ARIZONA LEMON LAW:
Arizona Lemon Law
Arizona Revised Statutes §§ 44-1261 to 1267
44-1261 . Definitions; exemptions
A. In this article, unless the context otherwise requires:
1. "Consumer" means the purchaser, other than for purposes of resale, of a motor
vehicle, any person to whom the motor vehicle is transferred during the duration
of an express warranty applicable to the motor vehicle or any other person
entitled by the terms of the warranty to enforce the obligations of the
warranty.
2. "Motor vehicle" means a self-propelled vehicle designated primarily for the
transportation of persons or property over the public highways.
3. "Used motor vehicle" means a motor vehicle that has been sold, bargained,
exchanged or given away or the title to which has been transferred from the
person who first acquired the vehicle from the manufacturer, importer or dealer
or agent of the manufacturer or importer and that has been placed in bona fide
consumer use.
4. "Used motor vehicle dealer" means a person or business that sells or offers
for sale a used motor vehicle after selling or offering for sale four or more
used motor vehicles in the previous twelve months but does not include a bank or
financial institution, an insurance company, a business selling a used motor
vehicle to an employee of that business, a lessor selling a leased vehicle by or
to the lessee of that vehicle or to an employee of the lessee of that vehicle or
a person who buys, sells, exchanges or offers or attempts to negotiate a sale of
or exchange an interest in a classic car as defined in section 28-2483 or a
historic vehicle as defined in section 28-2484.
B. If the motor vehicle is a motor home, the provisions of this article shall
apply to the self-propelled vehicle and chassis but not to those portions of the
vehicle designed, used or maintained primarily as a mobile dwelling, office or
commercial space.
C. The provisions of this article do not apply to a sale of a motor vehicle to a
purchaser for the purpose of resale for profit or to a motor vehicle with a
declared gross weight over ten thousand pounds or that is sold at a public
auction.
44-1262 . New motor vehicle; repair during express warranty or two years or
twenty-four thousand miles
A. If a new motor vehicle does not conform to all applicable express warranties:
1. A consumer shall report the nonconformity to the manufacturer, its agent or
its authorized dealer or issuer of a warranty during the shorter of the
following:
(a) The term of the express warranty.
(b) The period of two years or twenty-four thousand miles following the date of
original delivery of the motor vehicle to the consumer, whichever is earlier.
2. The manufacturer, its agent or its authorized dealer or the issuer of a
warranty shall make those repairs that are necessary to conform the motor
vehicle to such express warranties, even if the repairs are made after the
expiration of the term or two year period or twenty-four thousand mile limit.
B. This section does not limit in any way the remedies available to a consumer
under a new motor vehicle warranty that extends beyond the limits prescribed in
this section.
44-1263 . Inability to conform motor vehicle to express warranty; replacement of
vehicle or refund of monies; affirmative defenses
A. If the manufacturer, its agents or its authorized dealers are unable to
conform the motor vehicle to any applicable express warranty by repairing or
correcting any defect or condition which substantially impairs the use and value
of the motor vehicle to the consumer after a reasonable number of attempts, the
manufacturer shall replace the motor vehicle with a new motor vehicle or accept
return of the motor vehicle from the consumer and refund to the consumer the
full purchase price, including all collateral charges, less a reasonable
allowance for the consumer's use of the vehicle. The manufacturer shall make
refunds to the consumer and lienholder, if any, as their interests appear. A
reasonable allowance for use is that amount directly attributable to use by the
consumer before his first written report of the nonconformity to the
manufacturer, agent or dealer and during any subsequent period when the vehicle
is not out of service by reason of repair.
B. It is an affirmative defense to any claim under this article that either:
1. An alleged nonconformity does not substantially impair the use and market
value of the motor vehicle.
2. A nonconformity is the result of abuse, neglect or unauthorized modifications
or alterations of the motor vehicle.
44-1264 . Reasonable number of attempts to conform motor vehicle to express
warranty; presumption
A. It is presumed that a reasonable number of attempts have been undertaken to
conform a motor vehicle to the applicable express warranties if either:
1. The same nonconformity has been subject to repair four or more times by the
manufacturer or its agents or authorized dealers during the shorter of the
express warranty term or the period of two years or twenty-four thousand miles
following the date of original delivery of the motor vehicle to the consumer,
whichever is earlier, but the nonconformity continues to exist.
2. The motor vehicle is out of service by reason of repair for a cumulative
total of thirty or more calendar days during the shorter of the express warranty
term or the two year period or twenty-four thousand miles, whichever is earlier.
B. The term of an express warranty, the two year period and the thirty day
period are extended by any period of time during which repair services are not
available to the consumer because of any war, invasion, strike, fire, flood or
other natural disaster.
C. The presumption prescribed in this section does not apply against a
manufacturer unless the manufacturer has received prior direct written
notification from or on behalf of the consumer of the alleged defect and has had
an opportunity to cure the alleged defect.
44-1265 . Nonlimitation of rights; refund or replacement not required if certain
procedures not followed; attorney fees
A. If a manufacturer has established or participates in an informal dispute
settlement procedure which complies in all respects with 16 code of federal
regulations part 703, section 44-1263 relating to refunds or replacement does
not apply to any consumer who has not first resorted to such a procedure.
B. A consumer shall begin an action under this article within six months
following the earlier of expiration of the express warranty term or two years or
twenty-four thousand miles following the date of original delivery of the motor
vehicle to the consumer, whichever is earlier. If a consumer prevails in an
action under this article, the court shall award the consumer reasonable costs
and attorney fees.
44-1266 . Notice to dealers and prospective purchasers
A. A manufacturer who has been ordered by judgment or decree to replace or
repurchase a motor vehicle pursuant to this article or the repair or replace
laws of another state shall, before offering the motor vehicle for resale,
attach to the motor vehicle written notification indicating the motor vehicle
has been replaced or repurchased. A consumer has a cause of action against any
person who removes the written notification from the motor vehicle, except as
provided in subsection B of this section.
B. A motor vehicle dealer, broker, wholesale motor vehicle dealer or wholesale
motor vehicle auction dealer as defined in section 28-4301 who offers for sale a
motor vehicle that has been replaced or repurchased pursuant to this article or
the repair or replace laws of another state shall provide the purchaser with the
manufacturer's written notification indicating that the motor vehicle has been
replaced or repurchased before completion of the sale.
C. It shall constitute an affirmative defense in an action brought pursuant to
subsection A of this section against a motor vehicle dealer or an agent of a
motor vehicle dealer that the notification described in subsection A of this
section was removed by someone other than the dealer or agent without the
knowledge of the dealer or agent.
44-1267 . Used motor vehicles; title; implied warranty of merchantability
disclaimer; waiver; burden of proof; remedies
A. Before the seller attempts to sell a used motor vehicle the seller shall
possess the title to the used motor vehicle and the title shall be in the
seller's name.
B. Except as provided in subsection I of this section and in addition to the
requirements of section 28-4412, a used motor vehicle dealer shall not exclude,
modify or disclaim the implied warranty of merchantability prescribed in section
47-2314 or limit the remedies for a breach of that warranty, except as otherwise
provided in this section, before midnight of the fifteenth calendar day after
delivery of a used motor vehicle or until a used motor vehicle is driven five
hundred miles after delivery, whichever is earlier. In calculating time under
this subsection, a day on which the warranty is breached is excluded and all
subsequent days in which the motor vehicle fails to conform with the implied
warranty of merchantability are also excluded. In calculating distance under
this subsection, the miles driven to obtain or in connection with the repair,
servicing or testing of the motor vehicle that fails to conform with the implied
warranty of merchantability are excluded. An attempt to exclude, modify or
disclaim the implied warranty of merchantability or to limit the remedies for a
breach of that warranty, except as otherwise provided in this section, in
violation of this subsection renders a purchase agreement voidable at the option
of the purchaser.
C. For the purposes of this section, the implied warranty of merchantability is
met if the motor vehicle functions in a safe condition as provided in title 28,
chapter 3, article 16 and is substantially free of any defect that significantly
limits the use of the motor vehicle for the ordinary purpose of transportation
on any public highway. The implied warranty of merchantability expires at
midnight of the fifteenth calendar day after delivery of a used motor vehicle or
when a used motor vehicle has been driven five hundred miles after delivery,
whichever is earlier. In calculating time under this subsection, a day on which
the warranty is breached is excluded and all subsequent days in which the motor
vehicle fails to conform with the implied arranty of merchantability are also
excluded. In calculating distance under this subsection, the miles driven to
obtain or in connection with the repair, servicing or testing of the motor
vehicle that fails to conform with the implied warranty of merchantability are
excluded.
D. The implied warranty of merchantability described in this section does not
extend to damage that occurs after the sale of the motor vehicle and that is the
result of any abuse, misuse, neglect, failure to perform regular maintenance or
to maintain adequate oil, coolant or other required fluid or lubricant or off
road use, racing or towing.
E. If the implied warranty of merchantability described in this section is
breached, the purchaser shall give reasonable notice to the seller. Before the
purchaser exercises any other remedies under title 47, chapter 2, the seller
shall have a reasonable opportunity to repair the vehicle. The purchaser shall
pay one-half of the cost of the first two repairs necessary to bring the vehicle
in compliance with the warranty. The purchaser's payments are limited to a
maximum payment of twenty-five dollars for each repair.
F. The maximum liability of the seller under this section is limited to the
purchase price paid for the used motor vehicle.
G. An agreement for the sale of a used motor vehicle by a used motor vehicle
dealer is voidable at the option of the purchaser unless it contains on its face
the following conspicuous statement printed in bold-faced ten point or larger
type set off from the body of the agreement:
The seller hereby warrants that this vehicle will be fit for the ordinary
purposes for which the vehicle is used for 15 days or 500 miles after delivery,
whichever is earlier, except with regard to particular defects disclosed on the
first page of this agreement. You (the purchaser) will have to pay up to $25.00
for each of the first two repairs if the warranty is violated.
H. The inclusion of the statement prescribed in subsection G of this section in
the agreement does not create an express warranty.
I. A purchaser of a used motor vehicle may waive the implied warranty of
merchantability described in this section only for a particular defect in the
vehicle and only if all of the following conditions are satisfied:
1. The used motor vehicle dealer fully and accurately discloses to the purchaser
that because of circumstances unusual to the used motor vehicle dealer's
business, the used motor vehicle has a particular defect.
2. The purchaser agrees to buy the used motor vehicle after disclosure of the
defect.
3. Before the sale, the purchaser indicates agreement to the waiver by signing
and dating the following conspicuous statement that is printed on the first page
of the sales agreement in bold-faced ten point or larger type and that is
written in the language in which the presentation was made:
Attention purchaser: sign here only if the dealer told you that this vehicle has
the following problem(s) and that you agree to buy the vehicle on those terms:
1._______________________________
2._______________________________
3._______________________________
J. The dealer has the burden to prove by a preponderance of the evidence that
the dealer complied with subsection I of this section.
K. Any purchaser or seller who is aggrieved by a transaction pursuant to this
section and who seeks a legal remedy shall pursue any appropriate remedy
prescribed in title 47, chapter 2 and shall comply with the requirements
prescribed in title 47, chapter 2.
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