NewsLet ABC15 Know

Actions

Are you leasing a lemon? Arizona bill would extend lemon law protections to vehicle lessees

House Bill 2323 has passed the Arizona House and is now in the Senate. If it becomes law, people who lease vehicles would have the same lemon law protections as those who buy them.
Are you leasing a lemon? Arizona bill would extend lemon law protections to vehicle lessees
Posted
and last updated

Arizonans who lease vehicles are not protected under the state's lemon law, even if their car spends months in the shop. A new bill moving through the Arizona Legislature could change that.

Under current Arizona law, the leasing company is considered the legal owner of the vehicle, not the person driving and paying for it. That means lessees cannot bring a lemon law claim against a manufacturer for a defective vehicle.

Arizona's lemon law was interpreted by the Arizona Supreme Court to say the consumer with lemon-law rights is the owner of the vehicle. In a lease, the leasing company is the legal owner. In a lease, the leasing company is the legal owner.

House Bill 2323 has passed the Arizona House and is now in the Senate. The bill would amend the state's lemon law to include lessees under the definition of a consumer, giving them the same access to repairs, refunds, or replacements that vehicle buyers currently have.

Valley attorney Shalev Amar of Amar Law Group said he has seen the gap in consumer protections play out for years and is hopeful the legislation will address it.

"So, the great thing about this amendment to the law, which is going through the legislative process, (is) the lemon law is now specifically adding lessees, and that's consumers who have leased vehicles under the definition of a consumer. So that will give full lemon law rights to you, whether you finance or you lease the vehicle," Amar said.

Amar said the change would only come if consumers make their voices heard.

"I can argue within the bounds of the law, but I cannot change the law. And so, if you want the law changed, what you need to do is speak to your local representative, your local state senator, and if enough people complain about this issue, they will change the law," Amar said.

If you have a vehicle lease (or recently did):

  • Keep all repair paperwork and service invoices
  • Document repeated issues ( i.e., dates, mileage, and what the dealer said)
  • Ask if your car is still under the manufacturer's warranty

If there have been three or more repair attempts for the same serious issue, or long stretches in the shop, here's when you need to know your rights.

Contact a lemon-law attorney.

Often times evaluations are usually free, and they can help you find the best option or solution for your problem.

The Let ABC15 Know will continue to follow House Bill 2323 as it moves through the Arizona Senate.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.