to seek professional help from a California Lemon Law Attorney. Remember that the first consultation should be non-charged and non-obligatory. The Attorney's first attempt should be to settle the case outside the court.

What are The Benefits of a Consumer Under The Lemon Law?

The car manufacturer will provide an itemized quote to your attorney if the company is willing to buy back your vehicle. Largely, the attorney fees too have to be paid by the company if your claim is cleared in the court.

A lot of thought process goes to finalize the exact buyback cost of your vehicle. Always have faith in your attorney to arrange the best deal for you, which for you on a personal front would have been impossible.

Before hiring a California Lemon Laws Attorney, it is always suggested that you check your warranty period and see to it that your vehicle falls under the Lemon Category.

What is mileage offset? And how do you calculate it?

If your car falls under the category of being a lemon and you are entitled to get a refund or replacement, the manufacturer or the authorized dealer is given the authority to minus an offset value for the span you drove the vehicle without any trouble. To calculate the Mileage Offset a formula has been derived.

According to this formula, the offset is calculated by Multiplying the purchase cost with the mileage according to the first warranty repair trial for which your vehicle is termed Lemon, and then dividing that value by 120,000. 120,000 is considered to be the average life expectancy of a vehicle in California)

For Example,

Price Paid by the User for the vehicle - $40,000

Miles driven by the user at first repair under warranty - $18,000

(40,000 x 18,000) / 120,000 = $6000

In this example the mileage offset of your vehicle is $6000

To sign off

Hope this gave an idea about the technicalities of mileage offset under the lemon law.

Andrew Richardson is the author of this Article. To know more about Odometer Reading please visit our website: allenstewart.com