Tex. Occ. Code Chapter 2301 - Texas DMV Complaint Process
Texas Lemon Law: When your new vehicle has repeated defects that the dealer cannot fix, the Texas Lemon Law (Tex. Occ. Code Chapter 2301) provides remedies including vehicle replacement or repurchase. Texas has a unique administrative complaint process through the Texas Department of Motor Vehicles (TxDMV).
This guide covers Texas Lemon Law eligibility requirements, the TxDMV complaint process, repair attempt thresholds, and how to draft effective demand letters to manufacturers. Understanding the Texas process is essential because the TxDMV hearing is the primary remedy for most lemon law claims.
I handle Texas Lemon Law demand letters personally. While attorneys cannot appear at TxDMV hearings, proper demand letters and documentation before filing can significantly strengthen your case.
The Texas Lemon Law protects consumers who purchase or lease new vehicles that turn out to be defective. Unlike many states that require court litigation, Texas provides an administrative remedy through the Texas Department of Motor Vehicles.
The Texas Lemon Law applies to:
Under Tex. Occ. Code Sec. 2301.604, you have a presumption that your vehicle is a lemon if:
| Condition | Threshold |
|---|---|
| Same defect repaired multiple times | 4 or more repair attempts for the same problem, and defect still exists |
| Serious safety hazard | 2 or more repair attempts for a defect likely to cause death or serious injury |
| Out of service | Vehicle out of service for 30 or more days total during first 24 months or 24,000 miles |
A covered defect under the Texas Lemon Law must:
Texas has a unique administrative process for lemon law claims through the Texas Department of Motor Vehicles (TxDMV). This process is free and designed for consumers to participate without attorneys.
Key facts about the TxDMV hearing:
Your Texas Lemon Law case depends on documentation. Keep meticulous records from the moment you experience problems with your vehicle.
Every repair order from every visit to the dealer. These are your most important documents. Request copies if you don't have them.
Bill of sale, purchase contract, lease agreement, window sticker (Monroney label), financing documents.
Manufacturer's warranty booklet, extended warranty contracts, warranty start date and coverage terms.
Emails, letters, and call logs with the dealer and manufacturer. Document complaints and their responses.
Visual documentation of the defect, warning lights, error messages, unusual sounds (video), leaks, or visible damage.
Your own written log of each time the problem occurred, when you reported it, and how long the vehicle was out of service.
Review each repair order to ensure it documents:
To count days out of service:
If you prevail in your Texas Lemon Law case, the manufacturer must either replace your vehicle or buy it back. You choose which remedy you prefer.
If you choose replacement, the manufacturer must provide:
If you choose repurchase (buyback), the manufacturer must pay:
| Item | What You Receive |
|---|---|
| Purchase Price | Full purchase price (or capitalized cost for leases) |
| Minus: Use Allowance | Reasonable allowance for miles driven before first repair attempt |
| Plus: Taxes and Fees | Title, license, registration, and applicable taxes |
| Plus: Incidental Costs | Towing, rental cars, repair costs not covered by warranty |
| Less: Payoff to Lienholder | Manufacturer pays off your loan directly |
The "mileage deduction" is calculated using this formula:
Example: If your vehicle cost $40,000 and you drove 5,000 miles before the first repair attempt:
$40,000 x 5,000 / 120,000 = $1,667 use allowance
Send this letter before filing your TxDMV complaint to give the manufacturer one last opportunity to resolve the issue voluntarily.
I prepare Texas Lemon Law demand letters and documentation to maximize your chances of success. While attorneys cannot appear at TxDMV hearings, proper pre-complaint demand letters often lead to settlements without the need for a hearing.
I review your repair history and documentation to determine if your vehicle qualifies under the Texas Lemon Law presumption standards.
I prepare comprehensive demand letters to manufacturers citing Texas law and documenting your repair history to encourage voluntary resolution.
I help you organize repair orders, calculate days out of service, and prepare your TxDMV complaint package.
If the manufacturer responds to your demand, I can help negotiate the terms of a repurchase or replacement offer.
I help Texas consumers with lemon law demand letters and TxDMV complaint preparation.
Email: owner@terms.lawThe Texas Lemon Law (Tex. Occ. Code Chapter 2301) covers new motor vehicles purchased or leased in Texas that develop defects within the warranty period. This includes cars, trucks, SUVs, vans, and motorcycles. Used vehicles, commercial vehicles over 10,000 lbs, and vehicles not sold through licensed dealers are generally not covered.
Under the Texas Lemon Law, you may have a claim if: (1) the same defect was repaired 4 or more times and it still exists; (2) a defect creating a serious safety hazard was repaired 2 or more times and still exists; or (3) the vehicle was out of service for 30 or more days total for warranty repairs during the first 24 months or 24,000 miles.
File a complaint with the Texas Department of Motor Vehicles (TxDMV) Lemon Law Section. You can file online at txdmv.gov or by mail. Include copies of repair orders, purchase documents, and a description of the defect. Filing is free. The TxDMV will schedule a hearing before a mediator if the manufacturer does not resolve the complaint voluntarily.
You must file your complaint with the TxDMV within 6 months after the earlier of: (1) the warranty expiration date, or (2) 24 months from the original delivery date. This deadline is strictly enforced. Missing it bars you from using the TxDMV complaint process, though you may still have court remedies under other laws.
If you prevail, the manufacturer must either: (1) replace the vehicle with a comparable new vehicle, or (2) repurchase the vehicle for the full purchase price minus a reasonable allowance for use (based on miles driven before the first repair attempt). The manufacturer must also reimburse incidental costs like towing, rental cars, and repair costs not covered by warranty.
Yes, but attorneys are not allowed at TxDMV Lemon Law hearings. The administrative process is designed for consumers to represent themselves. However, you may consult an attorney before filing to evaluate your case and prepare documentation. If you pursue court remedies instead of or after the TxDMV process, you can be fully represented by counsel and may recover attorney fees under federal warranty law.