Is arbitration a fraud where the customer always loses?
#1
Is arbitration a fraud where the customer always loses?
I'm curious as to whether (1) anyone has won in arbitration against an automaker, and (2) whether the whole arbitration process is a scam where the "impartial" arbitrators are biased in favor of the manufacturers (eg ex car dealer employees, ex automaker employees).
I ask because I just lost an arbitration in which I provided video evidence of defects, demonstrated the defects during a test drive with the arbiter, provided a service bulletin showing my car has a defect that I demonstrated during the drive, etc. I pointed out flaws in the Lexus reps arguments during the hearing. I thought I had an air-tight case, yet the arbiters sided with the automaker.
I've now not only lost respect for Toyota/Lexus due to them claiming the defects were "normal characteristics" of the car, but think the supposedly fair arbitration process is bogus. Despite being a loyal customer having bought 3 Lexus and 8 Toyota vehicles new over the past 20 years, this experience has me looking hard at other automakers for my next purchase. It's sad that Toyota is willing to put thousands on the hood of new cars to win back loyal customers after the SUA news stories dampened sales, but they're unwilling to even offer me a penny to buy another one of their cars after getting burned by a lemon.
(I have an 07 ES350 with the torque converter shudder defect, severe piston slap, and other issues.)
I ask because I just lost an arbitration in which I provided video evidence of defects, demonstrated the defects during a test drive with the arbiter, provided a service bulletin showing my car has a defect that I demonstrated during the drive, etc. I pointed out flaws in the Lexus reps arguments during the hearing. I thought I had an air-tight case, yet the arbiters sided with the automaker.
I've now not only lost respect for Toyota/Lexus due to them claiming the defects were "normal characteristics" of the car, but think the supposedly fair arbitration process is bogus. Despite being a loyal customer having bought 3 Lexus and 8 Toyota vehicles new over the past 20 years, this experience has me looking hard at other automakers for my next purchase. It's sad that Toyota is willing to put thousands on the hood of new cars to win back loyal customers after the SUA news stories dampened sales, but they're unwilling to even offer me a penny to buy another one of their cars after getting burned by a lemon.
(I have an 07 ES350 with the torque converter shudder defect, severe piston slap, and other issues.)
#2
In Maryland (I assume that is where this event took place), as in some other states, the results of arbitration are not binding on a consumer (they often are binding on the manufacturer). You can take the case to civil court, although it must be done within three years of the arbitration date if it involved a Lemon Law case. This is only a broad general guide, though, and I'd recommending talking to a qualified attorney on your specific situation if you are not satisfied with the arbitration result. If you're in or near the D.C. area, you might want to check out the Stephen Swann Law Office in Arlington.......he is a well-known attorney in the area and is quite experienced with auto-litigation issues. I haven't personally met him, but have heard a lot of good things about him.........and I used to read his weekly automotive question-and-answer column.
Thread
Thread Starter
Forum
Replies
Last Post
ToyotaLexus
Car Chat
8
01-28-09 10:20 PM
zeke013
LX - 1st and 2nd Gen (1996-2007)
2
06-21-04 08:52 PM