What Is the Lemon Law in South Dakota for Used Cars
South Dakota's Motor Vehicle Warranty Law, codified in Chapter 32-6D of the South Dakota Codified Laws, extends limited lemon law protections to both new and previously untitled vehicles. The definition of "consumer" in the statute includes purchasers of new or previously untitled motor vehicles, establishing that used vehicles may qualify for protection if they remain under the original manufacturer's warranty.
South Dakota's lemon law rights period extends through the first 12 months and 12,000 miles from the original delivery date to the first purchaser, whichever comes first. A defect must be reported to the manufacturer within this rights period to trigger manufacturer obligations. After notice is provided during the rights period, the manufacturer remains obligated to repair the vehicle through 24 months or 24,000 miles from original delivery, whichever occurs first.
For used vehicles to qualify for lemon law protection, the vehicle must remain under the original manufacturer's written warranty coverage at the time the defect is reported. Covered vehicles must be used primarily for personal, family, or household purposes and must not include motor homes or vehicles with a manufacturer's gross vehicle weight rating of 10,000 pounds or more.
What Protections Do Used Car Buyers Have in South Dakota?
Although South Dakota's lemon law provides limited protection for used vehicles, several federal statutes and state disclosure requirements offer important safeguards for used car buyers.
Magnuson-Moss Warranty Act
The Magnuson-Moss Warranty Act establishes federal protection when dealers or manufacturers provide written warranties on motor vehicles, including used cars. This federal statute permits consumers to pursue legal action for breaches of express warranties issued by dealers or manufacturers and violations of implied warranty obligations.
FTC Used Car Rule Requirements
The Federal Trade Commission's Used Car Rule mandates that dealers display a Buyer's Guide on every used vehicle before sale. This disclosure document must clearly indicate whether the vehicle carries warranty coverage or is offered without protection, specify which systems or components are covered, state the duration of any warranty, identify the percentage of repair costs the dealer assumes, and provide information about vehicle history records and safety recalls.
South Dakota Damage Disclosure Requirements
Dealers in South Dakota must display damage disclosure statements on used vehicles for which the title history reflects damage exceeding $5,000. Pursuant to South Dakota Code 32-3-51.18, vehicle dealers are required to display a notice disclosing damage to the vehicle for which the current title includes a salvage brand or similar designation. This requirement applies to vehicles less than seven years old that are titled in the state.
Understanding "As Is" Sales in South Dakota
South Dakota law permits dealers to sell used vehicles "as is," eliminating manufacturer and dealer warranty coverage. All used vehicles are sold "as is" unless the vehicle retains an active manufacturer warranty or the dealer provides a written in-house warranty.
What "As Is" Means for Buyers
When purchasing a vehicle "as is":
- The dealer bears no responsibility for mechanical, electrical, or structural repairs following the sale
- You assume complete financial liability for all defects identified after purchase
- Problems discovered immediately after delivery, even before leaving the dealership premises, remain your expense
- The "as is" designation typically eliminates implied warranties of merchantability and fitness for a particular purpose
Limited Dealer Disclosure Requirements
South Dakota dealers must comply with Federal Trade Commission standards and display the Buyer's Guide on all used vehicles. The guide must clearly identify whether the vehicle is offered "as is" or with warranty coverage. Dealers must provide written documentation about warranty terms before transaction completion.
Dealers must present odometer disclosure statements and damage disclosure statements when applicable. Any warranties or repair guarantees promised by a dealer must be documented in writing on the purchase contract to be enforceable.
Limited Exceptions to "As Is" Protection
Despite an "as is" designation, legal remedies may exist when:
- The dealer engaged in fraudulent conduct by intentionally concealing known defects from the buyer
- The dealer made misrepresentations regarding the vehicle's condition or history
- The dealer altered purchase documents or warranty documentation without authorization
Filing a Consumer Complaint
South Dakota consumers experiencing disputes with used car dealers may submit complaints through multiple state agencies.
Office of Attorney General
Division of Consumer Protection
1302 E Hwy 1889 Ste 3, Pierre, SD 57501
Phone: (605) 773-4400
Toll-free: (800) 300-1986
Official Website: South Dakota Consumer Protection
South Dakota Department of Revenue
Division of Motor Vehicles
445 E Capitol Avenue, Pierre, SD 57501
Phone: (605) 773-3541
Toll-free: (800) 829-9188
Official Website: Motor Vehicle Services
