Pennsylvania Lemon Law Refund Calculator

How the Pennsylvania buyback is calculated

Under the Pennsylvania Automobile Lemon Law.

• If the manufacturer "fails to repair or correct a nonconformity after a reasonable number of attempts", the Act says it must, "at the option of the purchaser", replace the vehicle with a comparable one of equal value or accept its return and refund the price (Section 5). You choose.
• The refund is "the full purchase price or lease price, including all collateral charges, less a reasonable allowance for the purchaser's use of the vehicle". The Act does not define "collateral charges": the estimate includes sales tax and registration, title and documentation fees, and leaves out finance charges and costs such as towing or rental, which the refund clause does not list. Section 12 keeps other remedies open.
• The allowance for use cannot exceed 10 cents per mile driven or 10% of the purchase price or lease price, whichever is less. It is "that amount directly attributable to use by the purchaser prior to his first report of the nonconformity to the manufacturer", so miles after that report are not charged. The calculator uses the odometer at the first repair you enter and deducts the ceiling.
• For a car, the defect must occur within the first 12,000 miles, so the per-mile figure is at most $1,200; the 10%-of-price limit is the lesser figure only for a lower-priced vehicle or for a motorcycle, which has no mileage limit.
• On a $30,000 car first reported at 8,000 miles, the ceiling is the lesser of $800 (10 cents x 8,000) and $3,000 (10% of the price), so $800: the refund is $30,000 less up to $800 for use, plus collateral charges. The Act has no multiplier; a Lemon Law violation is also a violation of the Unfair Trade Practices and Consumer Protection Law (Section 11), under which a court may, in its discretion, award up to three times the actual damages of a person who suffers an ascertainable loss. That is not in the estimate.

Pennsylvania lemon law: frequently asked questions

How much can I recover under the Pennsylvania lemon law?

A refund of the full purchase price or lease price, including all collateral charges, less a reasonable allowance for use not exceeding 10 cents per mile driven or 10% of the price, whichever is less. Refunds go to you and the lienholder, if any, as your interests may appear, and payment is due within 30 days of electing a refund. A purchaser who sues also "shall be entitled to recover reasonable attorneys' fees and all court costs". Run your numbers through our calculator for an estimate.

How does the use allowance work?

The Act sets a ceiling, not a formula: a reasonable allowance not exceeding 10 cents per mile driven or 10% of the price, whichever is less, and it is the use "prior to his first report of the nonconformity to the manufacturer". So a car first reported at 8,000 miles can be charged at most $800. The calculator deducts that ceiling at every figure; the real amount is the use directly attributable to you, and may be lower.

Can I get towing, rental or finance charges back?

The refund clause lists the purchase price and "all collateral charges" and does not define the term or list towing, rental or out-of-pocket costs. The estimate includes sales tax and registration, title and documentation fees, and leaves out finance charges and incidental costs. Section 12 says nothing in the Act limits you from other rights or remedies under other law, contract or warranty; an attorney can say what else may be claimed.

Do I have to pay the attorney out of my recovery?

Section 8 says a purchaser who brings a civil action "shall be entitled to recover reasonable attorneys' fees and all court costs" in addition to other relief. The estimate does not net fees out.

How does a lease work?

The refund formula speaks of "the full purchase price or lease price" and the same allowance. The Act does not say how lease payments, residual value or the lessor's interest are computed, so the calculator estimates what you recover as cap-cost reduction plus payments made plus deposit; treat it as approximate.

How long do I have to bring a claim?

The Act has no limitation period. We apply the four-year period for an action for breach of a contract for sale, counted from delivery; 42 Pa. C.S. § 5527(b) gives six years to a civil action not subject to another limitation, and the sources do not say which governs. Ask an attorney about your dates.