Alaska Lemon Law: Do You Qualify?

Alaska lemon law at a glance

Coverage window

The express warranty term or one year from delivery to the original owner, whichever ends first. The Act has no mileage limit.

Repair attempts

A reasonable number of attempts is presumed if the same problem has been repaired three or more times by the manufacturer, distributor, dealer or repairing agent in that period and still exists. It is a presumption, not a hard threshold: the refund turns on "a reasonable number of attempts". The Act has no separate safety-defect count.

Days out of service

30 or more business days (not calendar days) in total, during that period. Time when repairs are not performed for reasons beyond the control of the manufacturer, dealer or repairing agent is excluded.

What counts as a defect

A nonconformity is a defect or condition that "substantially impairs the use or market value of a vehicle". Impairing the use means it "prevents a motor vehicle from being operated or makes the vehicle unsafe to operate"; impairing the market value means it "substantially decreases the dollar value of a vehicle to the owner when compared to the dollar value of a similar vehicle that does not have the nonconformity". The manufacturer must show the defect does not impair "either the use or the market value" (AS 45.45.360(7), (11), (12); 45.45.315).

Defenses

An owner may not receive a refund or replacement if the manufacturer or distributor shows that the nonconformity is the result of an alteration not authorized by the manufacturer or distributor, made by the owner or a person other than a dealer or repairing agent, or of abuse or neglect by the owner or a person other than the dealer or repairing agent (AS 45.45.315).

Written notice

Required to claim a refund or replacement: written notice by certified mail to the manufacturer and its dealer or repairing agent before 60 days have passed after the warranty or one-year period ends, whichever ends first. It demands a refund or replacement delivered on the 60th day after mailing. The manufacturer then has 30 days after receiving it to make a final repair attempt.

Dispute program

Required first only if the manufacturer has an informal dispute procedure (or offers binding-on-the-manufacturer arbitration or mediation) that the Attorney General has approved. Otherwise using it is your option.

Vehicles covered

A land vehicle with four or more wheels, self-propelled by a motor, normally used for personal, family, or household purposes and required to be registered under AS 28.10; not a tractor, farm vehicle, or vehicle designed primarily for off-road use. The Act sets no weight limit. A boat, snow machine or ATV has its own law (AS 45.27.190 - 45.27.220).

Used vehicles and leases

The Act gives its rights to an "owner": a purchaser, other than for resale, of a new motor vehicle, and a person to whom ownership is transferred. The Attorney General says the lemon law does not apply to used vehicles. The Act does not mention leases. "Express warranty" means the manufacturer's written warranty for a new motor vehicle.

What you can recover

At your option, a new comparable vehicle or the full purchase price, less a reasonable allowance for use that may not exceed straight-line depreciation over seven years plus depreciation from neglect, abuse or body damage not caused by the defect. The refund goes to a lienholder of record, if any, and you as your interests may appear, and reasonable shipping costs to and from the nearest authorized facility are reimbursed. Failure to refund or replace is presumed an unfair trade practice, which opens the route to three times actual damages or $500 under AS 45.50.531.

Other rights

The Act does not limit other rights and remedies under other law, and it does not create a new cause of action against a dealer or repairing agent (AS 45.45.340). A returned vehicle may not be resold in Alaska by the manufacturer or distributor unless the reason for the return is fully disclosed to the buyer (AS 45.45.335).

Alaska lemon law: frequently asked questions

How many repairs does the Alaska lemon law require?

There is no fixed number. The refund applies after "a reasonable number of attempts". Alaska presumes that standard is met if the same problem has been repaired three or more times during the warranty term or first year and still exists, or if the vehicle has been out of service for repair for 30 or more business days (not calendar days) in total in that period, excluding time when repairs were not performed for reasons beyond the control of the manufacturer, distributor, dealer or repairing agent.

What notice do I have to send, and by when?

To claim a refund or replacement you must give written notice by certified mail to the manufacturer and its dealer or repairing agent at any time before 60 days have elapsed after the express warranty or the one-year period after delivery ends, whichever ends first. The notice states that the vehicle has a nonconformity, describes it, says a reasonable number of attempts has been made, and demands a refund or replacement vehicle delivered on the 60th day after mailing.

Can the manufacturer refuse, and must I use its arbitration program first?

The manufacturer can show that the defect does not substantially impair either the use or the market value of the vehicle, or that it resulted from an alteration the manufacturer did not authorize, or from abuse or neglect (AS 45.45.315). After your notice it may make a final repair attempt within 30 days of receiving it (AS 45.45.310). A dispute program must be used first only if the Alaska Attorney General has approved it: then the refund or replacement and shipping-cost provisions do not apply to an owner who has not first used it; where there is no approved program, the Attorney General's guide says it is your option to arbitrate or go directly to court. If the manufacturer fails to refund or replace when required, it is presumed to have committed an unfair trade practice (AS 45.45.330).

How long do I have to sue?

The Act contains no filing deadline for a court action. An action for breach of a contract for sale must be commenced within four years after the cause of action has accrued, which the parties may reduce to not less than one year (AS 45.02.725(a)); a breach of warranty occurs when delivery is tendered, unless the warranty explicitly extends to future performance and discovery must await that performance, when it runs from when the breach is or should have been discovered (AS 45.02.725(b)). Whether that limit governs a claim under the Act is not answered in the Act. An action under AS 45.50.531 may not be commenced more than two years after you discover or reasonably should have discovered that the loss resulted from an act or practice declared unlawful. A lawyer can tell you which applies.

Does the law cover a used vehicle or a lease?

The Act speaks of a "new motor vehicle" and gives its rights to an "owner", which includes a person to whom ownership of the motor vehicle is transferred in conformity with AS 28. The remedy runs only during the manufacturer's express warranty or within one year after delivery to the original owner, and the Attorney General says the lemon law does not apply to used vehicles. The Act does not mention leases. Other rights and remedies are not limited (AS 45.45.340).

Statutes cited on this page

• AS 45.45.300 (Repairs required: the repair duty for a new motor vehicle)
• AS 45.45.305 (Replacement or refund: at the owner's option, a new comparable vehicle or the full purchase price less a reasonable allowance for use)
• AS 45.45.310 (Notice by owner: certified mail, deadline and the manufacturer's final attempt)
• AS 45.45.315 (Exceptions: no refund or replacement where the manufacturer shows no substantial impairment, unauthorized alteration, abuse or neglect)
• AS 45.45.320 (Presumption of a reasonable number of attempts: three repairs or 30 business days)
• AS 45.45.355 (Arbitration or mediation: only a program the Attorney General approves)
• AS 45.45.360(3) (definition of "express warranty": the manufacturer's express written warranty for a new motor vehicle)
• AS 45.45.360(4) (definition of "full purchase price")
• AS 45.45.360(6) (definition of "motor vehicle": four or more wheels, self-propelled, personal use, no tractor, farm or off-road vehicle)
• AS 45.45.360(7) (definition of "nonconformity": a defect or condition that substantially impairs the use or market value)
• AS 45.45.360(8) (definition of "owner": a purchaser of a new motor vehicle and a person to whom ownership is transferred)
• AS 45.45.360(9) (definition of "reasonable allowance": straight-line depreciation over seven years)
• AS 45.45.350 (Reimbursement of shipping costs)
• AS 45.45.330 (Failure to replace or refund: presumed unfair trade practice)
• AS 45.45.335 (Resale of a returned vehicle without disclosure prohibited)
• AS 45.45.340 (other rights and remedies are not limited; no new cause of action against a dealer or repairing agent)
• AS 45.50.531(a) (private action for an unlawful act: three times actual damages or $500)
• AS 45.50.537(a) (attorney fees to a prevailing plaintiff in an unfair-trade-practices action)
• AS 45.50.537(b) (attorney fees to a prevailing defendant in an unfair-trade-practices action: court-rule fees, full fees if the action is frivolous)
• AS 45.02.725(a) (four-year limitation for an action on a contract for sale; the parties may reduce it to not less than one year)
• AS 45.02.725(b) (when the cause of action accrues: tender of delivery, or discovery for a warranty that extends to future performance)
• AS 45.50.531(f) (two years from discovery for a private action under the unfair trade practices act)
• Alaska Department of Law, Consumer Protection Unit: "Alaska's Lemon Law" (the law does not apply to used vehicles)

This page summarizes the statute in plain language and is not legal advice. The linked official text controls.