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The lemon law for the state of Nebraska is contained in the Chapter 60, sections 2701 to 2709. This law protects the buyers of new motor vehicles against any defect that might occur within the warranty period. These provisions are applicable to all vehicles purchased after 1984.

In the event that the newly purchased vehicle develops a defect within its warranty period, then it is the duty of the manufacturer to undertake repairs of it at his cost as soon as possible. However for this provision to attach, the buyer must send a written notification of the fault to the manufacturer as soon as the fault surfaces.

In case even after repeated attempts at repairs, the defect persists, then the manufacturer should, either replace the vehicle with a similar new vehicle, or refund the amount paid by the buyer and repurchase the vehicle.

If the vehicle is repurchased from the buyer, then the manufacturer should refund, not only the purchase price, but all allied costs like taxes, license and registration fees, etc. to the buyer. He is however entitled to deduct a reasonable amount towards the normal depreciation of the vehicle.

The above two provisions will attach only when the manufacturer is give a reasonable opportunity to repair the vehicle. It would be considered reasonable, if the vehicle has been repaired at least four times, or the vehicle is kept garaged for forty or more days for repairs during the warranty period.

The liability of the manufacturer however will get extinguished if he proves that the defect so arisen is not due to some manufacturing defect, but is out of the consumer’s neglect, abuse of misuse of the vehicle.

Dispute settlement

In case the manufacturer has set up any informal arbitration process, or participates in one such, then the consumer would be mandated to approach such a mechanism first. Only then will he be entitled to other remedial provisions of this statute.

In case he is not satisfied with the award of the arbitration process, then the consumer can approach the court of adequate jurisdiction for relief. The limitation period is one year from expiry of the warranty, or two years from the date of delivery of the vehicle.

If the consumer is successful in his motion, then, along with damages, he will be entitled to costs, including attorney fees also.

The US federal law governing lemons is officially called The Magnuson-Moss Warranty Act, however, most American states each have their own lemon law.


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