The Attorney General Arbitration Program in Maine

Maine resolves most lemon-law disputes through the state-certified arbitration program under Me. Rev. Stat. tit. 10 § 1169 — administered by the Department of the Attorney General. It is mandatory for manufacturers, fast, and essentially free for consumers.

How it works

1. Consumer requests arbitration within the Rights Period (3 yr / 18,000 mi).
2. Manufacturers must submit — § 1169(1) requires it.
3. The AG administers the program (it may contract with an independent entity or appoint neutral arbitrators).
4. Decision within 45 days (with a possible 5-day extension for an independent evaluation).
5. Cost: essentially free to the consumer — the program is funded by a $1-per-new-car fee collected at purchase.

Mandatory for manufacturers — a key advantage

Unlike the manufacturer-operated programs of Idaho or the conditional IDS programs of Arizona and West Virginia, Maine’s program is state-run and mandatory — the manufacturer cannot refuse to participate. This is closer to Hawaii’s SCAP, but administered directly by the Attorney General.

Trial de novo on appeal

• Either party may appeal to Superior Court for a trial de novo within 21 days of the decision.
• The arbitrator’s findings are admissible evidence in the appeal.
• The manufacturer must comply within 21 days of a finding if it doesn’t appeal.

Distinctive remedies

• $25/day continuing damages from the return date through the out-of-service period if the manufacturer failed to provide a comparable loaner.
• Double damages if a manufacturer’s appeal lacked a reasonable basis or was frivolous — a strong deterrent against meritless appeals.
• Mandatory attorney fees for a prevailing consumer on a Superior Court appeal (§ 1169(5)).

What arbitration delivers

• Refund or replacement (consumer’s election).
• Plus the $25/day loaner damages where applicable.

When to use arbitration vs. court

Use AG arbitration for a fast, near-free refund or replacement — it’s the natural first step in Maine, and manufacturers must participate. Go to court (or appeal) when you want the UTPA’s restitution and mandatory fees, or Magnuson-Moss — but the arbitration result is strong evidence either way.

Bottom line

Maine’s AG arbitration is mandatory for manufacturers, decided in 45 days, and essentially free — with $25/day loaner damages and double damages for frivolous appeals. It’s the centerpiece of Maine’s consumer-favorable process. Get a free case review before or after arbitration.

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