Michigan Consumers Purchased 2006 Ford Expedition With An "Odorous" History"

A case filed in Michigan against Suburban Ford of Sterling Heights alleges the dealership sold two women an overpriced vehicle that had multiple undisclosed issues including  a rental car history with Avis and the vehicle was reportedly stolen and recovered.

3 months after purchasing a 2006 Ford Expedition, two Michigan women noticed the vehicle began to smell horribly offensive as the outside temperature increased. The Expedition was towed to the dealer where it sat for 3 weeks. At the end of this period, the dealer allegedly informed the consumers that the bad smell could be attributed to the presence of a dead animal and instructed the plaintiff to contact their insurance carrier.

The plaintiffs did indeed contact their insurance carrier State Farm and were informed after investigation by a hazmat inspector hired in by the insurance carrier, that allegedly the odor was not caused by any sort of animal but instead was "human in nature" and thus the claim was denied.

After returning to the dealer with the vehicle history report, Suburban Ford of Sterling Heights allegedly denied knowledge of the Ford Expedition's questionable past history and refused to refund the purchase or cancel the contract.

The plaintiffs in this case seek damages for fraud, breach of implied warranties, breach of faith, violation of Michigan consumer law, and liability/violations under the Magnuson-Moss Warranty Act.

Were you blind sided by auto dealer fraud? Contact a lemon law attorney for a free consultation.

Extended Warranties Often No Bargain

According to recent Federal Trade Commission(FTC)  reports, extended warranties, offered by third party warranty companies for everything from cars to small electronics, are a much better deal for the seller than the purchaser. In fact, the profit margin for the sale of an extended warranty is often greater than the profit margin on the original product. The manufacturer, insurance company, or third party warranty company is betting on the product not breaking down during the 2-3 year period that goes along with most extended warranties.

Its wise to check around to determine what offers are available for an extended warranty for your vehicle,truck, van, SUV, or motorcycle, for example, you can reportedly get a better deal from an automobile insurance company as compared to the automobile manufacturer's extended warranty offering. Read the fine print and compare the coverage from company to company rather than just going with the first extended warranty company or other supplier that has the lowest price as its not just about low cost protection. The time to look into extended coverage is actually before your current automobile warranty expires so you are not left unprotected.

In the event you are experiencing defects or issues under the original manufacturer's warranty period, a lemon law attorney could assist in reviewing your issues to determine if they constitute filing a lemon law claim. Each state has its own set of requirements and the Magnuson-Moss Federal Warranty Rights Act, also known as the federal lemon law also offers consumer protection.

Find out more about manufacturers warranties and the lemon law.

Your Used Vehicle Purchased in Mississippi Could Have a "Washed Title"

What happens to a totaled car? Much of the time, it's sold for scrap. Sometimes, though, it is rebuilt and put back on the road. Maybe the job was done well. Maybe it was not. These vehicles can look perfectly fine but, on further inspection, turn out to be "lemon law buybacks" or rebuilt vehicles that are not what they appear to be.

In most states, the consumer protection laws require that a rebuilt vehicle has to say 'Rebuilt' on the title. This means a prospective purchaser knows what they are getting and can decide whether or not its worth it to take the risk. In a few, however, it is possible to 'wash' the car's title, meaning that there is no indication that the vehicle was totaled, salvaged and then rebuilt. Mississippi is one of those states. Title washing is also done to conceal the fact that a vehicle might have been flooded, a common problem in the state.

These vehicles do need to be inspected before the clean title is issued. However, the inspection is commonly perfunctory. It is performed by the Mississippi Bureau of Investigations, an agency more concerned with finding stolen parts than with the safety of the vehicle. And the fee is only $75. In other states, legislation places tighter controls on who can rebuild a vehicle and in most cases, the title always has to carry 'rebuilt', regardless of the end condition of the vehicle so you would be aware of purchasing a vehicle with inherent issues. Still, in Mississippi, people can be driving around in vehicles that are literally put back together from pieces, and not even be aware.

The good news is that this dangerous practice may soon be stopped. The Mississippi House is currently reading House Bill #485, which would tighten up the procedures needed to obtain title on a salvaged vehicle. Meanwhile, Mr. Ensign introduced a bill to the U.S. Senate entitled 'Passenger Vehicle Loss Disclosure Act of 2011', which has now been referred to committee. This bill would address the situation at the Federal level.

California Gets New Used Car Lemon Law

Buyers in the market for a used vehicle in the state of California will now be the first in the country to get strong protection for used car purchases. According to the new law, a vehicle whether new or used, must be checked against a federal government database and marked with a red warning sticker in the event any defect or other serious safety issues were found. The bill, introduced by the Democratic State Assemblyman Bob Blumenfield, was signed into law by Governor Jerry brown Monday September 26, was backed by consumer advocates, law enforcement officials and used car dealers as well. Proponents of the new law, including Rosemary Shahan, President of CARS (Consumers for Auto Reliability and Safety) insist that it will protect consumers by ensuring that a vehicle with a history of defects and safety issues will not end up in the hands of another driver with no advance notice of its prior issues, which in some instances, may be serious. Among the supporters of the bill are the California New Car Dealers Association and the National Independent Automobile Dealers Association, which represents used-car dealers. The government's website for checking a vehicle's history is www.VehicleHistory.gov and it is available to the public for a small fee. Part of the law will permit dealers to charge consumers additional fees for documents. Up until now, new-car dealers were not allowed to charge more than $55 and the cap has been raised to $80. For used-car dealers, the old cap of $45 has also been increased to $80. However, those numbers are the top, the actual dollar amount of the fee will still be negotiated between the dealer and the buyer at purchase. As far as legislation in other states to mandate the use of the new government vehicle database/pre-check, the National automobile Dealer Association hasn't made any efforts to address this nation wide though a spokesman said the group supports any effort that would provide consumers with more information before making a used or new vehicle purchase.

Latest Honda and Ford Recalls

The latest round of recalls includes 2009-2011 Ford E-150, E-250, E-350, E-450 and 2009-2011 Honda Pilots. Honda is recalling the Pilots voluntarily as the front seat belts in some crash situations could become detached from the anchor webbing due to faulty stitching. Since this is an issue of safety and serious concern, if you have a 2009-2011 Honda Pilot and have not received your recall notice yet, contact your dealer immediately. Ford's recalls involve fuel rails included in models and years above and is for vans equipped with Roush propane conversion kits that may leak propane because of a bad injector retention clip that was placed incorrectly. Should you have any additional issues with any of the vehicles regarding the recalls or other defects, contact lemon lawyers for a free lemon law case review. Just because your manufacturer issues a recall, it doesn't mean that you have to ignore your lemon law rights.

Lemon Law 2011

A recently passed, new and improved Lemon Law allows new car owners to return defective cars to the dealer within 12 months of purchase. A vehicle that suffers from frequent electrical malfunctions or mechanical breakdowns during a short period, and thus endangers the operator, receives the designation of “lemon”. This beneficial law benefits both consumers and the economy. The Lemon Law of 2011, or House Bill 4841, “An Act Strengthening Consumer Protection in the Purchase of Brand New Motor Vehicles”, protects consumers who purchase a new vehicle with defects. Such new car owners would have the right to choose to receive a similar powered replacement vehicle or a refund of the purchase price and miscellaneous other charges associated with vehicle purchases. Additionally, the consumer receives a loaner car or taxi allowance while the new car undergoes repairs in a shop. The law applies to new vehicles purchased within the past 12 months. This law might sound unnecessary since new vehicle warranties typically cover repairs for a period of up to five years. However, many consumers praise the law and its protection from defective new vehicle purchases. Before the Lemon Law, consumers who purchased defective new vehicles had little recourse for compensation. With such an expensive purchase, one wishes to receive a reliable vehicle in perfect working condition. This law gives consumers trustworthy transportation as well as a legal outlet for settling disputes. When consumers purchase expensive items like new cars, factory, dealership, and government employees receive wages. These workers in turn spend money, which benefits the consumer. Overall, everyone benefits from the Lemon Law. Consumers boost the economy and confidently purchase new quality vehicles with assurances that factory defects will be corrected or they will receive a new vehicle. With the Lemon Law of 2011, everyone wins.

CA Proposed Bill Would Warn Potential Buyers of Vehicles Previous "Lemon" History

A proposed California bill would ensure that car buyers are warned of vehicles that were bought back under the lemon law prior to their current for sale or lease status. Dealers would be required to check the vehicle identification number of any used auto for sale through the National Motor Vehicle Title Information System and if the vehicle is found to have a branded or "lemon title" a sticker must be prominently displayed on the vehicle to advise the buyer of this status.

Though the bill is good news as it requires disclosure of lemon law information about a potentially bad vehicle to the buyer, the flip side is that the documentation fee charged by auto dealers will now go up by $25 with the consumer absorbing this increase in cost. If the bill becomes law, auto retailers will be able to increase the documentation fees charged for processing auto purchases and lease agreements to $80 from $55 for new- and used-car purchases and from $45 for car leases.


The legislation supported by consumer groups, law enforcement agencies and the California New Car Dealers Association, also states that repair shops, salvage yards, insurance companies and towing companies must report totaled vehicles to the database which is monitored by the U.S. Justice Department.

The Bill, AB 1215, legislation introduced by Bob Blumenfield (D-Woodland Hills),was passed by the state Assembly and will move to the state Senate for a vote after summer break.