Summary: The new California Lemon Law used car ruling changes consumer protections for pre-owned cars still under warranty. Discover the details of this decision, its impact on extended car warranty, liability car insurance, and the available alternatives, including sell my car and cash for cars.
Thank you for reading this post, don't forget to subscribe!Introduction
Hey there!
Regardless of condition, purchasing a vehicle is a major financial commitment for the majority of individuals. The Song-Beverly Consumer Warranty Act, or the California Lemon Law, is one of several consumer protection statutes in California that have historically provided reassurance to automobile purchasers in the event that their purchases were subsequently determined to be defective.
However, things have altered due to a recent California Lemon Law used car ruling, particularly for individuals who purchase used cars with remaining manufacturer warranties. Many purchasers are confused about their rights and alternatives in light of this decision, which limits the available safeguards.
This article will:
- Analyze the decision.
- Discuss its significance.
- Draw connections to related topics like auto warranties, liability car insurance, and other options like sell my car or cash for cars.
- Explain when you may require the services of a car accident attorney, car accident lawyer, or car crash lawyer.
The California Lemon Law—What Is It?
To safeguard consumers, the Song-Beverly Consumer Warranty Act, better known as the California Lemon Law, was enacted. Car companies must fix or replace vehicles that:
- Are severely flawed, which diminishes their utility, safety, or worth.
- Require more than a “reasonable number” of attempts to fix.
- Still fall under the manufacturer’s warranty.
Although the rule primarily applied to brand-new automobiles, it did provide some protection for pre-owned vehicles sold with a valid warranty. This included vehicles that were Certified Pre-Owned (CPO) or that still had the remaining manufacturer’s warranty.
👉 Learn more about consumer protection in California by visiting their official website.
Hernandez v. FCA US, LLC – A Recent Ruling
The California Supreme Court decided Rodriguez v. FCA US, LLC in late 2024. According to the court’s decision:
- Used automobiles that still have some factory warranty on them do not qualify as “new motor vehicles” for the purposes of the Lemon Law.
- When a problem develops with a used car, the buyer usually is not entitled to use the Lemon Law to get a refund or replacement.
- Exceptions: Certified Pre-Owned cars or exhibit vehicles that come with a fresh guarantee.
👉 Consumers should be wary of buying a secondhand car without fully comprehending the warranty terms and conditions, as this ruling reduces their rights.
Implications for Shoppers of Pre-Owned Vehicles
The verdict impacts various parts of the car-buying process as follows:
1. Lessened Guarantees of the Lemon Law
- Refunds and replacements under the Lemon Law are not available to buyers of secondhand automobiles unless the vehicle falls under a few specific categories.
- Refund rights are limited, although repairs may still be covered under an extended car warranty or the manufacturer’s warranty.
2. Potentially Dangerous “As-Is” Purchases
- Many pre-owned vehicles are sold “as-is,” with no guarantee of quality or condition.
- Prior to signing any documents, buyers should thoroughly review the terms of the vehicle’s warranty and liability car insurance.
3. Extended Warranties and Their Significance
- Due to the limitations of the Lemon Law, many buyers seek solace in purchasing an extended car warranty.
- Coverage and cost can differ significantly, so review carefully before buying.
How Lemon Law and Auto Insurance Intersect
Damages from accidents are covered by liability car insurance, whereas repairs relating to warranties are handled by the California Lemon Law.
Example:
Outcome:
- Due to the ruling, Lemon Law might not guarantee a reimbursement.
- Liability insurance will cover damage to others’ property but may not fully reimburse your personal losses.
- You may need to consult a car accident attorney or car crash lawyer if injuries are involved.
The Right Time to Consult a Car Accident Attorney
Accidents caused by faulty vehicles are more than just an inconvenience—they can be life-threatening. A car accident lawyer can help when:
- Accidents happen because of faulty used cars.
- The dealer misrepresented coverage under the warranty.
- Your insurance company is contesting liability.
👉 In the event of injuries or financial losses, consult a car accident attorney immediately.
Options for Those Who Own a Defective Pre-Owned Vehicle
Many customers are upset because of the decision. If your used car has ongoing issues and the Lemon Law doesn’t apply, consider:
1. Extended Car Warranty
- After the manufacturer’s warranty expires, you can still get coverage for repairs by purchasing an extended car warranty.
- Choose a plan that addresses the gearbox, engine, and electrical systems.
2. Sell My Car
- If repairs are too costly, you may choose to use sell my car services online.
- These platforms make it easy to get rid of your defective car without the hassle of private sales.
3. Cash for Cars
- Many companies offer cash for cars, even with defects.
- A fast way to get rid of a problem vehicle, though at a lower payout.
Typical Costs for Protection & Repairs (California 2025)
| Service / Protection Option | Average Cost for Sedans | Average Cost for Pickup Trucks | Notes |
|---|---|---|---|
| Extended Car Warranty | $1,200 – $2,500 (3 yrs) | $1,800 – $3,200 (3 yrs) | Covers major repairs after manufacturer warranty expires. |
| Car Warranty Repairs (Manufacturer) | Usually Free (if under coverage) | Usually Free (if under coverage) | Limited now due to ruling; only certain used cars qualify. |
| Major Repair Without Warranty | $1,000 – $5,000+ | $1,500 – $7,500+ | Transmission/engine failures are the most expensive. |
| Car Accident Attorney Fees | 30% – 40% of settlement | 30% – 40% of settlement | Usually contingency-based; no upfront cost. |
| Liability Car Insurance Premiums | $1,200 – $1,800/year | $1,500 – $2,400/year | Costs vary by driver history & coverage limits. |
| Sell My Car (Trade-In Value) | 20–30% below market | 15–25% below market | Dealers pay less but offer convenience. |
| Cash for Cars Services | $500 – $2,000 (older sedans) | $1,000 – $4,000 (older trucks) | Lower payouts but quick turnaround. |
Helpful Hints for Next Time You Buy a Used Car After the Ruling
- Peruse the smallest print: Verify if the car is sold with a warranty.
- Certified Pre-Owned? Protections offered by the Lemon Law may only apply to CPO vehicles.
- Consider more coverage: Extended car warranty may be worthwhile.
- Check insurance coverage: Ensure liability car insurance has adequate limits.
- Keep repair records: They help in disputes.
- Investigate legal options promptly: Consult a car accident lawyer if you suspect fraud or accident caused by defect.
Regarding the California Lemon Law Used Car Ruling: FAQs
Does the California Lemon Law cover all pre-owned vehicles?
No. The new rule does not apply to most pre-owned vehicles with leftover factory warranties, except CPO and a few cases.
Can I sue a dealer for a damaged car?
Yes. Federal statutes (Magnuson-Moss Warranty Act) and state fraud/contract laws may apply.
Is it wise to invest in an extended car warranty?
Depends on trust and risk tolerance—many now see it as crucial.
What happens if my faulty car causes an accident?
Liability car insurance and a car accident attorney may be needed for compensation.
In Summary
The California Lemon Law used car ruling severely curtails protections for pre-owned automobile buyers. While warranties still cover repairs, refunds or replacements are limited.
Key takeaways:
- Understand your warranty and insurance agreements.
- Consider an extended car warranty.
- Maintain strong liability car insurance.
- If overwhelmed by repairs, consider sell my car or cash for cars services.
- For accidents, consult a car accident lawyer.
- Consider this while you are trying to get rid of your car.
👉 Consumers should stay informed, insured, and ready to act when defects or disputes arise.
