This tool provides an estimation of the financial compensation a consumer may be entitled to under state lemon laws when a vehicle is deemed defective and irreparable after a reasonable number of attempts. It typically considers factors such as the purchase price, collateral charges (taxes, registration fees), and incidental expenses (towing, rental car costs) incurred due to the vehicle’s defects, offsetting these with a usage allowance for the time the vehicle was problem-free. The calculation results in an estimated buyback amount offered by the manufacturer.
The significance of employing such a calculation stems from empowering consumers with a preliminary understanding of their potential settlement value. This allows for more informed negotiations with the manufacturer, preventing accepting unfairly low offers. Historically, lacking such a tool often placed consumers at a disadvantage, relying solely on manufacturer-provided figures, which may not fully reflect the consumer’s legal rights or expenses. It facilitates a more equitable resolution process.
