Wirtz Law Blog

California’s lemon law, with its emphasis on vehicle buybacks or refunds, can seem like it only applies to new vehicles. Yet this is not the case. California lemon law applies to vehicles purchased “at retail,” meaning they were purchased from a dealership or directly from a manufacturer.

In addition to selling new vehicles, automakers also sell used vehicles. These vehicles are often sold as “certified pre-owned.” Certified pre-owned (CPO) vehicles receive close inspection from dealerships. Many dealerships take pride in offering the same care and attention to these vehicles as they do to new ones. California lemon law holds automakers responsible if a certified pre-owned vehicle contains a dangerous defect. 

Certified Pre-Owned Vehicles: Are They Covered?

California lemon law covers certified pre-owned vehicles that are under an active CPO warranty when the issues begin. The law will typically apply if: 

• You bought the car from a dealership or straight from the automaker,
• An active original or CPO warranty is in force,
• The vehicle you bought has a substantial defect that interferes with your use, value or safety. 
• Despite the dealership’s repeated attempts to fix the problem, the car still has defects. 

Certified pre-owned vehicles may be covered by California lemon law if a CPO warranty or other warranty coverage applies, regardless of the vehicle’s history before you purchased it. For example: 

• Used vehicles owned by another driver are covered if a warranty applies.
• “Loaner” vehicles the dealership lends to drivers whose cars are in the shop are typically covered by lemon law. 
• “Demonstration” vehicles the dealership allowed prospective buyers to test drive may also be covered by the lemon law. 
• Used vehicles that were leased but not owned by another driver are also covered if a warranty is in force. 

What If I Don’t Have or Can’t Find My Warranty? 

It’s easy to lose track of warranty paperwork in the shuffle of purchasing a vehicle and the excitement of having a new-to-you car. In addition, some types of certified pre-owned vehicles, such as dealership loaner vehicles, may not come with warranty paperwork that lays out the specific terms of coverage.

Despite this, California lemon law may cover your purchase of the vehicle. It’s important to consult with an attorney as soon as possible if you’re facing vehicle problems. A lawyer can help you determine if lemon law applies to your situation and help you decide what to do next. If lemon law doesn’t apply, a lawyer can tell you what other rights or options you may have under state or federal law. 

California lemon law famously includes a requirement that an automaker must provide either a “substantially similar” replacement vehicle or a refund of the purchase price, depending on which one the vehicle owner wants. For new vehicles, calculating a refund follows guidelines laid out in the state’s lemon law.

Calculating the refund price for a certified pre-owned vehicle follows the same rules and laws as for a new vehicle.

Negotiating with automakers can be tough to get your maximum value you deserve. These multinational companies have armies of full-time attorneys on staff whose job is to protect the automaker’s bottom line – even at the expense of your rights. Working with an experienced lemon lawyer ensures you have an advocate who thoroughly understands the law and fights to represent your interests at every stage of the process. 

Can I Afford to Work With a San Diego Lemon Lawyer?

California lemon law requires an automaker to pay the “reasonable attorney’s fees” of a vehicle owner if the owner’s vehicle turns out to be a lemon. This provision means that many vehicle owners can work with lemon law attorneys who require nothing out of pocket. In addition, experienced lemon law attorneys work “on contingency,” so you won’t pay attorney’s fees or costs if they cannot win your case for you. 

Whether your vehicle is new or used, talk to an experienced lawyer. An initial consultation with a firm like Wirtz Law APC is free without any obligation or commitment on your part. During this consultation, an attorney will evaluate your repair history, answer your questions, and help you understand your legal options. 

Contact Wirtz Law APC today to learn more. We are located in the center of San Diego near La Jolla, CA, and serve surrounding areas such as South Park, Northpark, National City, Imperial Beach, and Chula Vista. We also have experience handling lemon law cases across the state, from Central California to Northern California.