Delaware Lemon Laws

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What is covered under Delaware lemon law?
Delaware lemon law applies to new and used passenger vehicles that were sold or leased in the state of Delaware. Motorcycles and the living areas of motor homes are not covered by Delaware lemon law.

What kinds of problems are covered by Delaware lemon law?
In order to qualify for coverage under Delaware lemon law, the vehicle must have a serious defect that causes nonconformity to the vehicle's warranty. The nonconformity must affect the use, safety, or value of the vehicle. This nonconformity cannot be caused by neglect, abuse, or modification to the vehicle by anyone other than the manufacturer or its agents and dealers. The nonconformity must be reported to the manufacturer within either the warranty period or one year after purchase of the vehicle, whichever comes first.

How can I file under Delaware lemon law?
Before a claim can be made under Delaware lemon law, the manufacturer must receive notice of the nonconformity in writing and have a reasonable chance to repair it. A reasonable chance is considered to have passed after four unsuccessful attempts to repair the problem or when the vehicle has been out of commission for thirty calendar days and the nonconformity still exists. If the manufacturer has an approved settlement process in place, the consumer must go through that process in order to qualify for remedies under Delaware lemon law.

What are the remedies offered under Delaware lemon law?
If the vehicle is found to fall under Delaware lemon law, the manufacturer must offer either a refund of the purchase price or a replacement vehicle. A refund must include the full purchase price including credits and trade ins, all taxes, dealer preparation fees, and registration fees, minus a reasonable offset for use of the vehicle. The maximum offset is calculated by dividing the number of miles driven before the nonconformity was reported by 100,000 and multiplying the result by the full purchase price. An amount for any damages not caused by normal wear and tear or the nonconformity is also subtracted from the refund amount.

If a replacement vehicle is offered, it must be new and comparable to the original vehicle. No offset may be applied. The manufacturer must also refund incidental costs and pay all taxes and fees for the new vehicle. If the original vehicle was financed by the manufacturer, the financing for the new vehicle must not create a greater financial burden than the old agreement.