Washington Lemon Law requires that repurchased or reacquired vehicles must have special disclosures so that consumers are informed of the vehicle's status when the consumer purchases the pre-owned vehicle. Specifically, a bright yellow flier must be placed on the vehicle's window and it must state, "Lemon Law Resale Notice of Nonconformity or Serious Safety Defect."
Recently, McCann Motors of Fife, Washington reached a settlement agreement with the Washington Attorney's Office over a controversy where the car dealership failed to provide the disclosure to seventy-nine customer who purchased luxury cars from the dealership.
Texas lemon law also requires similar disclosures as Washington's lemon law. However, the law only requires such special disclosures only if the vehicle was repurchased or reacquired through the state's formal lemon law program -- that leaves out a lot of vehicle that has been repurchased informally without going through the lemon law arbitration/administrative program.
For example, if a consumer hires a lemon law attorney and is able to negotiate a repurchase without going through the lemon law program or filing a lawsuit, then that vehicle arguably does not require any special disclosures, but may potentially be a problematic lemon vehicle for subsequent owners.