Attorneys representing plaintiffs and at least one automobile manufacturer have reached an agreement to amend California’s “lemon law.” The 42-year-old statute, California Civil Code §1793.22, mandates automakers to either refund or replace defective vehicles. While specifics of the forthcoming bill remain undisclosed, it aims to address complaints about exploitation of the law’s provisions that enable some lawyers to accumulate substantial statutory attorneys fees and civil penalties, often double the actual damages suffered by the owners.
Under the terms of the negotiated agreement, automakers and their allies will abandon a proposed initiative to cap attorneys’ contingency fees. Those engaged in these discussions are expected to introduce the bill next week. For more details on the evolving legislative deal, visit the full article here.