As the name suggests, it is an amount offset from the total damages when calculating how much a consumer is entitled to under the law. Mileage offset refers to the process of deducting the number of miles that a consumer has driven on a defective vehicle prior to first experiencing the defect. The number of miles the vehicle had when it was first brought to a dealership for repairs for the defect will become the mileage used to determine the mileage offset amount.
The mileage offset was created to allow manufacturers to deduct the number of miles a consumer was able to “enjoy” before experiencing problems. This way, a manufacturer is only compensating consumers with the remainder of the life of the defective vehicle and not the portion where the vehicle operated without problems. This is why the mileage offset is also referred to as a “usage fee”.
The mileage offset amount is calculated by multiplying the mileage at the first repair visit with the total purchase/lease price of the vehicle then divided by 120,000. This allows us to put a price on the mileage. 120,000 represents the average life span of a motor vehicle. Hence, this formula calculates the “usage fee” to be deducted from a consumer’s damages in a lemon law lawsuit.
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The legal team at My Lemon Law Lawyer at 833.205.1900 is ready to take your call, when you call us today for a free case evaluation. We can review your claim for a motorcycle, boat, motor home, RV or other consumer vehicle with you for free, when you give us a call right now. We are here to go over the next steps to a lawsuit, based on the merits of your claim. Just call us now to talk to our legal team and lawyers with a high-level of experience in lemon claims and full package settlements for your lemon case.