California Code of Regulations
Title 16 - Professional and Vocational Regulations
Division 33.1 - Arbitration Certification Program
Article 3 - Minimum Standards for Arbitration Programs
Section 3398.11 - Replacement and Refund

Universal Citation: 16 CA Code of Regs 3398.11

Current through Register 2024 Notice Reg. No. 38, September 20, 2024

(a) If the dispute involves the fact or allegation of a substantial nonconformity (Section 3396.1(m)) that has not been rectified, this section shall apply.

(b) In determining whether the consumer is entitled to a replacement or refund, the arbitrator shall take into account the standards expressed in Civil Code Section 1793.2(d) and 1793.22, if those standards are applicable under the circumstances of the dispute. For purposes of this section, "take into account" means to be aware of the standards; to understand how they might apply to the circumstances of the particular dispute; and to apply them if it is legally proper and fair to both parties to do so.

(c) If the decision provides for a replacement or refund, and is subject to Civil Code Section 1793.2(d), the decision shall require the manufacturer to replace the motor vehicle or make restitution in accordance with Civil Code Sections 1793.2(d)(2)(A), (B) and (C). The decision shall include payment of incidental damages to the extent authorized by the applicable law including Commercial Code Sections 2711 to 2715 inclusive, and Civil Code Sections 1793.2(d)(2) and 1794(a) and (b); and shall include all reasonable repair, towing and rental car costs, any sales or use tax, license fees, registration fees, other official fees, prepayment penalties, early termination charges and earned finance charges, if actually paid, incurred or to be incurred by the consumer (but need not include charges for which the consumer is justly responsible). If the arbitrator decides that the manufacturer is entitled to an offset for mileage, the offset shall be calculated in conformance with Civil Code Section 1793.2(d)(2)(C).

(d) The arbitration program may adopt procedures by which the staff of the program may calculate the exact amount of the mileage offset and any damages in conformance with the decision of the arbitrator and Civil Code Section 1793.2(d)(2)(A), (B) and (C). In the exercise of these duties, the staff may only act in a clerical or ministerial capacity, and may not exercise any decision-making function, which shall be performed by the arbitrator only.

1. New section filed 1-3-90; operative 2-2-90 (Register 90, No. 3).
2. Change without regulatory effect amending NOTE filed 8-31-94 pursuant to section 100, title 1, California Code of Regulations (Register 94, No. 35).
3. Change without regulatory effect amending subsection (b) filed 3-31-95 pursuant to section 100, title 1, California Code of Regulations (Register 95, No. 13).

Note: Authority cited: Sections 472.1(b) and 472.4(f), Business and Professions Code. Reference: Sections 1793.2(d)(2), 1793.22(c), 1793.22(d)(5) and (7) and 1794(a) and (b), Civil Code.

Disclaimer: These regulations may not be the most recent version. California may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.