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ARIZONA STATE SENATE

Fifty-Seventh Legislature, Second Regular Session

 

FACT SHEET FOR H.B. 2323

 

warranties; leased vehicles; lessee; definition

Purpose

Modifies the definition of consumer, under the Arizona Motor Vehicle Warranties Act, to include a lessee of a motor vehicle.

Background

The Arizona Motor Vehicle Warranties Act, commonly known as the Arizona Lemon Law, was enacted to address motor vehicles with significant defects unknown to a buyer at the time of purchase. A motor vehicle is covered for the duration of the manufactures warranty, or two years or 24,000 miles, with coverage beginning on the date the motor vehicle is given to the customer (A.R.S. Title 44, Chapter 9, Article 5).

Statute defines motor vehicle as a self-propelled vehicle designated primarily for the transportation of persons or property over public highways. A consumer means the purchaser, other than for purposes of resale, 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 or any other person entitled by the terms of the warranty to enforce the obligations of the warranty.

The following are exempt from the requirements of the Arizona Motor Vehicle Warranties Act: 1) sale of motor vehicles to a purchaser for the purpose of resale for profit; 2) a motor vehicle with a declared gross weight over 10,000 pounds; or 3) a motor vehicle that is sold at a public auction (A.R.S. § 44-1261).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Expands the definition of consumer, under the Arizona Motor Vehicle Warranties Act, to include a lessee of a motor vehicle.

2.   Makes technical changes.

3.   Becomes effective on the general effective date.

House Action

TI                    1/28/26      DP       6-0-0-1

3rd Read          2/24/26                  56-0-4

Prepared by Senate Research

March 20, 2026

JT/HD/ci