(a) If a manufacturer has established or participates in an informal dispute settlement procedure that complies with the provisions of 16 C.F.R. part 703 , as those provisions read on November 3, 1983, and of this chapter, and causes the consumer to be notified of the procedure, the provisions of § 55-24-103 concerning refunds or replacement shall not apply to any consumer who has not first resorted to the procedure. The attorney general and reporter shall, upon application, issue a determination whether an informal dispute resolution mechanism qualifies under this section.
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Terms Used In Tennessee Code 55-24-106

  • Consumer: means the purchaser, other than for purposes of resale, or the lessee of a motor vehicle, any person to whom the motor vehicle is transferred during the duration of an express warranty applicable to the motor vehicle, and any other person entitled by the terms of the warranty to enforce the obligations of the warranty. See Tennessee Code 55-24-101
  • Manufacturer: means any person who manufactures or assembles new or unused motor vehicles or, in the case of motor vehicles not manufactured in the United States, the importer of the motor vehicle. See Tennessee Code 55-24-101
  • Motor vehicle: includes a motorcycle, as defined in §. See Tennessee Code 55-24-101
  • Reporter: Makes a record of court proceedings and prepares a transcript, and also publishes the court's opinions or decisions (in the courts of appeals).
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • Substantially impair: means to render a motor vehicle unreliable or unsafe for normal operation or to reduce its resale market value below the average resale value for comparable motor vehicles. See Tennessee Code 55-24-101
  • Vehicle: means every device in, upon or by which any person or property is or may be transported or drawn upon a highway, excepting devices used exclusively upon stationary rails or tracks. See Tennessee Code 55-8-101
(b)

(1) The informal dispute settlement panel shall determine whether the motor vehicle does or does not conform to all applicable express warranties.
(2) If the motor vehicle does not conform to all applicable express warranties, the informal dispute settlement panel shall then determine whether the nonconformity substantially impairs the motor vehicle.
(3) If the nonconformity does substantially impair the motor vehicle, the informal dispute settlement panel shall then determine, in accordance with this chapter, whether a reasonable number of attempts have been made to correct the nonconformity.
(4) If a reasonable number of attempts have been made to correct the nonconformity, the informal dispute settlement panel shall determine whether the manufacturer has been given an opportunity to repair the motor vehicle as provided in § 55-24-102.
(5) If the manufacturer has been given an opportunity to repair the motor vehicle as provided in § 55-24-102, the panel shall find that the consumer is entitled to refund or replacement as provided in § 55-24-103(a).
(6) The informal dispute settlement panel shall determine the amount of collateral charges, where appropriate.
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