Minnesota Lemon Law
Minnesota New Motor Vehicle Warranties Act (Lemon Law) (Minn. Stat. § 325F.665 (new vehicles); Minn. Stat. § 325F.662 (used vehicles)). If your new or used vehicle has a substantial defect the dealer can't fix, you may be entitled to a refund, replacement, or cash settlement. The manufacturer pays the legal fees — you pay nothing out of pocket.
What's distinctive
How Minnesota's lemon law is different
Minnesota is one of only a handful of states with a true used-car warranty law (Minn. Stat. § 325F.662) that operates alongside its new-car Lemon Law. The new-car statute also has a tougher one-attempt presumption for any defect 'likely to cause death or serious bodily injury' involving the steering or brake system. Minnesota uses a generous 'lesser of 10 cents/mile or 10% of price' usage formula and bars the AG from approving an arbitration program that does not actually comply with 16 CFR 703 — meaning manufacturer programs are routinely refused certification, leaving consumers free to sue without arbitration. Coverage extends to vehicles used at least 40% for personal/family/household purposes.
Used vehicles
Minnesota has a separate USED car warranty law at Minn. Stat. § 325F.662. Dealers must give a statutory written warranty: 60 days/2,500 miles for vehicles under 36,000 miles; 30 days/1,000 miles for 36,000–75,000 miles; 15 days/500 miles for 75,000–125,000 miles (non-franchise dealers). Excluded: vehicles priced under $3,000, over 8 model years old, over 75,000 miles (franchise) or 125,000 miles (non-franchise), salvage-titled, motorcycles, off-road, RVs, and trucks over 9,000 lbs. Used vehicles still within the original manufacturer's express warranty also qualify for the new-car Lemon Law under § 325F.665.
Leased vehicles
Leased new vehicles with leases longer than 4 months are covered (Minn. Stat. § 325F.665, subd. 13). A lessee has the same rights as a purchaser, except that on a buyback the lessee receives only a refund (not a replacement) of all amounts actually paid on the lease, including additional charges, less the use allowance.
Mileage offset on a refund
Use deduction may not exceed 10 cents per mile driven OR 10 percent of the purchase price, whichever is less (Minn. Stat. § 325F.665, subd. 3(d)). Refund includes full purchase price plus collateral charges (taxes, license fees, towing, rental).
Arbitration requirement
If the manufacturer offers a qualifying informal dispute settlement mechanism that has been certified by the Minnesota Attorney General as substantially complying with FTC rules in 16 C.F.R. Part 703, the consumer must first use it before suing. Decisions are not binding on the consumer. The Attorney General must approve any program before it can be required.
Areas served in Minnesota
- Minneapolis
- Saint Paul
- Rochester
- Duluth
- Bloomington
State consumer-protection resource
Office of Minnesota Attorney General — Consumer Protection Division
https://www.ag.state.mn.us/Consumer/Publications/LemonLaw.asp →Common questions
Minnesota lemon law, in plain English
Does Minnesota's lemon law cover me?
Yes if you bought or leased a new motor vehicle (or a used vehicle still under the original manufacturer's express warranty) in Minnesota and the vehicle is used at least 40% for personal, family, or household purposes (Minn. Stat. § 325F.665). The defect must substantially impair the use or market value of the vehicle. Coverage runs during the manufacturer's express warranty or 2 years from original delivery, whichever expires first, as long as you reported the defect during that window. Cars, pickups, vans, and the chassis/drivetrain of recreational vehicles are covered; motorcycles and the residential portions of motor homes are not.
How many repair attempts before I can file in Minnesota?
Under Minn. Stat. § 325F.665, subd. 3, the manufacturer is presumed to have had a reasonable number of repair attempts after any of the following: (1) the same nonconformity has been subject to repair 4 or more times; (2) the vehicle has been out of service for warranty repairs for a cumulative 30 or more business days; or (3) just one repair attempt has failed for a steering or brake defect 'likely to cause death or serious bodily injury.' Each must occur during the warranty period or within 2 years of delivery, whichever is earlier.
Are used cars covered under Minnesota lemon law?
Two separate statutes apply. Used vehicles still within the original manufacturer's warranty get full Lemon Law protection under Minn. Stat. § 325F.665. Otherwise, Minnesota's used-car warranty law (Minn. Stat. § 325F.662) requires licensed dealers to provide a statutory written warranty: 60 days/2,500 miles for vehicles under 36,000 miles, 30 days/1,000 miles for 36,000–75,000 miles, and 15 days/500 miles for 75,000–125,000 miles (non-franchise dealers only). Vehicles priced under $3,000, over 8 model years old, salvage-titled, or over 9,000 lbs GVW are excluded.
Are leased vehicles covered in Minnesota?
Yes — leased new vehicles are covered if the lease term is longer than 4 months (Minn. Stat. § 325F.665, subd. 13). A lessee has the same rights as a purchaser. On a buyback the lessee does not receive a replacement vehicle; instead the manufacturer must refund all amounts the lessee actually paid under the lease — capitalized cost reductions, monthly payments, taxes, fees, and any other charges — minus the statutory use allowance. The lessor is reimbursed for its remaining interest separately.
How long do I have to file in Minnesota?
You must commence a civil action within 3 years of the date of original delivery of the vehicle to the consumer (Minn. Stat. § 325F.665, subd. 9). If you go through a certified informal dispute settlement procedure first, you have up to 6 months after the final arbitration decision to file in court. The defect itself must have been reported during the warranty period or within 2 years of delivery, whichever expired first.
Do I have to go through arbitration before suing in Minnesota?
Only if the manufacturer's program has been certified by the Minnesota Attorney General as substantially complying with FTC Rule 16 C.F.R. Part 703. The AG actively reviews these programs and many are not approved, in which case you can go straight to court. Even after a certified arbitration, the decision is not binding on you — you can reject it and sue. If a manufacturer appeals an arbitration award and does not obtain a better result, it can be liable for treble the amount you paid post-appeal, plus attorney's fees (Minn. Stat. § 325F.665, subd. 11).
What's the difference between Minnesota's statute and federal Magnuson-Moss?
Minnesota's Lemon Law is a state-specific presumption-based remedy: 4 repairs, 30 business days out of service, or 1 attempt for a serious safety defect entitles you to a refund or replacement on a new (or in-warranty used) vehicle within 2 years. The federal Magnuson-Moss Warranty Act (15 U.S.C. § 2301 et seq.) is broader — it applies to any product sold with a written warranty (including older used cars and commercial buyers) and lets you recover attorney's fees on a successful written-warranty claim. Many Minnesota lemon-law complaints are pled under both, plus § 8.31 of the Minnesota Statutes for private consumer-fraud actions.
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