Consumer Law

Chrysler Owners' Lemon Law Rights Are Preserved

By Kemnitzer, Anderson, Barron, Ogilvie & Brewer

The new Chrysler/Fiat corporation that emerged from the bankruptcy proceeding will negotiate settlements with owners of vehicles manufactured by the old Chrysler corporation. This concession was made in response to publicity generated by consumer groups. The new company said it would "recognize, honor and pay liabilities under Lemon Laws for additional repairs, refund or replacement of a defective vehicle (including reasonable attorneys' fees)."

New Chrysler will not pay any civil penalties under the lemon laws. It remains to be seen just how far Chrysler is willing to go in negotiating settlements.

Persons who suffered personal injuries because of defects in Chrysler vehicles, however, are out of luck. Consumer groups and victims' petition to the U.S. Supreme Court to preserve their rights was denied on June 9, 2009.

Full post as published by Lemon Law Blog on June 10, 2009 (boomark / email).