Wirtz Law Blog

What is the bottom line for you? Don’t buy a used car unless it is a certified used car.

For nearly 30 years, California’s lemon law protections have covered owners who buy a used car with an unexpired manufacturer’s warranty. In November 2024, the California Supreme Court reversed this precedent – leaving many used car owners without the protection they once thought they had.

Protections for Used Cars With Unexpired Warranties

For many years, used cars with unexpired warranties were treated similarly to new cars under California’s Song-Beverly Consumer Warranty Act, also known as the state’s lemon law. Purchasers of used vehicles with active warranties could seek the full protection of the lemon law. These protections included seeking a buyback of a defective vehicle or a “substantially similar” replacement vehicle from the automaker. 

The California Supreme Court’s ruling, however, strips buyers of used vehicles of some of these protections. While the warranty may still be in place, used vehicle purchasers can no longer seek the same benefits as those who buy or lease new vehicles. 

Changes Under the Latest California Supreme Court Ruling

The California Supreme Court considered a case in which a customer bought a two-year-old vehicle with over 55,000 miles on the odometer. The vehicle’s powertrain warranty was active when the customer bought the car. 

After facing ongoing problems with the vehicle’s powertrain, the customer attempted to exercise their right to relief under the California lemon law. The California Supreme Court, however, found that used cars don’t qualify as “new motor vehicles” under the Act, even if they have an active warranty. 

Because the used car didn’t qualify as a “new vehicle,” said the court, its owner couldn’t demand a refund or replacement vehicle from the auto manufacturer. Instead, the owner could only seek the protection offered by the still-active warranty. 

Responses to the California Supreme Court’s Lemon Law Ruling

Responses to the California Supreme Court’s recent lemon law ruling for used vehicles have been heated on both sides of the debate.

Automakers have backed the change, saying that it will end thousands of disputes and potential lawsuits about lemon vehicles. Automakers typically claim these cases are “frivolous” or are imposing unnecessary costs on their companies and, by extension, their customers. 

Consumer groups, on the other hand, note that losing the protection of the lemon law makes an active warranty difficult to enforce. They point out that automakers now face no consequences if they choose not to honor an active warranty on a used vehicle. Used vehicle purchasers can no longer say “fix my vehicle or give me a refund.” 

If the automaker decides not to respect the active warranty, a used vehicle owner can be stuck with thousands of dollars in repair bills. If they cannot pay these bills, the vehicle owner may be stuck absorbing the entire cost of a vehicle they cannot trust to run safely or reliably. 

Legal experts indicate that California’s Magnuson-Moss Warranty Act may still apply in these cases, even after the California Supreme Court’s recent ruling. Understanding how the warranty law applies, however, may require the assistance of an experienced lemon law attorney. 

What To Do If You Suspect Your Used Car is a Lemon

If you have a used car with an unexpired warranty, you may still have legal options. Here’s what to do if you suspect your vehicle is a lemon: 

• Take it to the dealership. California’s lemon law requires that the manufacturer make a “reasonable number of attempts” to fix the vehicle. For vehicle owners, this means taking the car to the dealership for repairs – usually, several times. Be persistent in your efforts to get the manufacturer to fix the defect. 
• Keep records of your efforts to get your vehicle fixed. When you pay for a tow truck, keep the receipt. Each time you take your car to the dealership, save your paperwork. If you pay for alternative transportation out of pocket, save those records. When you talk to the dealership or automaker, write down the date, time, who you spoke to, and a summary of what you discussed. This information can prove invaluable as you seek compensation for your lemon vehicle. 
• Speak to an experienced California lemon law attorney. California’s lemon laws can be complex to navigate. Automakers often fight back, making it even harder to get the compensation you need. A knowledgeable lemon lawyer fights on your side, helping you protect your legal rights and secure compensation. 

To learn more about your rights and options, talk to the team at Wirtz Law APC today. Contact us online or by phone to schedule a no-cost, no-obligation consultation with an experienced California lemon law attorney.