1.At the time of the consumer’s purchase or lease of the vehicle, a manufacturer who
has established a program certified pursuant to this section shall, at a minimum, clearly and
conspicuously disclose to the consumer in written materials accompanying the vehicle how
and where to file a claim with the program.
2.A certified program shall be funded and competently staffed at a level sufficient to
ensure fair and expeditious resolution of all disputes, and shall not charge consumers any
fee for use of the program. The manufacturer shall take all steps necessary to ensure that
a certified program and its staff and decision makers are sufficiently insulated from the
manufacturer so that the performance of the staff and the decisions of the decision makers
are not influenced by the manufactur
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1. At the time of the consumer’s purchase or lease of the vehicle, a manufacturer who
has established a program certified pursuant to this section shall, at a minimum, clearly and
conspicuously disclose to the consumer in written materials accompanying the vehicle how
and where to file a claim with the program.
2. A certified program shall be funded and competently staffed at a level sufficient to
ensure fair and expeditious resolution of all disputes, and shall not charge consumers any
fee for use of the program. The manufacturer shall take all steps necessary to ensure that
a certified program and its staff and decision makers are sufficiently insulated from the
manufacturer so that the performance of the staff and the decisions of the decision makers
are not influenced by the manufacturer. Such steps, at a minimum, shall ensure that the
manufacturer does not make decisions on whether a consumer’s dispute proceeds to the
decision maker. Staff and decision makers of a certified program shall be trained in the
provisions of this chapter and rules adopted under this chapter.
3. a. A certified program shall allow an oral presentation by a party, or by a party’s
employee, agent, or representative.
b. Within five days following the consumer’s notification to the certified program of the
dispute, the program shall inform each party of their right to make an oral presentation.
c. Meetings of a certified program to hear and decide disputes shall be open to observers,
including either party to the dispute, on reasonable and nondiscriminatory terms.
4. A certified program shall render a decision no later than sixty days from the day of
the consumer’s notification of the dispute, provided that a significant number of decisions
are rendered within forty days. For the purposes of this section, notification is deemed to
have occurred when a certified program has received the consumer’s name and address;
the current date and the date of the original delivery of the motor vehicle to a consumer;
the year, make, model, and identification number of the motor vehicle; and a description
of the nonconformity. If the consumer has not previously notified the manufacturer of the
nonconformity, the sixty-day period is extended for an additional seven days.
5. Acertifiedprogramshall,inrenderingdecisions,takeintoaccounttheprovisionsofthis
chapter and all legal and equitable factors germane to a fair and just decision. The decision
shall disclose to the consumer and the manufacturer the reasons for the decision, and the
manufacturer’s required actions, if applicable. If the decision is in favor of the consumer, the
consumer shall have up to twenty-five days from the date of receipt of the certified program’s
decision to indicate acceptance of the decision. The decision shall prescribe a reasonable
periodoftime, nottoexceedthirtydaysfromthedatetheconsumernotifiesthemanufacturer
of acceptance of the decision, within which the manufacturer must fulfill the terms of the
decision. If the manufacturer has had a reasonable number of attempts to conform a motor
vehicle to the warranty as set forth in section 322G.4, subsection 3, including a final attempt
by the manufacturer to repair the motor vehicle, if undertaken as provided for in section
§322G.6, DEFECTIVE MOTOR VEHICLES (LEMON LAW) 6
322G.4, subsection 1, and the consumer is entitled to a replacement vehicle or a refund under
section 322G.4, subsection 2, the decision shall be limited to relief as allowed under section
322G.4, subsection 2. In an action brought by a consumer under this chapter, the decision of
a certified program is admissible in evidence.
6. A certified program shall establish written procedures which explain operation of the
certified program. Copies of the written procedures shall be made available to any person
upon request and shall be sent to the consumer upon notification of the dispute.
7. A certified program shall retain all records for each dispute for at least four years after
the final disposition of the dispute. A certified program shall have an independent audit
conducted annually to determine whether the manufacturer and its performance and the
program and its implementation are in compliance with this chapter. All records for each
dispute shall be available for the audit. Such audit, upon completion, shall be forwarded to
the attorney general.
8. Any manufacturer licensed to sell motor vehicles in this state may apply to the attorney
general for certification of its program. A manufacturer seeking certification of its program
in this state shall submit to the attorney general an application for certification on a form
prescribed by the attorney general.
9. A program certified in this state or a program established by a manufacturer applying
for certification in this state shall submit to the attorney general a copy of each settlement
approved by the program or decision made by the decision maker within thirty days after the
settlement is reached or the decision is rendered. The decision or settlement shall contain
information prescribed by the attorney general.
10. The attorney general shall review the operations of any certified program at least
once annually. The attorney general shall prepare annual and periodic reports evaluating the
operation of certified programs serving consumers in this state or programs established by
motor vehicle manufacturers applying for certification in this state. The reports shall indicate
whether certification should be granted, renewed, denied, or revoked.
11. If a manufacturer has established a program which the attorney general has certified
as substantially complying with the provisions of and the rules adopted under this chapter,
and has informed the consumer how and where to file a claim with the program pursuant to
subsection 1, the provisions of section 322G.4, subsection 2, do not apply to any consumer
who has not first resorted to the program.