Is Lemon Law Only for New Cars?

Lemon laws prevent drivers from being stuck with a defective vehicle. There are both state and federal Lemon laws protecting consumers. However, not all cars are covered under these guidelines, so it’s critical to know your rights, whether you have a new or used car.

While the state’s Lemon law is primarily focused on new cars, there are some protections for used and certified pre-owned models as well. A Lemon law claim can be filed if the car is covered by a warranty and within the state Lemon law time period (which varies based on the warranty terms).

The Lemon Pros helps to make sense of the state and federal law. As experts in this practice area, we’ve claimed millions in compensation for Californian clients and are ready to serve your needs too. Contact us for your free case evaluation today.

In this guide, we cover how the state (Song Beverly Warranty Consumer Act) and federal Lemon law (Magnuson Moss Warranty Act) apply to new and used cars alike. We also highlight what you should do if you need to file a Lemon law claim.

Is Lemon Law Only for New Cars in California?

The majority of people are under the impression that Lemon laws only cover new cars because that is what they are mostly designed for, but California’s Lemon laws also protect consumers from some defective used cars as well.

Only a few states have used cars covered under Lemon law, so this is something that makes California unique and more consumer-friendly. For example, Idaho, Arkansas, West Virginia, Georgia, Vermont, Mississippi, Montana, North Dakota and South Dakota have no state laws for used cars, leaving consumers unprotected even when buying from a reputable dealership.

Still, the laws in California for new and used vehicles do differ slightly, with new models receiving protection for a longer time period. Let’s dive into the specifics a little deeper.

Lemon Laws for New Cars

Lemon law for new vehicles relies on the following criteria:

• Substantial defect must hinder the safety, use or value of the vehicle
• Car must be covered by a factory warranty (defect is included in this coverage)
• Reasonable number of repair attempts must be made (minimum of two for serious safety concerns and four for all others)
• Defect must have first been documented within 18,000 miles or 18 months of taking ownership of the vehicle

If these requirements are met, you may be able to file for a Lemon law buyback or replacement vehicle through the state laws or the Magnuson Moss Warranty Act. However, it’s important to keep in mind that each state’s laws vary, with some offering shorter coverage periods or stricter guidelines about the covered defects. For this reason, you want an experienced attorney who understands your state laws and legal rights.

Lemon Laws for Used Cars

In California, there are Lemon laws for used cars, although they aren’t as comprehensive as the new car coverage. If there’s an active warranty on the car from the dealer or vehicle manufacturer, the car may be covered. For example, “Buy Here, Pay Here” dealerships are required to offer a 30-day/1,000-mile warranty on all used cars sold, so this would count towards the Lemon law protection.

The same guidelines apply for repairs, with the dealership or manufacturer given the chance to make the problem right. However, it can be more complicated trying to figure out the appropriate compensation for a used vehicle if a claim is needed. State law doesn’t provide a compensation formula, leaving more up to chance. For this reason, it’s critical to have a qualified lawyer to help with the case.

California leads the country with some of the most inclusive used car Lemon law protections, but it isn’t the only state looking out for drivers. Rhode Island, Connecticut, Massachusetts, New Mexico and New Jersey have comprehensive coverage as well.

Lemon Laws for Certified Pre-Owned (CPO) Vehicles

The Certified Pre-Owned Car has more protections available than a standard used car. These vehicles are typically still covered by the factory warranty and sold by a reputable dealership, allowing for legal action if there’s a defect that can’t be repaired. Whether you are dealing with faulty brakes or a bad transmission, if the warranty is valid and you’ve allowed for a reasonable number of attempts to fix it, a lawyer may advise you to file a claim.

CPOs always come with a warranty, whereas the non-certified used car may not. Additionally, these vehicles are expected to be looked over carefully by a mechanic before being sold, so there shouldn’t be any major problems. It’s expected that a consumer isn’t going to buy defective cars from the CPO lot.

What Types of Vehicles Are Excluded from Lemon Law in California?

Not all defective cars can be considered lemons. Here are a few examples of cars that wouldn’t qualify for protection under California’s state law.

• Any vehicle purchased “as-is”: If you purchase a vehicle as-is, you can’t expect defects to be covered.
• Vehicles without a manufacturer’s warranty: All lemon cars in California must have warranty coverage to be included.
• Vehicles purchased from a private seller: All new and used cars must be purchased from a reputable dealership that provides a warranty. Private sellers can’t offer warranty coverage, leaving every sale to be considered as-is.
• Some motorcycles and off-road vehicles: Not every type of vehicle is covered by lemon laws. While California has regulations for RVs, trucks, cars and SUVs, some motorcycles and off-road vehicles may not be covered.
• Vehicles with salvage titles: A salvage title indicates major defects with the vehicle, so it can’t be covered by lemon laws.
• Commercial vehicles: While there are some inclusions for commercial vehicles, businesses may not be able to file a claim if the vehicle weighs more than 10,000 pounds or if there are more than five cars registered to the organization.

What to Do if Your Vehicle Qualifies as a Lemon

Wondering what to do if your car is a lemon? If you’ve reached the final repair attempt and there’s been no remedy for the defect, it may be time to file a claim. Because of the laws regarding consumer products, including cars, you may be due a refund or replacement. Here are some valuable steps to consider when starting a claim.

1. Review Your State’s and Federal Lemon Law

Because most states have specific laws regarding vehicle eligibility as a lemon, you want to check the requirements in your region. You’ll want to verify that you’ve had the minimum number of repair attempts and days out of service, plus it needs to qualify for the mileage limitations.

2. Notify the Manufacturer

The next step is to notify the manufacturer through a demand letter. This letter must be sent via certified mail. You should include any relevant documentation, including the purchase or lease agreement, warranty paperwork, repair records and a timeline of the issues.

3. Request a Repair or Replacement

In this demand letter, make it clear what you expect the manufacturer to do. You can also ask for them to continue trying to repair it, replace it or buy back the vehicle (where you receive a refund for a portion of the money based on the usage, but you have to return the car). There’s also the option to keep the car and receive a monetary payout, but this comes with its own set of rules and regulations, so it’s best to get specific advice from a lawyer before opting for this outcome.

4. Find and Hire an Experienced Lemon Law Attorney

You can wait until the manufacturer fails to respond before hiring a Lemon law attorney, but that’s not always the recommended course of action. We would rather be involved from the beginning so we can help you navigate the process and maximize your settlement. Plus, we don’t charge any attorneys fees until the case is won, so you pay nothing upfront.

To experience all of the benefits of having a professional on your team, reach out to The Lemon Pros. When you contact us, you get a free case review and we show you all the possible outcomes.

5. File a Claim if Needed

If you don’t get the case resolved with these steps, it’s time to file a claim. It may occur that the manufacturer will enter arbitration or negotiations with you, but there’s also the chance that the case could go to court. Either way, you want to be protected by an experienced lawyer who can guide you through the process and ensure fair compensation.

Are Leased Cars Covered by Lemon Law?

In California, leased cars are treated the same way as new vehicles. You don’t need to finance or own the vehicle to gain compensation. However, these cars must follow the same guidelines. So, the defect must occur within the first 18,000 miles or 18 months, whichever comes first. Additionally, the defect must substantially impair the use, value or safety and there have to be the required number of repair attempts, as outlined above.

Does California Lemon Law Apply to Cars Purchased Out of State?

When it comes to warranties with other products besides vehicles, you have federal protection that travels across state lines. The same is true in some regard with cars. After purchasing a car out of state, you may be able to file through California Lemon laws if the car is now registered and driven in the state.

No matter where you purchased the car, the manufacturer is still obligated to honor the warranty. Therefore, it’s best to contact an expert lawyer for help navigating this tricky case.

Additionally, you have other avenues to get compensation, whether it’s through state or federal laws. You can get the state’s attorney general involved and leave a complaint with the Better Business Bureau (BBB) to hold the manufacturer responsible.

Need an Attorney to Help You With a Lemon Law Claim?

California’s Lemon law applies to both new and used cars, although the regulations are different. Other states may not have protection for consumers who purchased used cars, so it’s best to speak with a lawyer who understands local regulations before filing a claim.

The Lemon Pros understand California laws and have become experts in the field. As the best Lemon law attorney in California, we are equipped to prevent mistakes in the filing process and ensure you get the most compensation available. Contact us for a free case evaluation.