Arkansas Code
Subchapter 3 - Arkansas New Farm Machinery Quality Assurance Act
§ 4-96-305. Refund or replacement

(a) If a manufacturer, an agent of a manufacturer, a distributor, or an authorized dealer does not conform farm machinery to the warranty as required under § 4-96-303, after notice of the nonconformity under § 4-96-303 by repairing or correcting one (1) or more nonconformities that substantially impair the farm machinery after a reasonable number of attempts, then, within thirty (30) days, the manufacturer or distributor shall:
(1) At the time of receipt of payment of a reasonable offset for use by the consumer, replace the farm machinery with comparable farm machinery acceptable to the consumer; or
(2) Repurchase the farm machinery from the buyer or lessor and refund to the buyer or lessor the full purchase price or lease price, less:
(A) A reasonable allowance for consumer use; and
(B) A reasonable offset for physical damage sustained by the farm machinery while under the ownership of the consumer.


(b) The replacement or refund under subsection (a) of this section shall include payment of all collateral charges and reasonably incurred incidental charges.
(c) A buyer has an unconditional right to choose a refund rather than a replacement under this subchapter.
(d) At the time of the refund or replacement, a consumer, lien holder, or lessor shall furnish clear title to and possession of the farm machinery to the manufacturer, distributor, or authorized dealer.
(e) The amount of reasonable allowance for consumer use is determined by the fair lease value of the farm machinery.