Posted On: October 24, 2011

California has a new lemon law for used / pre-owned cars

September 28, 2011 marks an important day for consumers of used and pre-owned lemon vehicles in California. California lemon law has now been updated to require new and used car dealerships to cross reference the vehicles that are for sale on their lot against a federal lemon database. Any vehicles with a tainted history will be marked with a red warning sticker.

The federal lemon database is officially called the National Motor Vehicle Title Information System (NMVTIS). As of today, California is the only state to have such legislation to help consumers.

This new update in California law regarding lemon vehicles will be implemented starting July 1, 2012. Unfortunately, Texas currently does not have a lemon law that is as strong as California's.

To read the new California law, click download file

Posted On: October 9, 2011

Lemon Law Question of the Day: I purchased my vehicle as a "demo." Will the Texas Lemon Law apply?

Answer: Yes, as long as the vehicle was purchased within a Texas dealership, a "demo" or demonstrator vehicle is protected under the Texas Lemon Law.

Other vehicles that are protected under the Texas Lemon Law includes: trucks (Ford Ranger, F-150), cars (Chrysler 200 or 300), motorcycles, motor homes (Winnebago or Fleetwood), or ATVs.

While towable recreational vehicles are also covered under the lemon law, it is essential that towable RVs are titled and registered in Texas.

One issue that demo owners may encounter when a replacement or repurchase is offered as a remedy in a Texas Lemon Law case is the mileage deduction dilemma. When a vehicle manufacturer offers a replacement or repurchase, by law, they are entitled to deduct mileage for the consumer's use of the vehicle. Because the deduction formula is heavy handed against the consumer, the vehicle owner may find that the "demo" vehicle protection status offered by the Texas Lemon Law is quite limited.