Thursday, September 25, 2014

Used Car Laws in Massachusetts

Massachusetts has two major used car laws: the Used Vehicle Warranty Law and the Lemon Law. The laws aim to give consumers protection when they buy a used car from a private seller or a dealer. Both laws state many of the same requirements. However, both laws don't cover all vehicles. For example, the Lemon Law covers leased cars and motorcycles, whereas the Used Vehicle Warranty Law does not cover those vehicle types.

Covered Vehicles

    The Used Vehicle Warranty Law does not cover all types of vehicles and only covers cars that the Lemon Law does not cover. It does cover both privately sold and dealer sold cars. However, it only covers dealer cars sold for at least $700 and with fewer than 125,000 miles on the clock. The law does not cover off-road vehicles, motorcycles, leased cars, business-owned cars and mopeds.

Private Sales

    Under the Used Vehicle Warranty Law and Lemon Law private sellers of used cars must tell potential purchasers of all know issues with the car that might affect the use of it. Unlike dealer sold cars, privately sold cars do not have a mileage cap or sales price limit for coverage. Buyers have the right to terminate their purchase if they find a fault within 30 days and can prove that the seller knew about it.

Dealer Sales

    Dealers must inform buyers of any problems with the car. However, the Used Vehicle Warranty Law and the Lemon Law do not cover faults that don't effect the car's drivability. For example, faults effecting only the appearance, non-defect related negligence or accidents and non-dealer repairs do not get coverage under the law.

Warranty

    Dealers must provide a warranty of 30 to 90 days or 1,250 miles to 3,750 miles to buyers of used cars under both the Lemon Law and the Used Vehicle Warranty Law. The warranty length depends on the car's mileage or age. If the car needs to go back to the dealer for repairs, while still under warranty, the dealer must extend the warranty by one day for each day the car can't be used. If you have problems with you car during the warranty, you must take it back to the dealer to get fixed. Dealers can charge a maximum deductible of $100 if this deductible is included on your warranty document. If the dealer has to repair the same problem three times, the buyer can demand a refund.

Dealer Repurchase

    The Used Vehicle Warranty Law allows dealers to refuse making repairs, but only if it offers to buy back the car for the price you bought it for.

Mileage

    Cars covered by the Massachusetts Lemon Law cannot have their odometers tampered with. Both private sellers and dealers are subject to this.

Vehicle Title

    The Lemon Law requires dealers to provide buyers with the name and address of the previous owner and the Registry of Motor Vehicles title, according to the Massachusetts department of Consumer Affairs and Business Regulation.

Car Inspection

    Anyone who buys a used car must register it straight away and take it to a Massachusetts Inspection Station. The inspection must take place within seven days of the registration, otherwise you will not get Lemon Law coverage. Choose an inspection station at a location other than the dealer you have bought the car from. If the car fails the inspection you can return it to the dealer for a full refund, so long as the reasons for the failure are not due to your own negligence.

Lemon Law Refund

    Besides failing the inspection, the Lemon Law covers an excessive amount of repairs. If you need to bring you car to get repairs and it must stay in the garage for at least 10 business days during the warranty period, you can get a refund.

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