If you're buying or selling a vehicle, these documents are essential for completing the transfer of ownership. Proof of ownership. Title.In a rare published decision, the Michigan Court of Appeals enforced a provision in an auto lease that allowed either party to demand arbitration. Typically, an arbitration clause is located towards the end of a contract. If the contract does contain the clause you may proceed to step 2. A mandatory binding arbitration clause in a car loan states you agree to resolve any disputes with an arbitrator rather than the courts. The Lemon Law applies to passenger vehicles, sport utility vehicles, pickup trucks, and vans purchased or leased in Michigan.