New California Lemon Law Changes Hurt Consumers

The California Lemon Law legal safety net was taken away from used car buyers when the California Supreme Court ruled on Everardo Rodriguez v. FCA, US, LLC in 2024. The Court ruled that the California Lemon Law no longer applies to used cars.

If you bought a used car in California thinking our lemon laws had your back, you’re not alone. For 55 years, since the Song-Beverly and Tanner Acts (also known as the Lemon Law) were enacted, California has had the strongest lemon laws in the nation. Now, the new California lemon law hurts used-car buyers.

For years, consumers believed that if their vehicle was in the repair shop more often than on the road because of the exact same defect, the California lemon law would protect them. However, recent changes to the California lemon law have shown many consumers, sometimes too late, that the lemon laws they depended on might no longer exist for used-car buyers.

The California legislature’s original intent was to include both used cars and Certified Pre-Owned (CPO) vehicles, but now used cars are no longer given the protections of the California Lemon Law. And when it comes to Certified Pre-Owned vehicles, some manufacturers now sell them with service contracts rather than extended warranties, excluding them from California lemon law protections. Service contracts and warranties are not the same thing, and they do not give you the same legal rights.

How do the New California Lemon Law Changes Hurt Used Car Buyers?

The three main changes in the new California lemon law that most negatively affect used car buyers are:

1. THE WATERED-DOWN THE 30-DAY RULE

In Silvio v. Ford Motor Co., 109 Cal.App.4th 1205, 135 Cal. Rptr. 2d 846 (Ct. App. 2003), the court effectively narrowed or “watered down” consumers’ ability to rely on the 30-day out-of-service presumption in California’s lemon law. The 30-day rule basically states that if your vehicle spends more than 30 total days in the shop for warranty repairs during a set time/mileage period, the law can presume the car is a “lemon.”

This is no longer the case. The new law requires at least two warranty repairs, even if one of them exceeds 30 days. However, both repairs still need to take place during the first 18,000 miles from the purchase date and within the first 18 months for new car purchases only.

2. NO MORE USED CARS

In Everardo Rodriguez v. FCA US, LLC, (Cal. Sup. Ct. Oct. 31, 2024), the California Supreme Court changed a key point of the state’s lemon law. The Court unanimously decided that used vehicles do not qualify as “new motor vehicles” under the law, even if they are still covered by the manufacturer’s new car warranty. The Court ruled that the “new motor vehicle” lemon law remedy only applies when a new car warranty starts at the time of that sale.

3. NO MORE BUYBACK REQUESTS WITHOUT A WRITTEN PRE-LIGITATION DEMAND LETTER

Assembly Bill (AB) 1755 (Kalra, Chapter 938) established new procedures for a buyback request: the pre-litigation Demand Letter. If you plan to request a buyback, you need to send a formal written Demand Letter to the manufacturer at least 30 days before filing a lemon law claim, notifying them of the defect. The manufacturer has 30 days to respond to the notice.

Why Your Used Car Lemon Isn’t as Protected as You Thought

A CPO vehicle with a service contract is not covered by the California Lemon Law.

Many used-car buyers assume they’re protected under the California Lemon Law if they buy a CPO vehicle. As a word of caution, be careful when buying a CPO from a dealership. Some manufacturers are no longer extending the factory warranty and are instead calling the additional protection a “service contract.”

Unlike a factory warranty, the service contract’s coverage is provided by a third-party company instead of the auto manufacturer. This means that your car’s extended warranty isn’t backed by the manufacturer.

4 Signs Your “Protection Plan,” or “Service Contract,” Isn’t Really Lemon Law Coverage

When It’s Time to Talk to a Lemon Law Attorney

How to Protect Yourself Before You Buy Your Next Used Car

If you ended up purchasing a defective used car, it’s natural to be nervous about buying another one. The key next time is to slow down and be direct with the auto dealer. Ask whether there is a real manufacturer’s warranty, not just a “plan” or “protection package,” and insist that any promises about fixing major problems are put in writing. Do not rely on their word.

Be cautious with “as is” sales, because they usually mean you are taking most of the risk. Check online for dealer reviews. If you see a lot of unhappy customers, take that as a sign to find a different dealership.

In October 2025, Gov. Gavin Newsom signed Senate Bill 766 into law, which allows a buyer to return a used vehicle for a full refund within 3 days for any reason if the purchase price was under $50,000 and the vehicle was driven less than 400 miles. The bill would make its provisions operative on October 1, 2026.

California Residents ONLY.
Year restrictions apply: Model years 2022 – 2026 Only!