California Lemon Law Undergoes Major Changes: What Car Buyers Need to Know in 2025

New Legislation and Supreme Court Ruling Reshape Consumer Protections
CALIFORNIA, USA - 4 Dec, 2025 - California consumers facing defective vehicle issues are navigating a dramatically transformed legal landscape in 2025, as sweeping changes to the state's Lemon Law create both new opportunities and challenges for vehicle owners seeking remedies.

The changes stem from two significant developments: the implementation of Assembly Bill 1755 (AB 1755) and a landmark California Supreme Court decision in Rodriguez v. FCA US LLC , which have fundamentally reshaped how lemon law claims are processed and who qualifies for protection.

The Surge in Lemon Law Cases

California has witnessed an unprecedented explosion in lemon law filings over the past decade. Court records show cases skyrocketed from approximately 4,500 filings in 2015 to over 25,000 in 2024 - a more than five-fold increase. The California Judges Association estimates that nearly 10% of all civil filings in Los Angeles County alone now involve lemon law disputes, placing significant strain on the court system.

Key Changes Under AB 1755

Signed into law by Governor Gavin Newsom in September 2024, AB 1755 introduces several critical procedural reforms that took effect on January 1, 2025, with additional provisions launching April 1, 2025:

* New Statute of Limitations: Consumers now have just one year after their warranty expires to file a claim, or six years from the vehicle's original delivery date - whichever comes first. Previously, there was no statute of limitations.
* Written Notice Requirement: To pursue civil penalties, consumers must now send written notice (letter or email) to manufacturers at least 30 days before filing suit, including their name, vehicle identification number, and a brief description of the defects.
* Manufacturer Response Timeline: Once notified, manufacturers must respond within 30 days and complete any buyback or replacement transaction within 60 days, or face daily penalties of $50.
* Mandatory Mediation: All lemon law cases that proceed to court must undergo mediation with decision-makers present, potentially expediting resolutions.
* Optional Manufacturer Opt-In: Through Senate Bill 26 (SB 26), signed April 2, 2025, manufacturers can elect to operate under the new streamlined procedures or continue with existing lemon law rules - a five-year irrevocable decision.

Rodriguez Decision: Used Cars Lose Key Protection

In a decision published October 31, 2024, the California Supreme Court ruled that used vehicles with remaining manufacturer warranties do not qualify as "new motor vehicles" under the Song-Beverly Consumer Warranty Act. This ruling reversed decades of precedent and means used car buyers can no longer access the law's powerful refund-or-replace remedy, even if purchasing during the original warranty period.

The court determined that the phrase "other motor vehicle sold with a manufacturer's new car warranty" applies only to essentially new vehicles like dealer-owned demonstrators, not to previously owned vehicles with unexpired warranties.

Consumer Advocacy Concerns

"It's going to be really confusing for consumers," said Rosemary Shahan of Consumers for Auto Reliability and Safety, expressing concern about the convergence of multiple legal changes. Consumer advocates worry that shorter filing deadlines combined with the elimination of used car protections will leave many Californians vulnerable when stuck with defective vehicles.

Some provisions of AB 1755 have drawn particular criticism. The new requirement for written notice 30 days before seeking civil penalties may limit consumers' ability to hold manufacturers accountable for willful violations. Additionally, the compressed timeline for filing claims means some consumers may run out of time before realizing their vehicle qualifies as a lemon.

What California Consumers Should Do Now

Lemon law attorneys across California are urging vehicle owners experiencing persistent defects to take immediate action:

* Document Everything: Keep detailed records of all repair attempts, including repair orders, invoices, and correspondence with dealerships and manufacturers.
* Act Quickly: With new time limits in place, consult an experienced lemon law attorney immediately if you suspect your vehicle may be a lemon. Waiting could mean forfeiting your rights.
* Understand Your Coverage: Know your warranty terms and expiration dates. The clock is now ticking on your ability to file a claim.
* Seek Professional Guidance: California's lemon law includes a fee-shifting provision, meaning manufacturers pay consumers' attorney fees if they prevail. This makes professional legal representation accessible at no upfront cost.

Looking Ahead

As the dust settles on these historic changes, the California Legislature is expected to continue refining lemon law provisions throughout the 2025-2026 legislative session. Governor Newsom's signing statement for AB 1755 acknowledged concerns from automakers, particularly smaller electric vehicle manufacturers, about the workability of certain procedures.

The California Department of Consumer Affairs' Arbitration Certification Program is now maintaining a published list of manufacturers who have opted into the new AB 1755 procedures, updated annually by December 15.

For California consumers, the message is clear: understanding your rights under the evolving lemon law framework has never been more critical. With significant procedural changes and narrowed protections for used vehicle buyers, seeking knowledgeable legal counsel early in the process is essential to protecting your investment and ensuring manufacturers honor their warranty obligations.

About California Lemon Law

California's Lemon Law, formally known as the Song-Beverly Consumer Warranty Act, protects consumers who purchase or lease vehicles with substantial defects that cannot be repaired after a reasonable number of attempts. The law applies to new vehicles and, under certain circumstances, used vehicles with active manufacturer warranties. Qualified claims may result in a vehicle replacement or full refund, with manufacturers responsible for consumers' attorney fees.

Media Contact:

For interviews or additional information about California's Lemon Law changes, please contact qualified lemon law attorneys in your area or visit the California Department of Consumer Affairs at http://www.dca.ca.gov/acp.

Media Contact
Company Name: California Lemon Lawyers
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This release was published on openPR.