How To Make Lemonade Out Of Lemon Law

Carl White
September 27, 2025
Lemon Car

We all know product warranties can be weak. At least once in their life, most people have bought a kettle only to hear strange sounds coming from it three weeks later. But what if it’s not just a kettle turning into a “lemon”? What if it’s a car that costs around $49K?

The term ‘lemon law‘ generally refers to state statutes that provide remedies when a vehicle has substantial defects that can’t be fixed after a reasonable number of attempts. Although “lemon” issues can arise with other products, the term is most common in the auto market.

The Roots of Lemon Law

In the 1970s, U.S. consumers filed growing numbers of complaints about warranty disclaimers in vehicle sales. In response, Congress enacted the Magnuson–Moss Warranty Act (MMWA) in 1975 – a federal warranty law (not a federal lemon law). Among other things, it allows prevailing consumers to recover reasonable attorneys’ fees, bans most “tie-in” warranty provisions that would require service exclusively at a dealer to keep a warranty effective, and coexists with (does not replace) state lemon laws. See the Federal Trade Commission’s guidance and statute for details (FTC guide).

Rules of the Game

All lemon laws aim to ensure you can obtain a repurchase, replacement, or other relief if a warranted vehicle has substantial defects that can’t be fixed after a reasonable number of attempts. Your chances depend on preparation and understanding your state’s rules.

Key questions to answer: Which vehicles are covered? How does yours fail to function? Can you document it? What remedies are available under your state’s law?

Think about the lemon-law angle before you buy, and keep it in mind while you own the car.

What Is a Lemon Car?

You cannot return any car for a refund by default. A vehicle typically must be purchased or leased with a warranty, and the manufacturer is usually responsible for the remedy (some dealer obligations may apply). Beyond that, each state sets its own definitions and procedures.

Common Eligibility Patterns (Vary by State)

  • Repair Attempts: A “reasonable number” of documented attempts for the same defect (often 3–4), with a lower threshold for serious safety defects in some states.
  • Time/Mileage Window: Defects must arise and be reported within a defined period (e.g., 12–24 months and/or a mileage cap such as 12,000–24,000 miles), or within the express warranty term.
  • Days Out of Service: Cumulative time in the shop often counts (commonly ~30 days).

Limitations of Lemon Car Laws

  • Type of Vehicle: Not all vehicle types are covered. Many states exclude some or all of the following: motorcycles, large trucks, motor homes/RVs, or trailers. For example, Michigan excludes motorcycles and certain other vehicles (Michigan AG); Georgia covers the coach and chassis of self-propelled motor homes but not the “living” portion (GA AG FAQ).
  • Substantial Impairment Standard: Laws focus on whether a defect substantially impairs use, value, or safety – not on fixed percentage drops in market value. Avoid relying on rigid “X% value loss” thresholds; those are typically not in statutes.
  • Burden of Proof: You’ll need documentation (repair orders, warranty repair invoices, manufacturer/dealer correspondence). Expert evaluations can help.
  • Used Vehicles: Some states protect used-car buyers through separate laws (see examples below). In other states, used-car relief may exist only if a manufacturer’s warranty still applies or via MMWA.
  • Jurisdiction: State lemon laws typically apply to vehicles bought or leased in that state (or, in some states, to vehicles registered there). Example: New York covers vehicles bought/leased in NY or those registered in NY. California generally requires a California retail purchase/lease, with a specific military exception (see below).

State Examples You Should Know

California: Presumptions and 2025 Procedure Updates

Under California’s Song–Beverly (Tanner Act) presumption, within the first 18 months or 18,000 miles (whichever occurs first), a “reasonable number of attempts” is presumed if any of the following occurs: 2+ unsuccessful attempts to fix a defect likely to cause death or serious injury; 4+ attempts for the same non-safety defect; or 30+ cumulative days out of service (Cornell LII (citing Cal. Civ. Code § 1793.22).

New procedures (AB 1755 / SB 26, operative 2025): California added accelerated litigation timelines (opt-in by manufacturers), a pre-suit notice requirement, and other scheduling rules. SB 26 (April 2025) clarified administration and moved the pre-dispute notice effective date to July 1, 2025; the Department of Consumer Affairs’ Arbitration Certification Program (ACP) publishes an annual opt-in list and provides a filing portal.

Military exception: Active-duty service members stationed in (or residing in) California at purchase or at filing have expanded access even for vehicles bought out of state.

New York: New vs. Used

New vehicles: Protection for 18 months or 18,000 miles (whichever comes first). Typical triggers are 4 unsuccessful repair attempts or 30 days out of service (NY AG (new car).

Used vehicles: New York’s separate Used Car Lemon Law requires dealers to provide a written warranty for covered components, with duration based on mileage bands (e.g., 90/60/30 days). See the AG’s guide for specifics and arbitration options.

Texas

24 Months/24,000 Miles; 4 Attempts or 30 Days; “Serious Safety Hazard” = 2 Attempts.

Texas’s administrative process runs through the Texas Department of Motor Vehicles (TxDMV). Standard thresholds include 4 attempts (most defects) or 30+ days out of service, with 2 attempts for a serious safety hazard. Complaints must be filed within the earlier of: the warranty expiration, 24 months after delivery, or 24,000 miles. Texas requires written notice and a final opportunity for the manufacturer to repair before proceeding administratively.

Used Vehicles: States With Separate Protection

  • Massachusetts: Mandatory dealer warranty for used cars with duration tied to mileage bands (90/60/30 days), plus state-certified used-car arbitration. Deadline: file for state-certified used-car arbitration within 6 months of delivery (201 CMR 11.22).
  • New York: Separate Used Car Lemon Law with mandatory dealer warranty and covered components; arbitration available through the NY program.

BBB AUTO LINE: Helpful, but Not Universal or Always Mandatory

BBB AUTO LINE is a manufacturer-sponsored dispute resolution program (arbitration/mediation). In some states (e.g., Florida), if a manufacturer’s program is state-certified, consumers must try it before proceeding to the state arbitration board – and strict filing timelines apply (generally a 24-month rights period plus 60 days to file). Always check your warranty booklet and your state AG/DMV site for whether a certified program applies to your manufacturer.

Tips and Tricks

How to Work With People on Lemon Car Issues

  • Keep thorough records of all repairs and negotiations (warranty repair orders, invoices, emails). If someone refuses to document an issue, note and timestamp that refusal.
  • Notify the dealer promptly when problems occur and describe the symptom consistently at each visit.
  • Escalate to the manufacturer in writing as required by your warranty or state law.
  • If you pursue a claim, documentation is essential; expert mechanic opinions and legal counsel may be helpful given manufacturers’ resources.
  • Be prepared for delays. You may be without the defective vehicle during repairs and any proceedings.

How to Know if Your Car Is a Lemon (Before You Buy It)

The best way to avoid a sour experience is to get a vehicle history report before you buy. Run a VIN check, have a trusted mechanic inspect the car, and review warranty coverage. History checks can reveal issues with mileage, flood/hail/fire damage, and open recalls. Remember that the used-car market includes many potential lemons, so use the available tools to steer clear.

Critical Deadlines: Check Your State

  • Florida (new vehicles): The Lemon Law rights period is 24 months from delivery; if your manufacturer has a state-certified informal program (e.g., BBB AUTO LINE), you typically must file there within 60 days after the rights period ends, and then – if needed – file with the state board within 60 days after the rights period or 30 days after the certified program’s final action, whichever is later (How to file (Florida AG)).
  • Massachusetts (used vehicles): File for state-certified used-car arbitration within 6 months of delivery.

Price Context: New-Car Average Transaction Price (ATP)

As of August 2025, the average transaction price (ATP) for a new vehicle in the U.S. was about $49,077 – i.e., “around $49K” (Kelley Blue Book / Cox Automotive tables (PDF).

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