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State Statutes - Idaho - Title 48 - Chapter 9 - 48-903
Idaho Statutes
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48-903 - MANUFACTURER'S DUTY TO REFUND OR REPLACE
(1) If the
manufacturer, its agents, or its authorized dealers are unable to conform the
new motor vehicle to any applicable express warranty by repairing or
correcting any defect or condition which impairs the use or market value of
the motor vehicle to the consumer after a reasonable number of attempts, the
manufacturer shall either replace the new motor vehicle with a comparable
motor vehicle or accept return of the vehicle from the consumer and refund to
the consumer the amount the consumer paid for the vehicle, inclusive of the
value of any trade-in, not to exceed one hundred five percent (105%) of the
manufacturer's suggested retail price of the motor vehicle. The manufacturer's
suggested retail price shall include all manufacturer installed options. The
one hundred five percent (105%) cap shall include the cost of any options or
other modifications arranged, installed, or made by the manufacturer's agent,
or its authorized dealer within thirty (30) days after the date of original
delivery. The manufacturer shall refund to the consumer all other charges
including, but not limited to, sales or excise tax, license fees and
registration fees, reimbursement for towing and rental vehicle expenses
incurred by the consumer as a result of the vehicle being out of service for
warranty repair. A reasonable allowance for the consumer's use of the vehicle
shall be deducted from the refund to the consumer not to exceed the number of
miles attributable to the consumer up to the date of the arbitration hearing
multiplied by the purchase price of the vehicle and divided by one hundred
twenty thousand (120,000). If the manufacturer offers a replacement vehicle
under this section, the consumer has the option of rejecting the replacement
vehicle and requiring the manufacturer to provide a refund. Refunds must be
made to the consumer, and lienholder, if any, as their interests appear on the
records of the division of motor vehicles of the Idaho transportation
department. A manufacturer must give to the consumer an itemized statement
listing each of the amounts refunded under this section. If the amount of
sales or excise tax refunded is not separately stated, or if the manufacturer
does not apply for a refund of the tax within one (1) year of the return of
the motor vehicle, the state tax commission may refund the tax, as determined
under subsection (8) of this section, directly to the consumer and lienholder,
if any, as their interests appear on the records of the division of motor
vehicles. It is an affirmative defense to any claim under this chapter: (a)
that an alleged nonconformity does not impair the use or market value, or (b)
that a nonconformity is the result of abuse, neglect, or unauthorized
modifications or alterations of a motor vehicle by anyone other than the
manufacturer, its agent or its authorized dealer.
(2) It is presumed that a reasonable number of attempts have been
undertaken to conform a new motor vehicle to the applicable express
warranties, if: (a) the same nonconformity has been subject to repair four (4)
or more times by the manufacturer, its agents, or its authorized dealers
within the applicable express warranty term or during the period of two (2)
years following the date of original delivery of the new motor vehicle to a
consumer or during the period ending with the date on which the mileage on the
motor vehicle reaches twenty-four thousand (24,000) miles, whichever is the
earliest date, but the nonconformity continues to exist. However, the
manufacturer shall have at least one (1) opportunity to attempt to repair the
vehicle before it is presumed a reasonable number of attempts have been
undertaken to conform the vehicle to the applicable express warranty; or (b)
the vehicle is out of service by reason of repair for a cumulative total of
thirty (30) or more business days during the term or during the period,
whichever is the earlier date.
(3) If the nonconformity results in a complete failure of the braking or
steering system of the new motor vehicle and is likely to cause death or
serious bodily injury if the vehicle is driven, it is presumed that a
reasonable number of attempts have been undertaken to conform the vehicle to
the applicable express warranties if the nonconformity has been subject to
repair at least once by the manufacturer, its agents, or its authorized
dealers within the applicable express warranty term or during the period of
two (2) years following the date of original delivery of the new motor
vehicle to a consumer or during the period ending with the date on which the
mileage on the motor vehicle reaches twenty-four thousand (24,000) miles,
whichever is the earliest date, and the nonconformity continues to exist.
However, the manufacturer shall have at least one (1) opportunity to attempt
to repair the vehicle before it is presumed a reasonable number of attempts
have been undertaken to conform the vehicle to the applicable express
warranty.
(4) The term of an applicable express warranty, the two (2) year period
and the thirty (30) day period shall be extended by any period of time during
which repair services are not available to the consumer because of a war,
invasion, strike, or fire, flood, or other natural disaster.
(5) The presumption contained in subsection (2) of this section applies
against a manufacturer only if the manufacturer, its agent, or its authorized
dealer has received prior written notification from or on behalf of the
consumer at least once and an opportunity to cure the defect alleged. If the
notification is received by the manufacturer's agent or authorized dealer, the
agent or dealer must forward it to the manufacturer by certified mail, return
receipt requested. However, if the manufacturer is not notified either by the
consumer or the manufacturer's agent or authorized dealer, then the
manufacturer shall have at least one (1) opportunity to cure the alleged
defect.
(6) The expiration of the time periods set forth in subsection (2) of
this section does not bar a consumer from receiving a refund or replacement
vehicle under subsection (1) of this section if the reasonable number of
attempts to correct the nonconformity causing the substantial impairment occur
within three (3) years following the date of original delivery of the new
motor vehicle to a consumer, provided the consumer first reported the
nonconformity to the manufacturer, its agent, or its authorized dealer during
the term of the applicable express warranty.
(7) The manufacturer shall provide to its agent or authorized dealer and,
at the time of purchase or lease, the manufacturer's agent or authorized
dealer shall provide a written statement to the consumer in the new motor
vehicle warranty guide, in 10-point all capital type, in substantially the
following form: "IMPORTANT: IF THIS VEHICLE IS DEFECTIVE, YOU MAY BE ENTITLED
UNDER THE STATE'S LEMON LAW TO REPLACEMENT OF IT OR A REFUND OF ITS PURCHASE
PRICE OR YOUR LEASE PAYMENTS. HOWEVER, TO BE ENTITLED TO REFUND OR
REPLACEMENT, YOU MUST FIRST NOTIFY THE MANUFACTURER, ITS AGENT, OR ITS
AUTHORIZED DEALER OF THE PROBLEM IN WRITING AND GIVE THEM AN OPPORTUNITY TO
REPAIR THE VEHICLE. YOU ALSO HAVE A RIGHT TO SUBMIT YOUR CASE TO THE CONSUMER
ARBITRATION PROGRAM WHICH THE MANUFACTURER MUST OFFER IN THIS STATE."
(8) The amount of the sales or excise tax to be paid by the manufacturer
to the consumer under subsection (1) of this section shall be the tax paid by
the consumer when the vehicle was purchased less an amount equal to the tax
paid multiplied by a fraction, the denominator of which is the purchase price
of the vehicle and the numerator of which is the allowance deducted from the
refund for the consumer's use of the vehicle.
 
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