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The owner of a vehicle meeting these requirements must then contact the manufacturer in writing to notify them that he or she is invoking the lemon law. At this time, the manufacturer may offer to engage the vehicle owner in arbitration through the manufacturer’s own arbitration process. Accepting this arbitration is optional for a New Hampshire resident, however - DOING SO PROHIBITS THE OWNER FROM SUBSEQUENTLY FILING A COMPLAINT UNDER THE LEMON LAW.
Most manufacturer’s offer an arbitration program in most states. Should the owner decline to accept arbitration through the manufacturer’s program, they can elect to use the arbitration program offered by the state.
Filing a claim with the state involves a modest $50 fee to cover administrative expenses. Once a claim has been filed, the owner is entitled to a hearing within 40 days with the state’s Motor Vehicle Arbitration Board. At that hearing, both sides will have an opportunity to explain their case. A ruling will be issued in writing within 30 days of the arbitration hearing. Should the owner win the hearing, the manufacturer has 30 days with which to either comply or appeal the ruling.
Should the owner win his or her case, he or she will have the option of accepting either a replacement vehicle or a refund of the purchase, price, including taxes and registration. Such is almost certainly subject to an adjustment for wear and tear on the vehicle.
On the whole, the New Hampshire law is relatively weak. The weakest part is the fact that owners essentially waive their lemon law protections if they elect to use the manufacturer’s arbitration process. We have yet to see this incorporated into the law of any other state.
The New Hampshire lemon law is administered by the Division of Motor Vehicles.
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