Lemon Law Demand Letter — Maryland

LEMON LAW DEMAND LETTER

STATE OF MARYLAND

Maryland Automotive Warranty Enforcement Act

Md. Code, Com. Law §§ 14-1501 through 14-1504

SENT VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED — SIGNATURE REQUIRED
AND FIRST-CLASS MAIL

[__/__/____]

[MANUFACTURER LEGAL NAME]
ATTN: Customer Relations / Legal Department / Registered Agent
[MANUFACTURER ADDRESS]
[CITY, STATE ZIP]

AND TO:

[AUTHORIZED DEALER NAME]
ATTN: General Manager / Service Manager
[DEALER ADDRESS]
[CITY, MD ZIP]

Re: MARYLAND LEMON LAW NOTICE AND DEMAND — Md. Code, Com. Law § 14-1502(b)
Consumer: [________________________________]
Vehicle: [____] [________________________________] [________________________________]
VIN: [________________________________]
Purchase/Lease Date: [__/__/____]
Transaction Type: ☐ Purchase ☐ Lease
Current Odometer: [____] miles

Dear Sir or Madam:

This office represents [CONSUMER FULL NAME] ("Consumer") in connection with the above-referenced vehicle, which qualifies as a "lemon" under the Maryland Automotive Warranty Enforcement Act, Md. Code, Com. Law §§ 14-1501 through 14-1504.

THIS LETTER CONSTITUTES THE WRITTEN NOTIFICATION BY CERTIFIED MAIL REQUIRED BY Md. Code, Com. Law § 14-1502(b). Upon receipt, the manufacturer or factory branch has thirty (30) days to correct the nonconformity (§ 14-1502(b)(3)). If the nonconformity is not corrected, Consumer is entitled to a refund or replacement at Consumer's option (§ 14-1502(c)).

I. MARYLAND AUTOMOTIVE WARRANTY ENFORCEMENT ACT — LEGAL FRAMEWORK

A. Statutory Authority and Scope

The Maryland Automotive Warranty Enforcement Act, Md. Code, Com. Law §§ 14-1501 through 14-1504, grants Maryland consumers the right to a refund or replacement vehicle when a new motor vehicle cannot be brought into conformance with its warranty after a reasonable number of repair attempts.

• Maryland's Lemon Law is applied to leased as well as purchased cars, light trucks, and motorcycles registered in Maryland (see the Maryland Attorney General's Lemon Law guidance); "consumer" is defined at § 14-1501(b), and the rights inure to a subsequent transferee for the duration of the applicable warranties (§ 14-1502(j)(2)).
• Maryland covers motorcycles (Class D) as well as passenger cars and light trucks;
• Maryland's warranty period is the earlier of 24 months or 18,000 miles (§ 14-1501(e)) — act promptly;
• If the manufacturer maintains a qualified informal dispute settlement procedure (16 C.F.R. Part 703), the consumer may resort to it, but is not required to (§ 14-1502(i)).

B. Covered Vehicles — Md. Code, Com. Law § 14-1501(f)

A "motor vehicle" under Maryland law means a vehicle registered in Maryland as a:

1. Class A (passenger) vehicle;
2. Class D (motorcycle) vehicle;
3. Class E (truck) vehicle with a 3/4 ton or less manufacturer's rated capacity; or
4. Class M (multipurpose) vehicle.

Excluded: motor homes (§ 14-1501(f)(2)) and any fleet purchase of five or more motor vehicles (§ 14-1502(m)).

The vehicle at issue — a [____] [________________________________] — is a covered motor vehicle under § 14-1501(f).

Leased Vehicles: The Attorney General applies Maryland's Lemon Law to leased vehicles. Confirm the lessee's standing and the correct refund/return mechanics with counsel, as the statute's express "consumer" definition (§ 14-1501(b)) centers on the purchaser and warranty-holders.

C. Warranty Period — Md. Code, Com. Law § 14-1501(e)

Maryland's coverage period is the manufacturer's warranty period: the earlier of the first 18,000 miles of operation OR 24 months after the date of original delivery to the consumer.

The nonconformity must be reported to the manufacturer or factory branch during the warranty period (§ 14-1502(b)(1)); repairs may be completed after the period expires (§ 14-1502(b)(3)).

The vehicle in this matter was delivered on [__/__/____]. The warranty period expires on [__/__/____] or at 18,000 miles, whichever is earlier. Our Client reported the nonconformity on [__/__/____] at [____] miles, which is within the warranty period.

D. Substantial Impairment Standard — Md. Code, Com. Law § 14-1502(c)(1)

Maryland's remedy applies to a "defect or condition that substantially impairs the use and market value of the motor vehicle." A defect need not render the vehicle inoperable; a defect that substantially impairs use and market value qualifies even if the vehicle can still be driven. (A braking or steering safety failure has its own reduced threshold — see § E below.)

E. Presumption of a Reasonable Number of Attempts — Md. Code, Com. Law § 14-1502(d)

A rebuttable presumption that a reasonable number of repair attempts have been made arises when any of the following occurs within the warranty period:

Threshold 1 — Same Defect (§ 14-1502(d)(1)):
The same nonconformity has been subject to repair four (4) or more times by the manufacturer, factory branch, or its authorized dealers, and the nonconformity continues to exist.

Threshold 2 — Days Out of Service (§ 14-1502(d)(2)):
The vehicle has been out of service by reason of repair for a cumulative total of 30 or more days (need not be consecutive).

Threshold 3 — Braking or Steering Safety Failure (§ 14-1502(d)(3)):
A nonconformity resulting in failure of the braking or steering system has been subject to the same repair at least once, the manufacturer has been notified and given the opportunity to cure, and the repair does not bring the vehicle into compliance with Maryland's motor vehicle safety inspection laws. Maryland requires only one repair attempt for a qualifying braking/steering safety failure.

F. Written Notice and 30-Day Correction Period — Md. Code, Com. Law § 14-1502(b)

The consumer must, during the warranty period, report the nonconformity to the manufacturer or factory branch by certified mail, return receipt requested (§ 14-1502(b)(1)) and provide an opportunity to cure (§ 14-1502(b)(2)). The manufacturer, factory branch, or authorized dealer must correct the nonconformity at no charge within 30 days of the manufacturer's receipt of the notice (§ 14-1502(b)(3)) — even if repairs occur after the warranty period expires. This letter satisfies that certified-mail notice requirement.

Notice must be given to the manufacturer or factory branch; a copy to the dealer is prudent but the statutory notice runs to the manufacturer/factory branch.

G. Informal Dispute Settlement — Md. Code, Com. Law § 14-1502(i)

If the manufacturer or factory branch has established an informal dispute settlement procedure that complies in all respects with 16 C.F.R. Part 703, the consumer may resort to that procedure before the refund/replacement remedy in § 14-1502(c) applies (§ 14-1502(i)(1)). A consumer who resorts to such a procedure is not precluded from later seeking any rights or remedies available by law (§ 14-1502(i)(2)). Maryland does not operate a state-run lemon-law arbitration board; the only statutory arbitration is the manufacturer's optional 16 C.F.R. Part 703 program.

Separately, on a return or replacement, the consumer is entitled to recover the excise taxes originally paid from the Motor Vehicle Administration (§ 14-1503).

II. VEHICLE INFORMATION

III. WARRANTY COVERAGE

All defects complained of arose during the manufacturer's warranty period and remain unresolved.

IV. DESCRIPTION OF NONCONFORMITY / DEFECTS

The vehicle suffers from the following nonconformity(ies) that substantially impair its use and market value under Md. Code, Com. Law § 14-1502(c)(1):

Primary Nonconformity

• System Affected: [________________________________]
• Detailed Description: [________________________________]
• Date / Mileage of First Occurrence: [__/__/____] / [____] miles
• Symptoms Observed: [________________________________]
• Safety Impact (braking/steering?): ☐ Yes — describe: [________________________________] ☐ No
• Effect on Use: [________________________________]
• Effect on Market Value: [________________________________]
• Related Technical Service Bulletins (TSBs): [________________________________]

Secondary Nonconformity (if applicable)

• System Affected: [________________________________]
• Detailed Description: [________________________________]
• Date / Mileage of First Occurrence: [__/__/____] / [____] miles

V. COMPLETE REPAIR HISTORY

Repair Attempt No. 1

Repair Attempt No. 2

Repair Attempt No. 3

Repair Attempt No. 4

[Attach additional repair attempt tables as needed]

Repair History Summary

VI. LEMON LAW QUALIFICATION ANALYSIS

A. Statutory Thresholds Met — § 14-1502(d)

☐ Four-Repair Threshold (§ 14-1502(d)(1)):
The same nonconformity — [________________________________] — has been subject to repair on [____] occasions within the warranty period, meeting or exceeding the 4-repair threshold.

☐ 30-Day Out-of-Service Threshold (§ 14-1502(d)(2)):
The vehicle has been out of service for repair for a cumulative total of [____] days, meeting or exceeding the 30-day threshold.

☐ Braking/Steering Safety Threshold (§ 14-1502(d)(3)):
A braking or steering failure was subject to repair, the manufacturer was notified and given the opportunity to cure, and the vehicle still does not pass Maryland safety inspection — satisfying the one-attempt safety threshold.

B. Coverage Period Confirmation

The warranty period for this vehicle is 24 months or 18,000 miles from [__/__/____] (delivery date), expiring [__/__/____] or at 18,000 miles. The nonconformity was reported on [__/__/____] at [____] miles, which is within the warranty period. ✓

VII. DISPUTE RESOLUTION

Under § 14-1502(i), if [MANUFACTURER] maintains a qualified informal dispute settlement procedure, Consumer may resort to it, but is not required to before demanding a refund or replacement:

☐ Manufacturer's Certified Program: [MANUFACTURER] sponsors an informal dispute settlement procedure certified under 16 C.F.R. Part 703. Consumer may participate in that program. Participation does not preclude Consumer's other legal rights or remedies (§ 14-1502(i)(2)).

☐ No Certified Program: [MANUFACTURER] does not maintain a certified 16 C.F.R. Part 703 program; Consumer may proceed directly to the refund/replacement remedy and, if necessary, civil action.

Maryland Attorney General — Consumer Protection Division (complaint/mediation and enforcement of the Consumer Protection Act; Maryland does not operate a state-run lemon-law arbitration board):

Maryland Attorney General — Consumer Protection Division
200 St. Paul Place, Baltimore, MD 21202
Telephone: (410) 528-8662 | (888) 743-0023 (toll-free)
Website: www.marylandattorneygeneral.gov

VIII. DEMAND FOR RELIEF

Pursuant to Md. Code, Com. Law § 14-1502(c), Consumer demands the following relief, at Consumer's option:

A. Repurchase / Full Refund (Primary Election)

☐ Consumer elects REPURCHASE. Manufacturer must accept return and refund the full purchase price including all license fees, registration fees, and any similar governmental charges (§ 14-1502(c)(1)(ii)), less a reasonable allowance for use and non-wear damage as noted below:

Maryland Allowance-for-Use (§ 14-1502(c)(1)(ii)): The manufacturer may deduct a reasonable allowance for the consumer's use of the vehicle that may not exceed 15% of the purchase price, plus a reasonable allowance for damage not attributable to normal wear (excluding damage caused by the nonconformity). Maryland does not use a per-mile "÷ 100,000" formula.

Lienholder Allocation (§ 14-1502(c)(2)): The manufacturer makes the refund to Consumer and any lienholder as their interests appear in Motor Vehicle Administration ownership records. A loan payoff is an allocation of the refund, not an additional refund component. For a lease or other transaction without a conventional purchase price, counsel should determine the proper claimant, payees, and calculation rather than treating total lease obligations as an automatic statutory refund item.

Excise Tax Recovery (§ 14-1503): On return or replacement, Consumer is separately entitled to recover the excise taxes originally paid from the Motor Vehicle Administration; on a replacement, the excise taxes originally paid are credited against the tax on the replacement vehicle.

B. Replacement Vehicle (Alternative Election)

☐ Consumer elects REPLACEMENT. Manufacturer must provide a comparable motor vehicle acceptable to the consumer (§ 14-1502(c)(1)(i)):

• A motor vehicle comparable to the returned vehicle;
• Acceptable to Consumer; and
• Accompanied by the excise-tax credit or recovery administered separately by the Motor Vehicle Administration under § 14-1503.

C. Attorney's Fees, Costs, and Bad-Faith Damages

• Under Md. Code, Com. Law § 14-1502(l)(1), a court may award reasonable attorney's fees to a prevailing plaintiff.
• Under § 14-1504(a) and § 13-301(14)(xi), a violation of the subtitle is an unfair or deceptive trade practice. A private damages action under § 13-408 requires injury or loss resulting from the prohibited practice; if damages are awarded, the court may award reasonable attorney's fees.
• Under § 14-1504(b), if the manufacturer, factory branch, or distributor is found to have acted in bad faith, the court may award the consumer damages of up to $10,000.

IX. FINAL REPAIR OPPORTUNITY

This letter provides [MANUFACTURER] with the certified-mail notice and the statutory thirty (30) day period to correct the nonconformity required under Md. Code, Com. Law § 14-1502(b). If you wish to attempt a repair:

1. Contact this office in writing within ten (10) days of receipt of this letter to schedule;
2. Provide a specific proposed repair date, location, and description of the repair to be attempted;
3. Arrange for a rental vehicle at no cost to Consumer during the repair period;
4. Complete the correction within the statutory 30-day period (§ 14-1502(b)(3)).

If the nonconformity is not corrected within 30 days, Consumer will proceed to the refund/replacement remedy and, if necessary, arbitration and/or litigation.

X. DOCUMENT PRESERVATION NOTICE

You are hereby directed to preserve all documents, records, and electronically stored information related to this vehicle and this claim, including:

☐ All repair orders, warranty claim records, and service history
☐ Technical Service Bulletins (TSBs) and Customer Satisfaction Programs related to the defect
☐ Field Technical Reports and engineering analyses
☐ All customer complaints submitted regarding the same or similar defects in this model
☐ Communications between dealer and manufacturer regarding this vehicle
☐ Diagnostic scan tool data and calibration records
☐ The vehicle itself — do not resell, export, or alter

Failure to preserve relevant evidence may result in adverse inference instructions, sanctions, and separate claims under Maryland law.

XI. RESPONSE DEADLINE

Please respond in writing within ten (10) days of the date of this letter with:

1. Your acknowledgment of receipt of this certified mail notice under § 14-1502(b);
2. Your position on whether the vehicle qualifies for refund or replacement;
3. A concrete offer of refund, replacement, or scheduling of a repair within the 30-day correction period;
4. The name and direct contact for the manufacturer's authorized representative handling this matter.

If the nonconformity is not corrected within the statutory 30-day period, Consumer will:

☐ Resort to the manufacturer's 16 C.F.R. Part 703 program (if any) at Consumer's option, or proceed directly under § 14-1502(c)
☐ File a complaint with the Maryland Attorney General's Consumer Protection Division
☐ Initiate civil action in the Circuit Court for [________________________________] County, Maryland
☐ File a timely civil action under the Maryland Automotive Warranty Enforcement Act and any independently verified additional claim supported by the facts

XII. CONCLUSION

Our Client has reported the nonconformity and given [MANUFACTURER] [____] repair opportunities spanning [____] days out of service. The vehicle remains defective. Maryland law entitles our Client to a full refund or replacement at Consumer's option. We urge you to resolve this matter promptly and avoid the expense and disruption of arbitration or litigation.

Respectfully submitted,

[LAW FIRM NAME]

By: ___________________________________
[ATTORNEY FULL NAME]
Maryland State Bar No. [____]
[ADDRESS]
[CITY, MD ZIP]
[TELEPHONE]
[EMAIL]

Attorneys for [CONSUMER FULL NAME]

ENCLOSURES:
☐ Copies of all repair orders (Repair Attempts 1 through [____])
☐ Copy of purchase or lease agreement
☐ Copy of manufacturer's warranty booklet
☐ Current vehicle registration
☐ Photographs or video of defect
☐ Correspondence with dealer or manufacturer
☐ Rental car receipts and other incidental expense documentation
☐ Authorization to represent

cc: [CONSUMER NAME]
[LIENHOLDER/LESSOR NAME AND ADDRESS]
Maryland Attorney General — Consumer Protection Division, 200 St. Paul Place, Baltimore, MD 21202
Maryland Motor Vehicle Administration — Consumer Services Division

MARYLAND LEMON LAW — QUICK REFERENCE

MARYLAND-SPECIFIC PRACTICE NOTES

☐ Warranty Period Is 24 Months / 18,000 Miles: Report the nonconformity by certified mail within the earlier of 24 months or 18,000 miles (§ 14-1501(e)). Repairs may be completed after the period expires if reported within it (§ 14-1502(b)(3)).

☐ Braking/Steering = One Attempt: For a braking or steering failure that still fails safety inspection after one repair (with notice and opportunity to cure), the presumption arises after a single attempt (§ 14-1502(d)(3)).

☐ Allowance for Use Capped at 15%: The refund deduction is a reasonable allowance for use not to exceed 15% of the purchase price (§ 14-1502(c)(1)(ii)) — not a per-mile formula. A separate deduction is allowed for damage not attributable to normal wear.

☐ No State Arbitration Board: Maryland does not run a state lemon-law arbitration program. The only statutory arbitration is the manufacturer's optional 16 C.F.R. Part 703 program (§ 14-1502(i)); the AG's Consumer Protection Division handles complaints/mediation and enforcement.

☐ Recover Excise Taxes: On return or replacement, the consumer recovers excise taxes from the MVA (§ 14-1503); the manufacturer must notify the consumer of this right in writing.

☐ Certified Mail — Manufacturer's Address: Send to the manufacturer/factory branch. Check the Maryland SDAT database for the registered agent address: https://egov.maryland.gov/BusinessExpress

☐ Bad-Faith Damages + UDAP: A violation is an unfair or deceptive trade practice under Title 13 (§ 14-1504(a)); bad faith exposes the manufacturer to up to $10,000 in damages (§ 14-1504(b)), and a court may award attorney's fees to a prevailing plaintiff (§ 14-1502(l)).

SOURCES AND REFERENCES

• Md. Code, Com. Law § 14-1501 (definitions; warranty period): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-1501&enactments=false
• Md. Code, Com. Law § 14-1502 (notice/cure; refund/replacement; presumption; IDSP; fees; SOL): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-1502&enactments=false
• Md. Code, Com. Law § 14-1503 (excise tax recovery): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-1503&enactments=false
• Md. Code, Com. Law § 14-1504 (UDAP; bad-faith damages): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-1504&enactments=false
• Md. Code, Com. Law § 13-301 (Automotive Warranty Enforcement Act violation is a UDAP): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=13-301&enactments=false
• Md. Code, Com. Law § 13-408 (private action for resulting injury or loss; fees): https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=13-408&enactments=false
• Maryland Attorney General — Lemon Law: https://oag.maryland.gov/i-need-to/Pages/lemon-law.aspx
• Maryland Motor Vehicle Administration — Consumer Services: https://mva.maryland.gov
• 16 C.F.R. Part 703 (Informal Dispute Settlement Procedures): https://www.ecfr.gov/current/title-16/chapter-I/subchapter-G/part-703

This template is for informational purposes only and does not constitute legal advice. Maryland lemon law claims are time-sensitive. Consult a licensed Maryland attorney promptly.