The idea of buying a used car often sounds like a smart decision. The price is usually more palatable than a new car because the depreciation hit has already been taken by someone else, and it’s possible to score an incredible deal. Unfortunately, like any purchase, it’s not without its risks. Some used cars run smoothly for years, while others seem to fall apart just a few weeks after leaving the lot.
When problems arise with a used car, many Californians wonder: Is there a California Lemon Law for used cars? The answer is yes, but it depends on your circumstances. This guide explores how the Lemon Law protects owners of used vehicles and what compensation lemon owners can expect. Here we go!
Basics of California Car Dealership Laws
Most people who have heard of the California Lemon Law tend to assume that it applies only to vehicles purchased brand new, but this is far from the truth.
In California, not everyone has the financial capacity to simply buy a new car, and there are consumer provisions for that. When you buy a used vehicle with numerous and significant defects that affect its use, safety, or value, you can seek compensation under the Lemon Law, just like you would if it were a new car.
However, you must make sure you bought the car from an authorized dealer as certified pre-owned. It must have had an active warranty at the time the defect is reported. This can be a manufacturer’s warranty that still applies to the vehicle when sold as used, or in some cases, a dealer’s warranty if provided at the time of sale.
If your car meets these conditions, the law requires manufacturers to repair, replace, or refund your money.
What Kind of Warranties Can Make a Used Car Eligible for a California Lemon Law Claim?
For a used vehicle to qualify under the California Lemon Law, it must come with a warranty covering the issues. Here’s a look at the different types of warranties that may apply:
- Manufacturer’s Warranty: Sometimes, the used car may still be under the original manufacturer’s warranty. If so, any defects that show up during the warranty period are covered by Lemon Law protections. This is often the case with those certified pre-owned (CPO) vehicles we mentioned earlier.
- Extended Warranties: In some instances, the used vehicle may not come with the original warranty. As such, you may have to buy an extended warranty at the time of purchase. While this can be beneficial, it has its limitations because it may not cover all types of repairs, so it’s essential to check the specifics.
- Lemon Law Buyback Warranty: This one is unique. If a car was once a lemon but got repaired and resold, it must come with a “Lemon Law Buyback” label and a one-year warranty covering its defects. So, if you find yourself with such a vehicle that’s experiencing the same issues that were supposedly repaired, you could still be protected.
When do the California Lemon Law Used Car Protections Apply?
When dealing with Lemon Law for used cars in California, it can seem complicated because you need to meet a few different and important requirements:
- Warranty Coverage: Lemon Law doesn’t apply to vehicles bought “as-is” that have no warranty. However, you may still be covered if you bought an extended warranty or the dealer provided a limited warranty.
- Substantial Defect: Minor issues like a loose cup holder or broken radio dial don’t qualify. This is because the defect in question must impair the vehicle’s usability, functionality, or safety.
- Reasonable Repair Attempts: Lastly, the owner must have given the automaker multiple chances to fix the issue. This usually means at least two repair attempts for the same/severe problems or four attempts for different or more benign issues. Also, if your vehicle spent a total of 30 days at the shop, you may qualify.
It’s good to know that with CA Lemon Law used cars Californians are still eligible for compensation as long as they meet these requirements.
Existing Compensation Options Under California’s Used Car Law
Once your vehicle qualifies as a lemon in California, you have a few different options for compensation, including:
Replacement Vehicle
If you like your car minus the defects, you could opt for a similar vehicle that is defect-free. This option can be tricky with used cars because finding a model with equivalent mileage and market value may be challenging. However, the law requires automakers to make an effort to replace the vehicle if that’s what you prefer.
Buyback Offer
Under the California Lemon Law used car return policy, the manufacturer may offer to buy the car back from you. In doing so, they’ll reimburse you for the down payment, monthly payments, and other expenses related to the car. However, they may deduct a usage fee based on the mileage driven before the first repair attempt.
Cash Settlement
Some people choose a cash settlement, especially if they don’t mind retaining ownership of the defective vehicle. With this offer, they receive compensation for the defect’s impact on the market value of the vehicle and keep the car along with its warranty.
Additional Incidental Costs
In some cases, you can receive compensation for other defect-related costs. This may include towing, rental fees, or even repair costs you had to pay for. Additionally, if the defect caused you to miss work or incur other expenses, you may be able to recover any lost wages that resulted from your lemon.
Choosing a Lawyer and the Taking the Next Step
It’s possible to handle a Lemon Law claim on your own, but is it really the best decision? Consumers who do go it alone are often taken advantage of by manufacturers and dealers who may try to resist the claim, especially for used vehicles. They may argue that defects are merely signs of normal wear and tear, even if it’s painfully obvious they aren’t.
This is where a lawyer specializing in California used car buyers rights comes in. An experienced attorney understands how to navigate these situations and handle negotiations with the large auto corporations. The best part is win or lose, you don’t have to worry about out-of-pocket attorney fees!
With that said, here are the steps to take if you bought a used car with problems in California:
- Document every repair attempt and any interaction or communication with the dealership and/or manufacturer
- Contact the manufacturer to report the issue and inform them of your interest in Lemon Law compensation
- Consult a Lemon Law attorney
- File your claim and begin negotiations
California Car Dealer Laws Protect Used Car Buyers Too
If you were wondering “how does Lemon Law apply to used cars in California”, well wonder no more. Don’t let anyone deceive you into thinking your used car problems are “just part of buying used.” The California Lemon Law protects you, and you have every right to a reliable vehicle, new or used. Of course the law doesn’t cover every used car, but it can be a powerful tool if you’re stuck with a vehicle that doesn’t function as it should. If you’re dealing with persistent issues in your used car, contact a Lemon Law attorney. We at Quill & Arrow LLP are your best bet at getting compensation under the California used car warranty law. If you want to know more about your rights and what compensation is available to you, our lawyers are here and ready to help. Give us a call today!
Media Contact:
Carlo V. DeFalco
Carlo@ecustomsolutions.com
eCustom Solutions