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Jeep Grand Cherokee Overland

SUV’s engine, electrical system were irreparable, owner claimed

Settlement:   $37,745
Case Type:   Lemon Law , Motor Vehicle
Case:   David Mejias v. Chrysler Group, LLC, No. NC-1104174
Venue:   Office of the Attorney General
Judge:   Tuesday, April 30, 2013
Plaintiff Attorney(s):   Anthony T. Ballato, Anthony T. Ballato, Esq., Massapequa, NY
Defendant Attorney(s):   Mark Skanes, The Rose Law Firm, PLLC, Albany, NY
Facts:   On Aug. 10, 2011, claimant David Mejias purchased a new 2011 Jeep Grand Cherokee Overland edition sport utility vehicle. The purchase included a standard manufacturer's warranty. After some eight weeks had passed, Mejias reported that the vehicle was not functioning properly. He claimed that the vehicle's engine chronically malfunctioned, that the vehicle occasionally could not be started, and that its electrical and telecommunications systems were defective. He further claimed that 11 separate repairs were attempted during a course of 14 months, but that the vehicle's problems could not be resolved. The vehicle was out of service for a total of 44 days during that period. Mejias attempted to return the vehicle, but it was refused by the manufacturer, Chrysler Group, LLC. Mejias sought recovery via application of the New Car Lemon Law, General Business Law article 11-A, ยง 198-a. An arbitration hearing was scheduled. Mejias' counsel contended that the vehicle's malfunctions constituted a violation of the New Car Lemon Law, which specifies that a vehicle's first 24 months and/or 18,000 miles should not include more than four repair attempts and/or 30 days in which it is not in service.
Injury:   Mejias claimed that his vehicle's engine and electrical systems did not properly function. His counsel contended that the malfunctions compromised the vehicle's performance and constituted a material impairment of its value. Mejias sought recovery of the vehicle's purchase price, $42,000. He also sought recovery of fees that were associated with the purchase of the vehicle, including the dealer-document fee, the cost of a state-mandated inspection and the cost of the vehicle's registration.
Verdict:   The parties negotiated a settlement. Chrysler agreed to pay $37,745.10, which represented a total of $43,619.50 for the vehicle's purchase price and associated fees, less $2,000 for rebates and/or incentives and $3,874.40 for depreciation and/or usage.

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