Mandatory Manufacturer Arbitration (BBB Auto Line) in Colorado

Colorado is one of several states where consumers may be required to participate in a manufacturer’s informal dispute settlement procedure (typically BBB Auto Line) before filing court action. The requirement comes from C.R.S. § 42-10-105.

When BBB Auto Line is mandatory

If the manufacturer has established an informal dispute settlement procedure that:

• Meets the federal requirements of 16 C.F.R. Part 703; AND
• Is certified under C.R.S. § 42-10-105;

then the consumer must complete that procedure before pursuing Lemon Law remedies in court.

How to verify a certified program exists

• Owner’s manual.
• Warranty book.
• Manufacturer’s customer-relations line.
• BBB Auto Line’s participating-manufacturer list (bbb.org/auto-line).

How BBB Auto Line works in Colorado

1. Consumer files online or by mail (free).
2. BBB collects records from consumer and manufacturer.
3. Scheduling typically within 40 days.
4. Hearing telephone or in-person, 1-3 hours.
5. Written decision typically within 40 days of the hearing.

Total timeline: typically 60-100 days.

Decisions can include

• Refund under C.R.S. § 42-10-104.
• Replacement vehicle.
• Additional repair attempts.
• Denial.

Decision is binding on the manufacturer if the consumer accepts. Not binding on the consumer.

What BBB Auto Line does NOT provide

• Attorney fees — neither Lemon Law § 42-10-106 nor CCPA § 6-1-113(2)(b) fees are awarded in arbitration.
• CCPA $500 penalty + bad-faith treble damages — only available in civil court.
• Magnuson-Moss claims.

For these remedies, court action is required.

When BBB Auto Line is the right resolution

• Clean refund or replacement case.
• No significant CCPA / misrepresentation facts.
• Self-representing.
• Want fast, free resolution.
• Lower-value vehicle.

When to reject the BBB Auto Line decision and go to court

• The case has CCPA bad-faith exposure.
• You want CCPA mandatory § 6-1-113(2)(b) fees and treble damages.
• High-value vehicle.
• Magnuson-Moss federal-court access strategically valuable.

After BBB Auto Line — what if you reject the decision

If you reject the arbitration decision:

• You can still pursue court action — including federal court in D. Colo. under Magnuson-Moss.
• The arbitration decision is not binding on the court.

Bottom line

BBB Auto Line is a mandatory procedural step in many Colorado cases — but its narrow remedies make it incomplete for cases with CCPA exposure. For those cases, BBB Auto Line is a procedural box to check before court action with parallel CCPA + Magnuson-Moss claims.

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