Bought a Used Car Lemon in California? Demand Letter for Dealer Warranty & As-Is Sales

Q: Does California lemon law apply to used cars?

California's Song-Beverly Consumer Warranty Act (the 'lemon law') primarily applies to NEW vehicles with manufacturer warranties. However, used cars purchased from DEALERS (not private parties) are protected by California Civil Code 1795.5, which provides an implied warranty of merchantability that cannot be waived. This is different from the full lemon law protections for new cars, but it still gives used car buyers significant rights against dealers who sell defective vehicles.

Q: What if I bought the used car 'as-is' from a dealer?

In California, dealers CANNOT completely disclaim the implied warranty of merchantability on used cars, even with an 'as-is' label. Under Civil Code 1795.5, the implied warranty exists regardless of what the contract says. The 'as-is' designation may limit the duration (typically 30-90 days depending on mileage), but it cannot eliminate your right to a car that is reasonably safe and functional for basic transportation. However, if you buy from a PRIVATE PARTY (not a dealer), the sale truly is as-is with no implied warranty.

Q: How long is the implied warranty on a used car in California?

Under California Civil Code 1795.5, the implied warranty duration depends on mileage: for vehicles with under 40,000 miles, the implied warranty is at least 90 days or 3,000 miles (whichever comes first). For vehicles with 40,000-80,000 miles, it's at least 60 days or 2,000 miles. For vehicles over 80,000 miles, it's at least 30 days or 1,000 miles. If the dealer provides a longer written warranty, the implied warranty extends to match that duration.

Q: Can I return a used car to a dealer in California?

California does NOT have a general 'cooling off' period that lets you return a used car just because you changed your mind. However, you may be entitled to rescission (return with full refund) if: (1) the dealer committed fraud by hiding material defects, salvage title, or accident history; (2) the car had a serious defect that existed at the time of sale and the dealer refuses to repair; or (3) the dealer violated the implied warranty. For fraud cases, you must act quickly upon discovering the problem.

Q: What's the difference between dealer and private party sales for used cars?

This distinction is CRITICAL in California. Dealer sales: Even 'as-is' sales include an implied warranty of merchantability under Civil Code 1795.5 that cannot be waived. Dealers must also comply with disclosure requirements and the Buyer's Guide rules. Private party sales: Truly 'as-is' with no implied warranty. The buyer assumes all risk unless the seller actively committed fraud or concealed known defects. Always verify whether you're buying from a licensed dealer or private party.

Q: Does lemon law cover Certified Pre-Owned (CPO) vehicles?

CPO vehicles have enhanced protections. Under California Vehicle Code 11713.18, dealers who sell CPO vehicles must meet specific requirements: the car must pass a multi-point inspection, have no frame damage, no salvage history, and come with a minimum warranty. If a CPO vehicle has undisclosed defects or doesn't meet these standards, you have claims for breach of the CPO warranty, fraud, and violation of the implied warranty. CPO buyers often have stronger claims than regular used car buyers.

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Important: Used Cars Have DIFFERENT Protections Than New Cars

California's Song-Beverly "Lemon Law" provides strong protections for NEW vehicles (manufacturer buyback, attorney fees, civil penalties). Used cars from dealers have implied warranty protections under Civil Code 1795.5, but NOT the same presumptions or automatic attorney fee provisions. Used car claims are harder to win but you still have rights.

SS California Laws Protecting Used Car Buyers

Civil Code Section 1795.5 - Implied Warranty on Used Cars

Dealers selling used consumer goods (including vehicles) provide an implied warranty of merchantability that CANNOT be waived, even with "as-is" language. The duration varies by mileage: 90 days/<3,000 miles for under 40K miles; 60 days/2,000 miles for 40K-80K; 30 days/1,000 miles for over 80K.

Vehicle Code Section 11713.18 - Certified Pre-Owned Requirements

Dealers selling CPO vehicles must ensure: vehicle passes manufacturer inspection, has no frame damage, no salvage history, and includes a minimum warranty. Violating these requirements is grounds for fraud and rescission claims.

Civil Code Section 1793.2 - Song-Beverly Applies to Dealer Warranties

If a dealer provides a WRITTEN warranty on a used car, the Song-Beverly Act applies to that warranty. This means the dealer must repair defects within a reasonable time, and you may have additional remedies if they fail.

Business & Professions Code Section 17200 - Unfair Business Practices

Selling defective used cars, hiding known problems, or deceptive sales practices constitute unfair competition. This provides an additional cause of action with potential for restitution.

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Private Party Sales ARE Truly "As-Is"

If you bought from a private seller (not a licensed dealer), the sale is genuinely as-is with no implied warranty. Your only recourse is if the seller actively concealed a known defect (fraud). Always verify whether you bought from a dealer or private party.

!! Common Used Car Disputes

These are the most common situations where used car buyers have valid claims against dealers:

"As-Is" Sale With Implied Warranty

Dealer sold car "as-is" but California law still provides an implied warranty. Defects discovered within 30-90 days (depending on mileage) are covered regardless of what the contract says.

CPO Vehicle With Undisclosed Defects

Certified Pre-Owned vehicle had existing problems the dealer knew about or should have found during their "inspection." CPO claims are often stronger due to explicit dealer representations.

Dealer Warranty Not Honored

Dealer provided a written warranty but refuses to make repairs, claims the problem isn't covered, or delays repairs unreasonably. Song-Beverly applies to dealer warranties.

Undisclosed Damage History

Dealer failed to disclose prior accidents, frame damage, flood damage, salvage title history, or odometer rollback. This is fraud entitling you to rescission and damages.

$$ What You Can Recover

Used car claims can yield significant recovery, though the path is harder than new car lemon law:

Damage Type	Typical Recovery	When Available
Full Refund / Rescission	Purchase price + taxes/fees	Fraud, material defect at sale, title problems
Repair Costs	Actual repair bills	Dealer refuses warranty/implied warranty repair
Diminished Value	$1,000 - $10,000+	Undisclosed accident/damage history
Rental Car / Loss of Use	$30-100/day	While car unusable due to dealer's breach
Towing / Incidentals	Actual costs	Consequential damages from defect
Attorney Fees	Varies	Only if written dealer warranty or fraud claim

INFO

Used Car Claims Are Harder Than New Car Claims

Unlike new car lemon law, you must prove the defect EXISTED at the time of sale, not just that it appeared later. Get an independent mechanic's inspection as soon as possible to document the defect's origin. The shorter implied warranty period means you must act quickly.

LETTER Demand Letter Template

Send this letter via certified mail with return receipt requested. Keep a copy for your records. Customize based on your specific situation.

DEMAND FOR COMPENSATION - DEFECTIVE USED VEHICLE [Your Name] [Your Address] [City, CA ZIP] [Phone] [Email] [Date] VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED [Dealer Name] [Dealer Address] [City, CA ZIP] Re: Demand for Refund/Repair - Defective Used Vehicle Vehicle: [Year Make Model] VIN: [Vehicle Identification Number] Purchase Date: [Date] Purchase Price: $[Amount] Mileage at Purchase: [Miles] Dear [Dealer Name / General Manager]: I am writing to demand [CHOOSE: a full refund / repair at your expense / compensation] for the defective used vehicle I purchased from your dealership on [Purchase Date]. FACTS: 1. On [Purchase Date], I purchased the above-referenced vehicle from your dealership for $[Purchase Price]. At the time of purchase, the vehicle had [Mileage] miles. 2. [CHOOSE ONE:] [ ] The vehicle was sold "as-is" but California Civil Code 1795.5 provides an implied warranty of merchantability that cannot be waived by dealers. [ ] The vehicle was sold as "Certified Pre-Owned" with representations that it passed inspection and had no material defects. [ ] The vehicle was sold with a dealer warranty covering [describe warranty terms]. 3. [Describe when defect appeared - should be within implied warranty period]. On [Date], I discovered the following serious defect(s): [Describe defect in detail - e.g., "transmission failure," "engine knocking," "electrical system malfunction," etc.] 4. [If applicable] I returned the vehicle to your dealership on [Date(s)] for repair. Your dealership [describe what happened - refused repair, attempted repair unsuccessfully, claimed not covered, etc.]. 5. [If applicable] I obtained an independent inspection from [Mechanic/Shop Name] on [Date]. The inspection revealed that [describe findings, especially if defect pre-existed sale]. LEGAL BASIS: [Include applicable sections:] California Civil Code Section 1795.5: Your dealership provided an implied warranty of merchantability that cannot be disclaimed. This vehicle is not fit for ordinary transportation purposes due to the defects described above, which [existed at the time of sale / appeared within the implied warranty period]. [If CPO:] Vehicle Code Section 11713.18: You represented this vehicle as "Certified Pre-Owned," warranting it passed inspection and had no material defects. This representation was false. [If undisclosed damage:] You failed to disclose [prior accident / frame damage / salvage history / flood damage / odometer discrepancy], which constitutes fraud under California Civil Code 1710 and violates Business & Professions Code 17200. DAMAGES: [List your actual damages:] Purchase Price: $[Amount] Registration/Taxes/Fees: $[Amount] Repair Costs Incurred: $[Amount] Towing: $[Amount] Rental Car / Loss of Use: $[Amount] Inspection Costs: $[Amount] [Other damages]: $[Amount] TOTAL DAMAGES: $[Total Amount] DEMAND: I hereby demand that within fifteen (15) days of the date of this letter, you: [CHOOSE:] [ ] Provide a full refund of $[Amount] and accept return of the vehicle [ ] Repair the vehicle at no cost to me and provide a loaner vehicle during repairs [ ] Pay damages of $[Amount] for costs I have incurred If I do not receive a satisfactory response within 15 days, I will: 1. File a complaint with the California Department of Motor Vehicles 2. File a complaint with the California Attorney General 3. Pursue legal action in [Small Claims Court (up to $12,500) / Superior Court], seeking all damages, rescission, and any available attorney fees I am prepared to resolve this matter without litigation if you act promptly and in good faith. Sincerely, _______________________________ [Your Signature] [Your Printed Name] Enclosures: - Purchase contract and Buyer's Guide - Vehicle history report (Carfax/AutoCheck) - Independent inspection report - Repair estimates/invoices - Photos of defects - Communications with dealership - [Warranty documents if applicable]

🖩 Used Car Lemon Law Damages Calculator

Use this interactive calculator to estimate potential damages in your case. Enter your information below to get an estimate of recoverable damages.

Direct Financial Loss ($) Actual money lost or spent

Consequential Damages ($) Additional losses caused by the issue

Emotional Distress Level

Statutory Penalty Type

📈 Estimated Damages Breakdown

Direct Damages $0

Consequential Damages $0

Emotional Distress (Est.) $0

Statutory Penalties (Est.) $0

TOTAL ESTIMATED DAMAGES $0

Disclaimer: This calculator provides rough estimates for educational purposes only and does not constitute legal advice. Actual damages vary significantly based on specific facts, evidence strength, and many other factors. Consult with a qualified California attorney for an accurate case evaluation.

CHECKLIST Evidence to Gather

Build your case with these documents before sending your demand letter:

OK Buyer's Guide / "As-Is" Form - The FTC-required form showing warranty status (even "as-is" doesn't waive CA implied warranty)
OK Purchase Contract - Complete sales agreement with all terms, price, and disclosures
OK Vehicle History Report - Carfax, AutoCheck, or NMVTIS report showing accident/title history
OK Pre-Purchase Inspection - If you had one done, the report showing condition at purchase
OK Independent Mechanic Inspection - CRITICAL: Get a qualified mechanic to document defects and whether they pre-existed sale
OK Repair Orders - All repair attempts, estimates, and invoices from dealer or independent shops
OK Communications - Emails, texts, letters with dealer about the problems
OK Warranty Documents - If dealer provided written warranty or CPO certification
OK Photos/Videos - Document the defects, warning lights, symptoms
OK Mileage Records - Prove defect appeared within implied warranty mileage limit

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Time Is Critical for Used Car Claims

The implied warranty period is short (30-90 days depending on mileage). Document defects IMMEDIATELY when they appear. Get an independent inspection within days, not weeks. The longer you wait, the harder it is to prove the defect existed at sale.

VS Dealer Sale vs. Private Party Sale

Factor	Licensed Dealer Sale	Private Party Sale
Implied Warranty	YES - Cannot be waived (CC 1795.5)	NO - Truly "as-is"
"As-Is" Meaning	Only limits warranty DURATION	Means NO warranty at all
Disclosure Requirements	Must provide Buyer's Guide, disclose known defects	Only liable for active fraud
Recourse for Defects	Implied warranty, fraud, unfair practices claims	Fraud only (must prove seller knew)
Regulatory Complaints	DMV, Attorney General, BAR	Limited - small claims only

INFO

How to Tell If Seller Was a Dealer

Check the seller line on your title/registration. Dealers have DMV dealer licenses. Some individuals operate as "curbstoners" - unlicensed dealers posing as private sellers. If the "private seller" had multiple cars for sale or the car was at a lot, they may actually be an unlicensed dealer, which gives you additional claims.

?? Frequently Asked Questions

Does California lemon law apply to used cars?

California's Song-Beverly Consumer Warranty Act (the "lemon law") primarily applies to NEW vehicles with manufacturer warranties. However, used cars purchased from DEALERS (not private parties) are protected by California Civil Code 1795.5, which provides an implied warranty of merchantability that cannot be waived. This is different from the full lemon law protections for new cars, but it still gives used car buyers significant rights against dealers who sell defective vehicles.

What if I bought the used car "as-is" from a dealer?

In California, dealers CANNOT completely disclaim the implied warranty of merchantability on used cars, even with an "as-is" label. Under Civil Code 1795.5, the implied warranty exists regardless of what the contract says. The "as-is" designation may limit the duration (typically 30-90 days depending on mileage), but it cannot eliminate your right to a car that is reasonably safe and functional for basic transportation. However, if you buy from a PRIVATE PARTY (not a dealer), the sale truly is as-is with no implied warranty.

How long is the implied warranty on a used car in California?

Under California Civil Code 1795.5, the implied warranty duration depends on mileage: for vehicles with under 40,000 miles, the implied warranty is at least 90 days or 3,000 miles (whichever comes first). For vehicles with 40,000-80,000 miles, it's at least 60 days or 2,000 miles. For vehicles over 80,000 miles, it's at least 30 days or 1,000 miles. If the dealer provides a longer written warranty, the implied warranty extends to match that duration.

Can I return a used car to a dealer in California?

California does NOT have a general "cooling off" period that lets you return a used car just because you changed your mind. However, you may be entitled to rescission (return with full refund) if: (1) the dealer committed fraud by hiding material defects, salvage title, or accident history; (2) the car had a serious defect that existed at the time of sale and the dealer refuses to repair; or (3) the dealer violated the implied warranty. For fraud cases, you must act quickly upon discovering the problem.

What's the difference between dealer and private party sales for used cars?

This distinction is CRITICAL in California. Dealer sales: Even "as-is" sales include an implied warranty of merchantability under Civil Code 1795.5 that cannot be waived. Dealers must also comply with disclosure requirements and the Buyer's Guide rules. Private party sales: Truly "as-is" with no implied warranty. The buyer assumes all risk unless the seller actively committed fraud or concealed known defects. Always verify whether you're buying from a licensed dealer or private party.

Does lemon law cover Certified Pre-Owned (CPO) vehicles?