Friday, November 15, 2024

Should Ontario Adopt a Lemon Law to Protect Car Buyers?

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An Ontario resident’s recent experience with a brand-new electric car has reignited discussions about the need for a “lemon law” in the province. Peter Cybulski of Waterloo purchased a 2025 Kia EV9 in August for $90,000, only to encounter significant issues almost immediately. Just six days after bringing the electric SUV home, it became undrivable, remaining stuck in park and unable to switch into drive, reverse, or neutral.

Despite being in the shop for over a month, Cybulski’s SUV was not repaired, leaving him frustrated and calling for the dealership to either replace the vehicle or issue a refund. “Exchange our vehicle for one that functions or give us a refund,” he said, voicing his dismay at the situation.

Consumer advocacy group Car Help Canada argues that Ontario’s lack of a lemon law puts consumers at a disadvantage compared to those in the United States. Mohamed Bouchama, representing the group, emphasized that “Canadians from a consumer protection point of view are not as well protected as in the United States.” Unlike some U.S. states with strict lemon laws that mandate a refund or replacement if a new car cannot be adequately repaired after multiple attempts, Ontario lacks such regulations.

While Canadian consumers can turn to the Canadian Motor Vehicle Arbitration Plan (CAMVAP) to resolve disputes or take legal action against a dealer, Bouchama believes that a formal lemon law would offer stronger protection. “It’s like a three strikes you’re out. If you take the car back to the dealer three times and they can’t fix it, they have to give you a new car or your money back,” he explained. Quebec introduced a lemon law last year, and Car Help Canada advocates for similar measures in all provinces.

Kia Canada acknowledged that a small number of 2025 EV9 units were experiencing problems with the electronic shift lever and assured that replacement parts had been expedited. Impacted customers were being contacted, and rental cars were offered for those unable to drive their vehicles during repairs. After reaching out to CTV News, Cybulski’s car was finally repaired, allowing him to resume driving, albeit cautiously optimistic. “It’s a relief to finally get my car back,” he said.

Although CAMVAP has had some success in facilitating buybacks, participation is voluntary for automakers, though most comply. Many consumers, including Cybulski, believe a dedicated lemon law would provide greater assurance and fairness for car buyers in Ontario.

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