State lemon laws help consumers who buy or lease new motor vehicles and have repeated problems getting their vehicles properly repaired under the manufacturer’s original warranty.
Lemon laws can help a consumer get the vehicle repurchased, replaced, or repaired through a process that is less complicated and expensive than filing a lawsuit and going to court.
A car is a “lemon” when it is determined that the vehicle is defective beyond repair. Most states have some form of a lemon law to protect car buyers. These laws generally only apply to new cars purchased or leased by consumers and small businesses.
But a used car may also be covered if it is still covered by the manufacturer’s original warranty (not an extended service contract), or if the defect started and was reported to the dealer while under the manufacturer’s original warranty, and the defect continues to exist.
Lemon laws often do not cover repossessed vehicles, non-travel trailers, boats, or farm equipment.
Lemon laws only cover defects that substantially impair the use or market value of the vehicle—which does not include issues like minor rattles, noises, and car audio imperfections.
Each state has its own requirements, but common factors to qualify as a lemon include:
• The vehicle has a substantial manufacturing defect
• The defect is covered by a manufacturer’s written warranty
• The owner reports the defect to the dealer or manufacturer within the warranty term
• The owner gives the dealer a reasonable number of attempts to repair the defect or condition
• The owner gives the manufacturer written notice (preferably by certified mail) of the defect and at least one opportunity to fix the defect
• The defect persists and substantially impairs the vehicle’s use or market value or creates a serious safety hazard
Lemon laws are usually located in a state’s statutes and are often administered by the state’s department of motor vehicles or a specified consumer protection agency.
In Colorado, the lemon law covers new cars, light trucks, and motorcycles that are purchased or leased in Colorado or by a Colorado resident. It applies during the first year after the delivery of the vehicle or the term of the manufacturer's warranty, whichever comes first. To qualify as a lemon, the vehicle must have a substantial defect that is covered by the manufacturer's warranty, and the defect must occur within a certain period after purchase. The consumer must report the defect to the manufacturer or its authorized service agent (usually a dealership) within the warranty period. The manufacturer is then given a reasonable number of attempts to repair the defect. If the defect persists and substantially impairs the use or market value of the vehicle, or creates a serious safety hazard, the consumer may be entitled to a replacement vehicle or a refund. Colorado's lemon law does not cover used cars unless they are still under the original manufacturer's warranty and the defect was reported during that period. The law also excludes vehicles such as repossessed vehicles, non-travel trailers, boats, or farm equipment. Issues that do not substantially impair the use or market value of the vehicle, such as minor rattles or car audio imperfections, are not covered. Consumers in Colorado can seek relief under the lemon law without going to court, but they may choose to consult with an attorney to navigate the process.