Ontario man calling for provincial lemon law, after new car starts having issues after 4 days
Farrah Merali | CBC News | Posted: January 7, 2025 9:00 AM | Last Updated: 15 hours ago
Owners currently file claims through Canadian Motor Vehicle Arbitration Plan, which is manufacturer-funded
For Carl Cameron, a new Nissan Altima seemed like a safe, reliable purchase — he'd owned one in the past, had a good experience and decided to buy a 2024 model that July.
But four days later, he was proven wrong.
He said he couldn't pair his new cell phone wirelessly, lights indicating his tire pressure was high or low began appearing and the radio began turning on and off.
"I knew something was seriously wrong," Cameron told CBC Toronto.
The 78-year-old contacted the Orillia, Ont., dealership where he purchased the car after the issues began, but because he was in and out of hospital for serious health issues, he wasn't able to immediately bring back the car.
When he was able to bring it back in October, the team acknowledged problems but couldn't initially figure out what was causing the issue. Ultimately, he was given a loaner vehicle and told a replacement part had been ordered. That was just the beginning of a months-long wait.
"Nothing's been replaced, nothing's been resolved. I keep paying for a vehicle that I don't have," said Cameron, who wants the dealership to take the car back and refund him.
Cameron is speaking about his experience to call for better protections for car buyers in his position.
So-called "lemon laws" — that is, laws that offer recourse for consumers who purchase "lemons" or defective vehicles — exist in many U.S. states, but advocates say Quebec is the only province in Canada to have introduced something similar that protects consumers in a robust way.
Waiting for updates
For Cameron, much of the frustration lies in having to advocate for himself. He said he was initially told he didn't qualify for a rental because he hadn't purchased an extended warranty, though he did eventually get a loaner vehicle.
As he continued to wait, he said the dealership asked for his loaner car back because it was a demo and gave him his own vehicle back in the interim. When his wife tried to drive it again, he said the electronic issues persisted, causing him concern for their safety.
"There's all this stuff coming up on the dash — this failing, that's failing. So to my estimation, the car is unsafe and it shouldn't be driven," Cameron said.
Cameron was then given a rental vehicle — paid for by Nissan — which is what he is still driving today. But he said there's been little to no follow-up on what's happening with the vehicle he purchased.
CBC Toronto reached out to Nissan Canada and the Orillia dealership where Cameron purchased the vehicle. In a joint statement, they said the dealership team determined the vehicle's navigation unit was causing the problems, however Nissan Altima navigation units are on backorder. It said the replacement unit is "expected to resolve all the reported issues."
"As a gesture of goodwill, Nissan has provided the customer with a rental vehicle. Customer satisfaction is a top priority for Nissan, and we are working diligently with our US counterpart to source a replacement head unit as soon as possible," the statement says.
Lemon laws sorely needed, advocate says
Cameron's story is one that Mohamed Bouchama, a consultant with the group Car Help Canada, said he hears all too often: car buyers left to advocate for themselves after purchasing a new car with serious issues.
In the best-case scenario, he said the company would acknowledge the issues and say: "We're going to replace it. We'll give you another car or we'll give you your money back."
"Unfortunately, it doesn't happen in Canada because we don't have lemon laws," said Bouchama.
"We don't have laws that will force the manufacturers to take their responsibility seriously."
Bouchama and his group has advocated for lemon laws to be introduced in Ontario for years.
In 2023, Quebec passed a law which included an array of consumer protections, including a component that allows some car buyers to have a vehicle declared "seriously defective" by a court and their purchase contract cancelled, if major issues persist after multiple repair attempts. Bouchama believes it's the first of its kind in Canada.
One of the only options for most car owners is to file a claim through the manufacturer-funded Canadian Motor Vehicle Arbitration Plan (CAMVAP), which is an arbitration service to resolve disputes when a vehicle owner alleges defects in a motor vehicle. If a claim is accepted to be heard, the vehicle owner must agree to abide by an arbitrator's decision.
Of the cases he's reviewed, Bouchama said the majority resulted in an arbitrator asking the vehicle owner to take the vehicle back to the dealership again.
One of the conditions of participating in the arbitration process is that owners can't pursue the matter through the courts, Bouchama said — meaning they have no recourse after.
He says the process can also be expensive, if a vehicle owner hires legal help, and some manufacturers don't even participate in the program.
"It is really up to the provincial government to introduce some kind of lemon laws. We need it — we really need it," said Bouchama.
Province noncommittal on lemon laws
CBC Toronto reached out to Ontario's Ministry of Public and Business Service Delivery and Procurement about protections that exist for car buyers in the absence of any provincial lemon laws.
A spokesperson pointed to CAMVAP and said the province has a long history of co-operation with that program.
When asked specifically whether the province would consider introducing a similar law to the one that was introduced in Quebec, a spokesperson said: "We continually consult with stakeholders, including industry experts, consumer advocates, and the public, to identify better ways to strengthen protections and better serve Ontario consumers."
For car owners like Cameron, lemon laws are a no-brainer.
"If they take your money, they should also be able to take back the vehicle if it isn't proper," he said.