North Dakota Lemon Law: Your Complete Legal Guide

What Vehicles Are Covered
The North Dakota Lemon Law covers specific types of vehicles purchased or leased in the state.
Covered Vehicle Types
- New passenger vehicles: Cars, sedans, coupes, and similar vehicles
- Trucks: Pickup trucks and light-duty trucks
- Vans: Including minivans and passenger vans
- SUVs: Sport utility vehicles
- Leased vehicles: Vehicles leased for personal, family, or household purposes
- Demonstrator vehicles: Demo vehicles sold as new
Vehicles Not Covered
- Used vehicles
- Motorcycles (may have limited coverage)
- Commercial vehicles used primarily for business purposes
- Off-road vehicles not designed for highway use
- Vehicles purchased outside North Dakota
- Motorhomes and recreational vehicle living quarters
North Dakota's Lemon Law Presumption
Under N.D.C.C. Section 51-07-18, North Dakota creates a rebuttable presumption that a reasonable number of repair attempts have been made if certain conditions are met.
The Lemon Law Presumption Applies When:
| Condition | Requirement | Details |
|---|---|---|
| Repair Attempts (Same Problem) | 3 or more attempts | Same nonconformity substantially impairing use and value |
| Days Out of Service | 30 or more cumulative business days | Vehicle unavailable for repair of nonconformities |
| Coverage Period | Within express warranty term | Or within 1 year of original delivery, whichever is longer |
| Written Notice | Required before remedy | Certified mail to manufacturer with opportunity to repair |
Note: North Dakota requires only 3 repair attempts (compared to 4 in many states), making it somewhat more consumer-friendly in this regard. However, the law uses business days for the out-of-service calculation.
What Qualifies as a "Substantial" Defect?
A defect is substantial if it impairs the use and value of the motor vehicle to the consumer. Examples include:
- Engine failures or persistent problems
- Transmission malfunctions
- Brake system defects
- Steering problems
- Electrical system failures
- Safety system malfunctions (airbags, stability control)
- Heating or cooling system failures
- Persistent warning lights indicating mechanical problems
Consumer Remedies: Refund vs. Replacement
When a vehicle qualifies as a lemon under North Dakota law, the consumer may choose between two remedies.
Option 1: Full Refund (Buyback)
The manufacturer must refund:
- Full purchase price: Contract price of the vehicle
- Collateral charges: Sales tax, license, registration, and similar fees
- Finance charges: Interest and financing costs
- Incidental damages: Reasonable expenses caused by the nonconformity
Usage Offset: The manufacturer may deduct a reasonable allowance for the consumer's use of the vehicle. This is typically calculated based on miles driven before the first repair attempt.
Option 2: Replacement Vehicle
Instead of a refund, the consumer may request a comparable replacement vehicle. The replacement should be:
- Of the same or equivalent value
- Acceptable to the consumer
- Covered by the manufacturer's warranty

How to File a Lemon Law Claim in North Dakota
Filing a lemon law claim in North Dakota requires following specific procedures.
Step 1: Document All Repairs and Communications
- Keep copies of all repair orders and invoices
- Record dates the vehicle was brought in for service
- Document the problems reported and repairs attempted
- Count the number of business days the vehicle was unavailable
- Save all written correspondence
Step 2: Send Written Notice to the Manufacturer
Before seeking a remedy, you must send written notification to the manufacturer via certified mail. The notice must:
- Describe the nonconformity
- Include vehicle identification information
- Request repair or state your desired remedy
Step 3: Allow Final Repair Opportunity
The manufacturer is entitled to a final opportunity to repair the vehicle. Make the vehicle available at a reasonably accessible repair facility.
Step 4: Use Informal Dispute Resolution
If the manufacturer has an informal dispute resolution procedure that complies with federal regulations, you may be required to use it before filing a lawsuit.
Step 5: Pursue Court Action If Necessary
If the dispute is not resolved through informal procedures, you may file a lawsuit in North Dakota courts.
Manufacturer Defenses
Manufacturers may assert various defenses to avoid lemon law liability.
Common Manufacturer Defenses
| Defense | Manufacturer's Argument | Consumer's Counter |
|---|---|---|
| Consumer abuse or neglect | Defect caused by owner misuse | Provide maintenance records and evidence of proper care |
| Unauthorized modifications | Aftermarket parts caused the problem | Show defect existed before modifications or is unrelated |
| Defect not substantial | Problem does not impair use and value | Document how defect affects daily use of vehicle |
| No written notice provided | Consumer failed to send required notice | Keep certified mail receipts |
| Outside warranty period | Defect reported after coverage expired | Verify first report was within coverage period |

Used Vehicle Protections
North Dakota's Lemon Law applies only to new vehicles. However, used vehicle buyers may have other protections.
Alternative Protections for Used Vehicle Buyers
- Remaining manufacturer warranty: If original warranty is still in effect
- Dealer warranties: Written warranties provided by the selling dealer
- North Dakota Consumer Fraud Act: Protects against deceptive trade practices
- Federal Magnuson-Moss Warranty Act: Federal warranty protections
Tips for Used Vehicle Buyers
- Request a vehicle history report before purchase
- Have the vehicle inspected by an independent mechanic
- Get all warranty promises in writing
- Keep all documentation of repairs and communications
Dispute Resolution Procedures
North Dakota law requires manufacturers to provide informal dispute resolution procedures for consumers.
Manufacturer Arbitration Programs
Many manufacturers offer arbitration programs that comply with federal FTC regulations. These programs provide a quicker, less expensive alternative to court proceedings.
Advantages of Informal Dispute Resolution
- Typically faster than litigation
- Usually free or low-cost to consumers
- Less formal process
- May preserve the right to sue if unsatisfied with result
When Court Action May Be Necessary
If informal dispute resolution is not available or does not resolve your claim, you may file a lawsuit. Prevailing consumers may recover reasonable attorney fees.
Statute of Limitations
Understanding time limits is essential for North Dakota lemon law claims.
Key Deadlines
- Coverage period: Defect must occur within the express warranty term or 1 year from delivery, whichever is longer
- Written notice: Must be sent before seeking remedy
- Lawsuit filing: Generally follows North Dakota's contract statute of limitations (6 years)
Best Practice: File your claim promptly after the vehicle qualifies as a lemon. Delays can affect your case and your recovery amount.
More North Dakota Laws
Sources and References
- N.D.C.C. Chapter 51-07 (Full Text)(ndlegis.gov).gov
- North Dakota Attorney General: Consumer Resources(attorneygeneral.nd.gov).gov
- North Dakota Motor Vehicle Division(dot.nd.gov).gov