What Is the Lemon Law in New Mexico for Used Cars
New Mexico's Motor Vehicle Quality Assurance Act, designated as N.M.S.A. 1978, §§ 57-16A-1 through 57-16A-9, establishes legal protections applicable to both new and used motor vehicle transactions. New Mexico extends statutory coverage to used motor vehicles through the mandated implied warranty of merchantability. Every used vehicle dealer transaction incorporates this warranty automatically, requiring vehicles to function substantially without defects that meaningfully restrict transportation utility. The statutory framework prohibits dealers from selling vehicles designated as "as is" without warranty coverage, ensuring all retail consumers possess baseline protection regardless of dealership practices.
What Protections Do Used Car Buyers Have in New Mexico?
New Mexico consumers purchasing used vehicles receive safeguards through multiple layers of statutory protections spanning warranties, federal requirements, and consumer protection legislation.
Implied Warranty of Merchantability
The cornerstone of New Mexico's used car protections rests upon the implied warranty of merchantability established at N.M.S.A. 1978, § 57-16A-3.1. This warranty guarantees that used motor vehicles operate substantially free of defects that significantly restrict their function for ordinary highway transportation. Dealers cannot exclude, modify, or disclaim this protection through contract language or promotional designation. The warranty remains operative for fifteen calendar days or five hundred miles, whichever threshold transpires first. When defects manifest during this coverage period, dealers face an obligation to repair them or, if unsuccessful after reasonable repair attempts, refund the full purchase price less a reasonable allowance for consumer vehicle operation.
Magnuson-Moss Warranty Act
The Magnuson-Moss Warranty Act functions independently from state protections, granting consumers recourse when dealers or manufacturers breach express written warranties. This statute authorizes civil actions seeking damages, vehicle replacement, purchase price refunds, and litigation costs recovery when warranty obligations remain unfulfilled.
FTC Used Car Rule
The Federal Trade Commission's Used Car Rule mandates dealer display of a Buyer's Guide communicating warranty status, coverage scope, and consumer rights before transaction completion. This disclosure mechanism operates independently of New Mexico state law, ensuring uniform transparency regarding vehicle conditions and warranty protections across all jurisdictions.
Unfair Practices Act Protection
New Mexico's Unfair Practices Act provides enforcement authority against deceptive conduct and misrepresentation in commercial transactions affecting vehicle sales. Dealers engaging in material falsehoods regarding mechanical condition, collision history, title status, or component operability expose themselves to civil liability pursued through the Consumer Protection Bureau. This statute furnishes remedies when dealership conduct rises to fraudulent or substantially deceptive levels, supplementing warranty-specific remedies available under lemon law statutes.
Understanding "As Is" Sales in New Mexico
New Mexico law fundamentally restricts and effectively prohibits traditional "as is" sales for vehicles meeting statutory criteria. The implied warranty of merchantability attaches automatically to all dealer sales regardless of promotional language, written disclaimers, or contractual designation. Dealers cannot market vehicles "as is" without warranty, nor can they eliminate statutory protections through contract modifications. This represents one of the nation's strongest consumer protections for used vehicle purchasers, as the implied warranty persists independent of the dealer's intent to disclaim coverage.
Waiver Limitations and Consumer Rights
The statute permits consumers to waive implied warranty protections, but only through specific procedures protecting consumer autonomy. Waivers apply exclusively to designated particular defects and require demonstrating that consumers understood the warranty elimination. Casual or blanket "as is" language on sales documents cannot accomplish warranty elimination; instead, affirmative consumer acknowledgment specific to identified vehicle problems becomes necessary.
Filing a Consumer Complaint
New Mexico Department of Justice
Consumer Protection Bureau
408 Galisteo Street, Villagra Building, Santa Fe, NM 87501
Phone: (505) 717-3500
Toll-free: (844) 255-9210
Official Website: Consumer Protection Bureau
