A lemon is an automobile that continues to be substandard or defective in some way after reasonable attempts to fix it. Nearly all states address the sale of lemons with lemon laws or statutes requiring that restitution be granted to purchasers of a new vehicle. Restitution can consist of replacement vehicles or a full refund. Lemon laws also allow a purchaser to sue a dealer or manufacturer for damages, as well as enforce express or implied warranties for that vehicle.
In California, for example, CA Civil Code § 1793.2 provides remedies in the form of lemon law protections when a buyer receives, attempts, and fails to fix a lemon. The California Department of Consumer Affairs provides a guide for state lemon law protections.
California’s Tanner Consumer Protection Act outlines when a vehicle’s nonconformities with its express warranties qualify it as a lemon and details the ensuing arbitration process. The Act stipulates that if one or more of the three following scenarios occur, this constitutes a “reasonable number of attempts” to fix the vehicle. The reasonable attempts must be satisfied either within 18 months after the vehicle’s delivery to the buyer or after 18,000 miles have been reached on the vehicle’s odometer, whichever occurrence is first.:
- Two or more attempts have been made to remedy a lethal nonconformity in a new vehicle
- Four or more attempts have been made to remedy a non-lethal nonconformity in a new vehicle
- The vehicle has been “out of service by reason of repair of nonconformities” for over 30 days
[Last updated in October of 2024 by the Wex Definitions Team]