Overview
California’s Lemon Law protects buyers and lessees of new cars that have persistent defects. If the manufacturer can’t fix a substantial problem after a reasonable number of tries, you may be entitled to a refund or replacement.
Most cases end in a settlement . That can mean a manufacturer buyback , a replacement vehicle , or a cash-and-keep payment while you keep the car. The right choice depends on your facts and goals.
Do You Qualify?
- Covered vehicle: New car, SUV, pickup, or van bought or leased in CA for personal use, or for a small business with ≤5 vehicles and GVWR ≤10,000 lbs. Certain used cars still under the manufacturer’s new-car warranty also qualify.
- Warranty problem: A defect covered by the manufacturer’s warranty that substantially impairs use, value, or safety .
- Reasonable repair attempts: You gave an authorized dealer a fair chance to fix it. Keep all repair orders and dates.
- Time/mileage presumption (helpful, not required): Within 18 months or 18,000 miles from delivery: 2+ attempts for a serious safety defect, 4+ attempts for other defects, or 30+ total days out of service.
- Not caused by misuse: Problems aren’t due to abuse, unauthorized racing/tuning, or lack of maintenance.
- Within the deadline: Generally a 4-year statute of limitations from the breach of warranty. Act sooner to preserve evidence.
How CA Law Applies
Your Remedies
California’s Song-Beverly Consumer Warranty Act requires manufacturers to repurchase or replace a vehicle they can’t conform to warranty after reasonable repair attempts. You choose refund or replacement.
Buyback and replacement include a deduction: Purchase price × (miles at first repair ÷ 120,000) . This only counts miles before the first qualifying repair attempt.
- Buyback (repurchase): Refund of the purchase/lease price paid (including tax and certain fees) plus incidental damages like towing and reasonable rental, minus a mileage offset for use before the first repair attempt.
- Replacement: A comparable new vehicle, with credit for payments made and similar financing, and reimbursement of incidental damages. You still owe the mileage offset.
- Cash-and-keep: A negotiated payment for diminished value/inconvenience while you keep the car. Often includes a liability release—review carefully.
- Attorney’s fees: If you win, the manufacturer generally pays your reasonable attorney’s fees and costs.
- Civil penalty: Up to 2× actual damages for willful violations (e.g., stonewalling despite clear liability).
- CA-certified arbitration: Many brands use programs certified by the Department of Consumer Affairs’ Arbitration Certification Program (ACP) (e.g., BBB AUTO LINE, NCDS). It’s optional in CA.
- Lawsuit: You can sue under CA Lemon Law or federal Magnuson-Moss. Most cases still settle before trial.
Step-by-Step: What to Do
- Take the car to an authorized dealer for each issue. Describe symptoms the same way each visit.
- Get a repair order every time. Keep purchase/lease papers, registrations, rental/tow receipts, and photos/videos.
- Send the manufacturer (not just the dealer) a written request for repurchase or replacement , with copies of repair orders.
- Ask for a settlement calculation showing refund items and mileage offset. Note incidental damages.
- Consider ACP-certified arbitration or hire a CA Lemon Law attorney (usually contingency; fees paid by manufacturer if you prevail).
- Negotiate the best fit: buyback , replacement , or cash-and-keep . Review any release carefully before signing.
- Step 1: Document and repair Take the car to an authorized dealer for each issue. Describe symptoms the same way each visit.
- Get a repair order every time. Keep purchase/lease papers, registrations, rental/tow receipts, and photos/videos.
- Step 2: Make a formal Lemon Law demand Send the manufacturer (not just the dealer) a written request for repurchase or replacement , with copies of repair orders.
- Ask for a settlement calculation showing refund items and mileage offset. Note incidental damages.
- Step 3: Settle or escalate Consider ACP-certified arbitration or hire a CA Lemon Law attorney (usually contingency; fees paid by manufacturer if you prevail).
- Negotiate the best fit: buyback , replacement , or cash-and-keep . Review any release carefully before signing.
Common Mistakes to Avoid
- Not giving the dealer a chance to fix: Skipping authorized repairs can sink your claim.
- Poor records: Missing or vague repair orders make it hard to prove repeated defects.
- Waiting too long: Delay risks the statute of limitations and weakens leverage.
- Confusing the presumption with eligibility: You can win without meeting the 18-month/18,000-mile presumption.
- Accepting a low cash-and-keep: Quick money can come with a broad release and no future protection.
- Assuming mods void coverage: Aftermarket parts don’t automatically bar claims, but manufacturers may argue causation. Keep maintenance records.
- Overlooking incidentals: Claim towing, rentals, rideshares, and registration where allowed.
What You Should Do Next
Gather your purchase/lease agreement, all repair orders, and receipts. Write a short timeline of the defect and repair history.
Send a written repurchase/replacement demand to the manufacturer and request a detailed buyback calculation. If you’re unsure, consult a California Lemon Law attorney or consider an ACP-certified arbitration program.
Act promptly. Early action improves your chance of a fair settlement and may increase your recovery of fees and penalties.