What Is the Lemon Law in Michigan for Used Cars
Michigan's lemon law, codified as MCL 257.1401 through 257.1410, covers new motor vehicles purchased or leased for personal, family, or household use—including passenger vehicles, SUVs, pickup trucks, and vans.
While used cars are generally not covered by Michigan's lemon law, a narrow exception exists. A used vehicle may qualify if it is transferred to a subsequent owner during the manufacturer's express warranty period. In that case, the subsequent owner may pursue lemon-law remedies if defects substantially impair use or value and the manufacturer fails to repair them after a reasonable number of attempts. Buyers of used cars outside the warranty period must rely on federal protections and limited state consumer-protection remedies rather than the Michigan lemon law.
What Protections Do Used Car Buyers Have in Michigan?
Although Michigan's lemon law does not cover most used vehicles, federal statutes provide meaningful remedies.
Magnuson-Moss Warranty Act
The Magnuson-Moss Warranty Act requires sellers who provide written warranties to honor them and allows consumers to recover damages, attorney fees, and court costs for breaches of express or implied warranties. The Act applies to service contracts and implied warranties of merchantability and fitness for purpose.
FTC Used Car Rule
The FTC Used Car Rule mandates that dealers display a Buyers Guide on every used vehicle offered for sale. The guide must disclose whether the vehicle is sold with a warranty or "as is," list major systems covered, state the warranty duration and the percentage of repair costs the dealer will pay, and recommend that buyers obtain an independent inspection and review the vehicle history.
Understanding "As Is" Sales in Michigan
In Michigan, dealers may sell used vehicles "as is" without providing a written warranty. When a vehicle is sold "as is," the buyer accepts responsibility for all repairs after purchase, and the dealer disclaims implied warranties of merchantability and fitness unless the disclaimer is unconscionable or contradicted by representations made during the sale.
What "As Is" Means
An "as is" disclaimer must be clear, conspicuous, and agreed to in writing. If the Buyer's Guide or sales contract states "as is," the buyer bears the cost of post-sale repairs unless an exception applies.
Limited Exceptions to "As Is" Protection
An "as is" disclaimer does not shield a dealer from the following liabilities:
- The dealer knowingly concealed defects, made false statements about the vehicle's condition, or failed to disclose material facts that would have influenced the purchase decision.
- Tampering with the odometer or providing a false odometer statement violates federal and Michigan law and cannot be waived by "as is" language.
- A dealer must provide a clear title; "as is" does not excuse failure to transfer ownership.
- If the dealer provided a written warranty or service contract, "as is" language in a separate document does not void the express warranty.
- Claims under the Michigan Consumer Protection Act may succeed if the dealer's conduct was unfair or deceptive, regardless of "as is" disclaimers.
Filing a Consumer Complaint
Buyers who suspect fraud, misrepresentation, or statutory violations may file a complaint with the appropriate state agency.
Michigan Department of Attorney General
Consumer Protection Division
525 West Ottawa Street, Lansing, MI 48933
Phone: (877) 765-8388
Official Website: Michigan Department of Attorney General
