Good To Know

Exploring Alternatives for Your Lemon Law Case

If your new car qualifies as a lemon, the Texas Lemon Law can help you repurchase or replace it. An experienced Lemon Law lawyer can guide you through the process and ensure all necessary documentation is collected.

A Lemon Law attorney can maximize compensation by negotiating or litigating your case. A firm committed to quality legal service in the Texas and Oklahoma Panhandles.


Arbitration is a formal tribunal process where one or more arbitrators hear the evidence in your lemon law case and make a firm decision. While there can be some discovery and cross-examination in arbitration, the proceedings are generally shorter and less formal than court cases.

In your arbitration, you and the manufacturer will present your respective cases to a hearing examiner who analyzes the evidence and makes a ruling about what compensation should be awarded. The hearing examiner’s ruling will be binding on both parties, although you can usually appeal the decision to a district or appellate court in case of dissatisfaction.

Consumers who prepare their cases by bringing substantial documentation of the problems with their vehicles do best in the arbitration process. Be sure to get all receipts for repair work performed on the vehicle, phone records showing how often you contacted the dealership, and any ads or brochures the manufacturer used to promote their product (manufacturers are held to the standards they claim in their marketing materials). The attorney with whom you choose to handle your Texas lemon law case will be familiar with this process and can help you prepare for your arbitration.


In mediation, parties work with a neutral third party to help them communicate and find mutually acceptable resolutions to their dispute. It can be particularly useful for people who want to preserve their relationship after a disagreement and is often used in family, neighbor and business disputes. It is a more informal negotiation process than a trial or arbitration, and with limited exceptions, everything said in mediation is confidential.

While mediation is familiar to most people as a means of settling labor-management or international disputes, it can also be used to settle other kinds of legal disputes, including contract, interpersonal and human resource conflicts. Mediation allows parties to define issues and negotiate flexible settlements oriented to their future business interests rather than past conduct or the law.

To help maximize mediation’s effectiveness, filing a brief before your first session with the mediator is advisable. This will allow the mediator to fully understand each side’s case and test each point of view with credibility.

Arbitration with a Third Party

Arbitration is an alternative to litigation that involves an out-of-court proceeding during which a neutral third party hears the evidence, makes a decision, and then the parties agree to abide by the resulting judgment. The arbitration process is typically faster and less expensive than a traditional lawsuit.

Your Texas lemon law attorney can assist you in the arbitration process. You may choose a private arbitrator or use a program run by your state consumer protection agency. You should gather receipts, service records, work orders, repair tickets, and letters to and from the manufacturer or dealer. This documentation can greatly increase your chances of getting a repurchase or refund from the manufacturer.

Your attorney will help you through the arbitration hearing with the examiner, who will listen to both sides of your story and then make a ruling. An arbitrator’s decisions can be binding or nonbinding, but the results are usually appealable if you disagree with the outcome. Your lawyer will assist you in this process, including pre-trial hearings and any discovery processes.

Arbitration with the Manufacturer

A lemon law or diminished value claim is a dispute with a vehicle manufacturer and requires the assistance of an experienced attorney. During the arbitration process, both parties meet with an arbitrator to discuss the case and attempt to find a resolution.

During the meeting, you will be asked to provide evidence of your claims, such as repair invoices, work orders and warranties and letters to and from your dealer or manufacturer. You will also be asked to present why you believe the car or truck meets the state’s definition of a lemon.

The goal is for both parties to devise a solution that will satisfy both of you. The case is usually settled during this stage, and a lawsuit is never filed. An experienced lemon law lawyer can skillfully negotiate with the manufacturer on your behalf, presenting the evidence and advocating for you to receive a fair settlement. Your lawyer can file a lawsuit if a satisfactory settlement cannot be reached. If the case is successful, you will be awarded a cash settlement, and your lawyer will be paid 20% of any such recovery.

Arbitration with the DMV

If the manufacturer cannot or unwillingly agree with you, the next step is to file an arbitration with the DMV. This process is non-judicial; you and the manufacturer agree to have either a panel or individual arbitrator determine if your vehicle qualifies as a lemon.

At the arbitration hearing, both parties are allowed to present evidence. You should bring all documents and receipts related to the vehicle’s issues and any correspondence with the dealership or manufacturer. You will also be able to rebut any testimony presented by the manufacturer. In some cases, the arbitrator may request a test drive and inspection of the vehicle to help make their decision.

A qualified lemon law attorney can provide valuable guidance and effective representation during dispute resolution. They will ensure all necessary documentation is gathered and filed and all deadlines are met, and they will work hard to maximize your compensation through negotiation or mediation sessions. If those methods fail to produce a satisfactory outcome, they can also recommend filing a lawsuit against the manufacturer.

Samantha hails from Virginia and is a proud wife to a retired Deputy Sheriff and mother to two amazing little boys named Jack & William. A veteran product reviewer; Samantha has been reviewing products for 12 years and offers high quality product reviews with original photography.

Samantha hails from Virginia and is a proud wife to a retired Deputy Sheriff and mother to two amazing little boys named Jack & William. A veteran product reviewer; Samantha has been reviewing products for 12 years and offers high quality product reviews with original photography.

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