What Is the 30-Day Lemon Law in Indiana?

Four or more failed repair attempts for the same unresolved defect is the other route to the same remedies, a refund or a replacement vehicle.

If you prevail, Ind. Code §24-5-13-22 entitles you to recover reasonable attorney’s fees and costs. See how to file a lemon law claim in Indiana, or Indiana lemon laws for used cars if you bought secondhand.

Last year, an Indiana family sued Ford Motor Company over the death of a man they believe was caused by the car’s faulty seatbelt. But you don’t have to wait for something fatal to occur before acting on a defective vehicle and pursuing the refund or replacement the statute provides.

The Indiana Lemon Law is a motor vehicle protection act enacted to offer relief to owners of defective cars, new or used, that are still within the law’s term of protection: 18 months or 18,000 miles from the date of original delivery, whichever comes first.

To pursue a refund or a replacement vehicle, or to negotiate a cash settlement, you will want an Indiana Lemon Law Attorney who can work through the legal technicalities and present your case in court or arbitration.

Easy Lemon handles Lemon Law Attorney Services in Indiana. So far, we have represented many Indiana consumers in claims against vehicle manufacturers. Past results do not guarantee a similar outcome.

We work on a contingency basis: no upfront fees, and our fee comes out of any recovery. Book a free case evaluation today so we can help you file a Lemon law claim.

This article covers the 30-day Lemon law rule, which turns on how long your vehicle has been out of service, and how it applies to cars in Indiana, new or used. The article also discusses how to file a Lemon law claim and the nature of remedies you are entitled to.

What Qualifies as a “Lemon” Under Indiana Law

Under Indiana Lemon law statutes, a vehicle is considered a “lemon” if it meets specific criteria outlined in the state’s Motor Vehicle Protection Act (Indiana Code 24-5-13). These criteria are as follows:

• The vehicle must be a truck, van, SUV, or car purchased in Indiana with a declared gross vehicle weight under 10,000 lbs.
• It must be vehicles designed primarily for public roads.
• The vehicle must have a nonconformity: a defect or condition that substantially impairs its use, market value, or safety, or else makes it fail to conform to the manufacturer’s warranty. Either one is enough on its own.
• You must report the defect within 18 months of original delivery or before the vehicle reaches 18,000 miles, whichever comes first. 
• The vehicle must have been subject to at least four attempts of repairs or must have been out of service for a cumulative of 30 business days as a result of the defects and repairs. In both cases, the defect must persist afterward.

If your vehicle meets these requirements, it may qualify under the Act. The next step is to talk to a lemon law attorney about your options.

Vehicles Covered Under Indiana Lemon Law

Indiana Lemon Law covers only vehicles purchased or leased from a dealer or manufacturer in Indiana. As we mentioned earlier, such vehicles include cars, pickup trucks, sport utility vehicles, and light trucks with a declared gross vehicle weight under 10,000 pounds.

Other kinds of vehicles do not qualify as a lemon. Indiana Code 24-5-13-5 excludes conversion vans, motor homes, farm tractors and other machines used in producing, harvesting and caring for farm products, road building equipment, truck tractors, road tractors, motorcycles, motor driven cycles, snowmobiles, and vehicles designed primarily for off-road use.

Conversion vans are worth singling out, because an ordinary van is covered and a conversion van is not. It’s noteworthy that the Indiana Lemon Law does not differentiate between new and used vehicles. 

So the question isn’t whether you bought the car new. It’s whether you reported the defect inside the term of protection. The statute measures that window as 18 months or 18,000 miles, whichever comes first, from the date the vehicle was first delivered, not from the date you bought it.

A used car still inside that window can qualify. One well past it generally won’t. See Indiana lemon laws for used cars for what applies once the term of protection has run. The same rule applies to leased vehicles as outlined in the Indiana Code 24-5-13-1.

If you’re suffering defects in any vehicle that is not covered under the Indiana Lemon Law, you may seek relief through the Federal Lemon Law.

Also known as the Magnuson-Moss Warranty Act, it covers new and used cars in Indiana that came with a written warranty, whether that is the balance of the factory warranty, a dealer’s written warranty, or a service contract. A used car sold strictly as-is, with no written warranty, falls outside it.

Under this law, a defect only needs to be reported while the vehicle is still under the warranty period. This means that even if you purchased a car with more than 18,000 miles, it may still qualify as a lemon, provided you have a valid warranty that covers the defect. However, acting promptly protects your reporting deadline.

What is the 30-Day Lemon Law in Indiana?

The 30-day Lemon law is a provision under Indiana Code 24-5-13-15(a)(2) that determines whether a vehicle can be classified as a lemon or not. It’s one of the two main grounds for filing a lemon claim in Indiana—with the other being four or more failed repair attempts.

According to the 30-day Lemon law, a vehicle can qualify for a claim if it has been out of service for 30 business days or more because of the defects it suffered and the problem still hasn’t been fixed.

Note the emphasis on “business days.” This typically means Monday-Saturday, excluding Sundays and the legal holidays listed in Indiana Code 1-1-9-1.

It doesn’t have to be 30 consecutive days; it could be a cumulative total of different days the vehicle stayed at the authorized repair centers for the same or different defects.

The 30-day provision commences from when the vehicle was first delivered to the original retail buyer, not when a subsequent owner acquired it as a used car.

Also, you must report the problem within the first 18 months from original delivery or the first 18,000 miles driven, whichever comes first. The repairs themselves can continue after that window closes.

The manufacturer or an authorized dealer stays responsible for keeping those repairs moving, even once the window has passed.

Indiana Code 24-5-13-15(b) carves out seven events that can pause the clock: a strike, a period of civil unrest, a fire, a natural disaster, a terrorist attack, an act of God, or an act of war. Days lost because repair services were not available as a direct result of one of those do not count toward your 30 business days. 

The extension is not automatic. Indiana Code 24-5-13-15(c) puts the burden on the manufacturer to show the event was the direct cause of the delay.

During those same seven events, the manufacturer or an authorized dealer must provide free use of a vehicle while yours is out of service. Outside them, Indiana gives you no general right to a loaner car.

What Happens After the 30 Business Days?

After the 30 business days are completed and the problem is yet to be resolved, the consumer gains the legal right to demand relief from the vehicle’s manufacturer under the Lemon Law.

Indiana Code 24-5-13-24 states that the chapter creates no cause of action against a dealer, so a Lemon Law claim runs against the manufacturer, not the dealership that sold you the car. The next step is to begin a formal proceeding against the manufacturer for breach of warranty and every other charge your attorney can bring.

While you can take your time, you must ensure that you file the lawsuit within two years from the date you first reported the defect to the manufacturer, its agent, or an authorized dealer.

That two-year period is paused under Indiana Code 24-5-13-23(b) for as long as a certified informal dispute settlement procedure of the kind described in Indiana Code 24-5-13-19 is being conducted, so going through a certified arbitration programme first does not cost you filing time. 

The Process for Filing a Lemon Law Claim in Indiana

Filing a Lemon law claim in Indiana requires a cautious step-by-step approach to ensure you’re compliant with the state’s requirements for seeking relief. The steps are as follows: 

Step 1: Identify the Defects 

The fact that you’re considering filing a Lemon law claim means that your car already has defects. So the first step here is to check whether the defects meet the basic requirements for a lemon qualification.

If you’re plagued by the same defect despite a reasonable number of attempts (which in this case, is four) to fix it, it may qualify under the Act.

Alternatively, there could be different defects that have kept the car out of service for 30 business days, with the problem still unresolved. Also, the defect must either substantially impair the vehicle’s use, market value, or safety, or make the vehicle fail to conform to the manufacturer’s warranty.

Step 2: Keep Detailed Records

Proper documentation is essential for proving your case. As such, you must track and document everything that transpired between you and the dealership each time you take your vehicle for repair. It is important to save emails, letters, and notes from phone calls with the dealer and manufacturer.

Keep good records of the relevant timelines, such as when the defect first occurred, when repairs were attempted, and how long the vehicle has been out of service.

You should also refer to your warranty to confirm coverage during the repair period. In all these, it’s advisable to take pictures and videos, capturing the car’s defects.

Also, collect a copy of the written repair order after each repair attempt. You do not have to rely on goodwill for this.

Indiana Code 24-5-13-16(b) requires the manufacturer, its agent, or an authorized dealer to hand the buyer a written repair order every time the vehicle is brought in for examination or repair, itemising the work performed including examination, parts and labour.

The same section, at 24-5-13-16(a), bars them from refusing to diagnose or repair a vehicle to dodge liability under the Act. That matters here more than anywhere else: a 30-business-day claim is proved by the paperwork from each visit, and a visit nobody wrote up is a day you cannot count.

A repair order is an official document issued by authorized dealers or service centers detailing the problems diagnosed in your vehicle, the repair attempt made, and the eventual result. It also captures the dates of these visits and other minor details that may prove helpful during litigation.

Step 3: Attempt to Resolve With the Dealer or Manufacturer

Whether you have to send notice at all depends on the manufacturer. Under Indiana Code 24-5-13-9, you must notify the manufacturer first only if it made the disclosure the statute requires in the warranty or owner’s manual; if it never made that disclosure, you are not required to notify it of a claim.

Where notice is required, send a written notice to the manufacturer officially notifying them of the vehicle’s inherent defects. The written notice should include your contact info, vehicle identification number, the list of problems you’ve faced, and copies of all related written repair orders.

To ensure the manufacturer receives the mail, use only the address listed in the warranty booklet or owner’s manual. Also, send the letter using certified mail return. That way, you will have evidence that they were given prior notice and sufficient time to fix the problem.

After sending the letter, the manufacturer has to act. Once it accepts the vehicle’s return, Indiana Code 24-5-13-10 gives it 30 days to either refund what you paid or hand over a comparable replacement, at your option. If they fail to honor your request, you may proceed to arbitration or an outright lawsuit.

Step 4: Seek Arbitration

Some vehicle manufacturers adopt informal dispute resolution programs for lemon cases, while others don’t. Consult your Lemon law attorney to know if your manufacturer is part of such programs certified by the Indiana Attorney General’s office as complying with 16 C.F.R. 703. If your manufacturer does, you must go through this process before considering a lawsuit.

The decision is not legally binding on either side. 16 C.F.R. 703.5(j), which Indiana Code 24-5-13-19 requires a certified programme to comply with in all respects, provides that a decision binds no one; the manufacturer owes only a duty of good faith, and the decision is admissible as evidence if you later sue.

So you remain free to go to court if you are unsatisfied with the outcome. If the manufacturer has no certified procedure, or never gave you written notice of one, you can skip this step.

Step 5: File a Lemon Lawsuit

A lawsuit is your last resort when seeking relief under the Indiana Lemon Law. Once the defect is still unfixed after either four failed repairs or 30 business days out of service, which are the two routes Indiana Code 24-5-13-15(a) treats as a reasonable number of attempts, you can initiate a lawsuit if arbitration fails.

Present your facts, detailed pieces of evidence, and any other information you consider relevant to your lemon law attorney. Attorneys at Easy Lemon can help you organize your documentation and build a strong case.

They will be necessary to build the record your claim is decided on. Indiana’s statutory remedies are a refund or a replacement vehicle, at your option. Many claims settle for cash instead, but that is a negotiated outcome rather than something the statute provides.

Also, attorney’s fees are recoverable if you win. Under Indiana Code 24-5-13-22, a buyer who prevails is entitled to recover costs and expenses, including attorney’s fees based on the attorney’s actual time, in the amount the court finds was reasonably incurred.

Apart from the Lemon Law, you can file a lawsuit under the Magnuson-Moss Warranty Act. This is a federal law covering new and used cars sold with a written warranty.

Its refund-or-replace remedy applies to full warranties, and nearly every manufacturer warranty is a limited one, so the usual outcome is damages plus attorney’s fees rather than a refund or a replacement vehicle.

What Remedies Are Available Under Indiana’s Lemon Law?

Under Indiana’s Lemon Law, consumers are entitled to receive refunds or replacement vehicles if they win their lemon case. The refund is the full contract price of the vehicle, including all credits and allowances for any trade-in and all sales tax, less a reasonable allowance for use.

It also caters to any finance charges actually expended, the unexpended portion of the registration fee and excise tax prepaid for the calendar year, the cost of options added by the authorized dealer, and, under Indiana Code 24-5-13-13, necessary towing and rental costs actually incurred as a direct result of the defect.

Those incidental items are reimbursed in full; the use allowance is deducted from the contract price, not from them. 

Indiana does not leave that allowance to negotiation. Indiana Code 24-5-13-11(b) fixes it by formula: the total contract price, multiplied by the number of miles the vehicle travelled before the manufacturer accepted its return, divided by 100,000.

On a $38,000 vehicle handed back at 14,000 miles, that is $38,000 × 14,000 ÷ 100,000, or $5,320. Two practical consequences follow.

The mileage that counts runs to the date the manufacturer accepts the return, not to the date you first reported the defect, so a drawn-out dispute quietly increases the deduction while you keep driving.

And because the divisor is a flat 100,000, the allowance is the same arithmetic whether the car is a commuter hatchback or a full-size SUV.

A buyer who prevails in an action under the chapter is also entitled to recover all reasonable costs and expenses as part of the judgment, including reasonable attorney fees, under Indiana Code 24-5-13-22.

In cases where the consumer wants the vehicle to be replaced instead, the manufacturer is mandated to provide a replacement vehicle of equal or comparable value. Consumers may also be eligible for additional compensation, depending on the nature of the case.

Indiana Code 24-5-13-20 preserves any rights you have under other law, so claims for losses beyond the statutory refund or replacement come from those other theories rather than from the Lemon Law itself.

One common outcome is the “cash-and-keep” settlement, where the consumer keeps the defective vehicle but receives a cash payment from the manufacturer to compensate for the issues encountered.

Need an Experienced Indiana Lemon Law Lawyer?

Handling a defective vehicle in Indiana can prove to be quite challenging and time-consuming. That’s why it is essential to work with an experienced Lemon law attorney who can guide you through the often complex legal process.

From gathering the necessary documentation and ensuring critical deadlines are met to negotiating with the manufacturer or filing a lawsuit if needed, a skilled attorney handles the documentation, the deadlines, and the negotiation with the manufacturer. 

With over 25 years of experience, Easy Lemon works with Indiana consumers on lemon law claims. Whether you’re dealing with repeated repairs or safety issues, our team of Indiana Lemon law attorneys is willing to help.

You can contact us today for a free case evaluation and let us review your situation and advise you on the best path forward.

FAQs

Can I File if I Bought My Car From Out of State?

Usually not. The purchase itself has to happen in Indiana. Indiana Code 24-5-13-1 applies the chapter to vehicles sold, leased, transferred, or replaced by a dealer or manufacturer in Indiana, and Indiana Code 24-5-13-3 defines a buyer as someone who enters into the agreement within Indiana.

Registering the car here afterward does not pull an out-of-state purchase under the Act. The vehicle also has to be designed primarily for public highway use. If you did buy out of state, the federal Magnuson-Moss Warranty Act or that state’s own lemon law may still give you a route.

How Long Do I Have to File a Claim?

In Indiana, you have two years from the date of the first reported defect to file a lawsuit. You must report the defect within the first 18 months or 18,000 miles from the original delivery date, whichever comes first.

Under Indiana Code 24-5-13-8 the trigger is when you report the nonconformity, not when it first appeared, and the manufacturer still has to repair it even if the work happens after that window closes.

And under Indiana Code 24-5-13-23(b) the two-year clock is paused while a certified informal dispute settlement procedure of the kind described in Indiana Code 24-5-13-19 is being conducted, so time spent in that arbitration does not eat into your deadline.

Do I Need to Go to Court?

Not always. Many Indiana lemon law claims resolve through arbitration or an informal dispute resolution program offered by the manufacturer.

Under Indiana Code 24-5-13-19 you actually have to use that route first, but only where two things are true: the programme is certified by the Indiana Attorney General as complying in all respects with 16 C.F.R. 703, and you received adequate written notice of it. The decision that comes out of it is not legally binding on anyone, and you keep the right to sue.

What if the Dealership Blames the Manufacturer?

It doesn’t matter who is to be blamed for the faulty product. You may be able to seek legal redress under the Indiana Lemon Law if you end up with a defective vehicle that is still inside the term of protection.

The Lemon Law duty to repair, replace, or refund sits with the manufacturer. A dealer can still owe you something under a written warranty or your purchase contract, but Indiana Code 24-5-13-24 bars a Lemon Law claim against the dealer itself.

Which defendant you have depends on what you were promised in writing, and an Indiana lemon law attorney can sort that out with you. 

Attorney Advertising. This article is general information about Indiana law, not legal advice, and reading it does not create an attorney-client relationship.

Lemon law outcomes depend on the facts of each case, and past results do not guarantee a similar outcome. For advice about your own vehicle, speak with a licensed Indiana attorney.