Refund (Buyback) Under the Maine Lemon Law
How a Maine lemon-law refund is calculated — full purchase price plus collateral and towing/storage costs, minus a use offset capped at 10% of the purchase price, at the consumer's election.
A Maine refund — the “buyback” — returns the full purchase price plus collateral and towing/storage/transportation costs, minus a use offset capped at 10% of the purchase price, under Me. Rev. Stat. tit. 10 § 1163. The consumer elects the refund over a replacement and may reject any offered replacement.
What the refund includes
- Full purchase price (or lease payments to date, including finance charges).
- Collateral charges — sales tax, registration fees, and similar government charges.
- Towing, storage, and alternative-transportation costs.
The use offset — capped at 10% of price
Maine’s reasonable-allowance-for-use (§ 1161(4)) is the lesser of:
- One-third of the IRS business-mileage rate × actual mileage (plus any mileage beyond 20,000), OR
- 10% of the vehicle’s purchase price.
The 10%-of-price cap is consumer-favorable — it ceilings the deduction no matter how the mileage math comes out, so a Maine refund stays close to the full price.
A typical refund calculation
For a $36,000 vehicle:
| Component | Amount |
|---|---|
| Purchase price | $36,000 |
| Sales tax + registration + towing/storage | + as documented |
| Use offset | − capped at 10% ($3,600 max) |
| Net refund | ≈ $32,400+ plus collateral charges |
The consumer elects
The consumer chooses refund or replacement and may reject a replacement to get the refund — Maine’s consumer-favorable election, pursued through AG arbitration or court.
Lease refunds
For leased vehicles (§ 1168), the refund covers lease payments and finance charges, plus collateral charges, minus the capped use offset.
Don’t forget the extras
A refund isn’t always the whole recovery: $25/day continuing damages may apply if no comparable loaner was provided, double damages if the manufacturer’s appeal was frivolous, and the UTPA adds restitution and mandatory fees. See attorney fees.
Bottom line
The Maine buyback returns the full purchase price plus collateral and towing/storage costs minus a use offset capped at 10% of price — at the consumer’s election. Layer in $25/day loaner damages, double damages, and UTPA recovery. Get a free case review to estimate your refund.
Related
Attorney Fees in Maine Lemon Law Cases
Maine's fee structure — discretionary in standalone lemon-law suits, mandatory on arbitration appeals (§ 1169(5)) and under the UTPA (§ 213), plus Magnuson-Moss § 2310(d)(2).
Read → ArticleCash-and-Keep Settlements in Maine
How cash-and-keep settlements work in Maine lemon-law cases — a negotiated cash payment where you keep the vehicle, common when the defect is real but livable.
Read → ArticleReplacement Vehicle Under the Maine Lemon Law
When a Maine lemon-law claim results in a comparable replacement vehicle — at the consumer's election, with the right to reject a replacement for a refund.
Read → ArticleMaine UTPA Damages in Lemon Law Cases
How the Maine Unfair Trade Practices Act amplifies recoveries — actual damages, restitution, equitable relief, and mandatory attorney fees (no treble), with a 30-day pre-suit demand.
Read →Think you've got a lemon?
Compare your situation to your state's requirements — and connect with a vetted lemon-law attorney for a free case review.