Under Michigan’s Lemon Law, if your new vehicle has a defect that substantially impairs its use or value, you reported it within the first year or the warranty term (whichever ends first), and the manufacturer cannot fix it after a reasonable number of attempts, the manufacturer must replace the vehicle or refund the price. Four repair attempts for the same defect, or 30 days out of service, creates a presumption that you have given it enough chances. You must also send the manufacturer a written final repair notice.
Which vehicles are covered
The Lemon Law (MCL 257.1401 to 257.1410) covers a “new motor vehicle”: a passenger vehicle or sport utility vehicle purchased or leased in Michigan, or by a Michigan resident, and covered by a manufacturer’s express warranty at the time. It excludes motor homes, buses, trucks other than pickups and vans, and vehicles with fewer than four wheels.
You qualify as a consumer if you bought or leased the vehicle mainly for personal, family or household use, or if you buy or lease fewer than 10 new vehicles a year. Anyone else entitled to enforce the express warranty under its terms also qualifies.
The law does not apply to a defect caused by a modification not made by or for the manufacturer, or by abuse, neglect or accident damage after you bought or leased the vehicle (MCL 257.1406).
Step 1: report the defect in time
The manufacturer’s duty to repair applies only if you first reported the defect to the manufacturer or a new vehicle dealer within the earlier of two dates: the end of the manufacturer’s express warranty, or one year from delivery to the original owner (MCL 257.1402). The defect must impair the use or value of the vehicle, or keep it from conforming to the warranty.
Keep every repair order showing the date, mileage and problem reported. Repairs after the warranty ends still count if they continue an original repair attempt (MCL 257.1403(6)).
Step 2: a reasonable number of attempts
MCL 257.1403(5) presumes the manufacturer has had a reasonable number of attempts if either is true:
| Test | What it requires | When to send the final repair notice |
|---|---|---|
| Repeat repairs | The same defect that substantially impairs the vehicle has been subject to repair 4 or more times within 2 years of the first attempt, and it still exists | After the third attempt |
| Days out of service | The vehicle has been out of service for repairs for a total of 30 or more days during the warranty term or within 1 year of delivery, whichever is earlier | After at least 25 days out of service |
These periods can be extended if repair services were unavailable because of war, invasion, strike, fire, flood or other natural disaster (MCL 257.1403(7)).
Step 3: the final repair notice
Before you can use either presumption, you must notify the manufacturer in writing, by return receipt service, of the need to repair the defect. The manufacturer must then tell you where a reasonably accessible repair facility is. After you deliver the vehicle there, the manufacturer has 5 business days to fix it (MCL 257.1403(5)). Sending it only to the dealer is not enough.
Step 4: the manufacturer’s informal dispute program
If the manufacturer runs an informal dispute settlement program that complies with the federal Magnuson-Moss rules (16 CFR Part 703), you must use it before the Lemon Law’s remedies apply (MCL 257.1405). The manufacturer is bound by a decision you accept. You are not required to accept it and may still go to court. If you accept, the manufacturer must start carrying out the settlement within 30 days.
Refund or replacement
If the defect continues after a reasonable number of attempts, the manufacturer must, within 30 days, either replace the vehicle with a comparable one or accept its return and refund the price (MCL 257.1403(1)). For a purchase, you may demand the refund instead of a replacement. For a lease, you are entitled to a refund of lease payments, and you may accept a comparable replacement instead.
The refund can be reduced by an allowance for your use, based on miles driven before you first reported the defect plus miles over 25,000, and by damage beyond normal wear. Towing and rental costs caused by the defect are added if not provided free (MCL 257.1403(2)-(3)). Any lender or lessor is paid its share, and a lessor may not charge an early termination fee (MCL 257.1403(4)).
Attorney fees
Your rights under the Lemon Law cannot be waived. If you prevail in court, the judge may award your costs and expenses, including attorney fees based on actual time spent, unless the court finds an award inappropriate (MCL 257.1407).
The federal Magnuson-Moss Warranty Act
The Magnuson-Moss Warranty Act lets a consumer sue a warrantor who fails to honor a written or implied warranty (15 USC 2310(d)(1)). It is often used alongside a Lemon Law claim, or for a used vehicle sold with a written warranty. A consumer who prevails may recover costs and attorney fees based on actual time spent (15 USC 2310(d)(2)). A Magnuson-Moss case can be filed in state court, or in federal court if at least $50,000 is in controversy (15 USC 2310(d)(3)).
Deadlines
The Lemon Law itself sets no separate deadline to file suit. Its built-in time limits are the reporting window in Step 1 and the repair periods in Step 2. Related warranty claims have their own limits. A breach of warranty claim under Michigan’s Uniform Commercial Code must generally be filed within four years after it accrues (MCL 440.2725).
The first year counts most. A defect must be reported within one year of delivery or the warranty term, whichever ends first, and the 30-day test counts days out of service in that same window. Send the final repair notice to the manufacturer as soon as you reach the third attempt or 25 days.
See how our fees work, or contact us with your repair orders.
Sources: MCL 257.1401, 257.1402, 257.1403, 257.1405, 257.1406, 257.1407, 257.1408; MCL 440.2725; Magnuson-Moss Warranty Act, 15 USC 2310; 16 CFR Part 703.
Questions people ask us
How many repair attempts make a car a lemon in Michigan?
The law presumes a reasonable number of attempts when the same defect has been subject to repair four or more times within two years of the first attempt and still exists, or when the vehicle has been out of service for repairs for 30 or more days during the warranty term or the first year. Either way, you must also give the manufacturer written notice and a final chance to repair.
Does the Michigan Lemon Law cover used cars?
The Lemon Law is written for new motor vehicles covered by a manufacturer’s express warranty when bought or leased. A used vehicle sold with a written warranty may be covered by the federal Magnuson-Moss Warranty Act instead.
Who pays my lawyer in a lemon law case?
If you prevail, the court may award your costs and attorney fees based on actual time spent, unless it finds an award inappropriate. The federal Magnuson-Moss Act has a similar provision.
Do I have to go to arbitration first?
If the manufacturer has an informal dispute settlement program that meets federal standards, you must use it before suing under the Lemon Law. You do not have to accept its decision, and you keep your right to sue if you reject it.