Calculate your Song-Beverly Act refund including mileage offset, incidental damages, and civil penalties. Know exactly what you're owed.
Song-Beverly Act
Up to 2x Civil Penalty
Free Demand Letter
๐
Enter Your Vehicle Information
Purchase Price & Costs
Base vehicle price from your contract
Mileage Information
Miles when you first reported the defect
Today's odometer reading
Incidental Damages (Out-of-Pocket Costs)
Manufacturer Conduct
๐ฐ
Your Buyback Calculation
๐
Enter your vehicle information and click "Calculate Buyback Value" to see your estimated recovery
Understanding California Lemon Law Buybacks
California's Song-Beverly Consumer Warranty Act (the "Lemon Law") provides powerful protections for consumers who purchase defective vehicles. If your new or used vehicle (with a manufacturer's warranty) has a substantial defect that cannot be repaired after a reasonable number of attempts, you're entitled to a full refund or replacement.
What Makes a Vehicle a "Lemon"?
Under California law, a vehicle qualifies as a lemon if:
It has a substantial defect covered by the manufacturer's warranty
The defect substantially impairs the vehicle's use, value, or safety
The manufacturer or dealer has had a reasonable number of repair attempts
The defect has not been fixed
The "Reasonable Number of Attempts" Presumption
California Civil Code 1793.22 creates a presumption that enough repair attempts have been made if:
2 or more attempts for a defect likely to cause death or serious injury, OR
4 or more attempts for any other warranty defect, OR
The vehicle has been out of service for 30+ days (cumulative) for warranty repairs
Civil Code 1793.2(d)(2)
"If the manufacturer or its representative in this state is unable to service or repair a new motor vehicle... to conform to the applicable express warranties after a reasonable number of attempts, the manufacturer shall either promptly replace the new motor vehicle... or promptly make restitution to the buyer..."
Buyback vs. Replacement
You have the right to choose between:
Buyback (Restitution): Full refund of your purchase price, minus a mileage offset, plus incidentals
Replacement: A comparable new vehicle of the same make and model
Most consumers choose the buyback option, especially if they've lost confidence in the brand.
The Lemon Law Buyback Formula
The California Lemon Law buyback calculation follows a specific statutory formula:
Buyback Formula
Total Purchase Price
- Mileage Offset
+ Incidental Damages
+ Civil Penalty (if willful)
= TOTAL RECOVERY
1. Total Purchase Price
This includes everything you paid to acquire the vehicle:
Base vehicle price
All dealer add-ons (extended warranties, accessories, etc.)
Sales tax
Registration and DMV fees
License fees
Any other charges on your purchase contract
Note: Your down payment and trade-in value are part of the purchase price. You get credit for these amounts in the refund.
2. Mileage Offset Calculation
The manufacturer is entitled to a deduction for the miles you drove before your first repair attempt:
Mileage Offset Formula (Civil Code 1793.2(d)(2)(C))
(Miles at First Repair Attempt / 120,000) x Purchase Price = Offset
Critical Point: Only miles driven BEFORE you first brought the vehicle in for repair of the defect are deducted. Miles accumulated after that point - even tens of thousands - do NOT increase your offset.
3. Incidental Damages
You're entitled to recover all reasonable out-of-pocket expenses caused by the defect:
Rental car costs while vehicle was being repaired
Towing charges
Repair costs not covered by warranty
Hotel/lodging if stranded due to breakdown
Alternative transportation (Uber, Lyft, etc.)
Other documented expenses
4. Civil Penalty
If the manufacturer's failure to comply was "willful," the court may award up to 2x your actual damages as a penalty. See the Civil Penalties tab for details.
Example Calculation
Sarah buys a car for $40,000 + $3,200 tax + $800 fees = $44,000 total. She first reports the defect at 6,000 miles and spends $1,500 on rentals.
Total Purchase Price: $44,000
Mileage Offset: (6,000 / 120,000) x $44,000 = $2,200
Net Refund: $44,000 - $2,200 = $41,800
Plus Incidentals: $1,500
Total Recovery: $43,300 (or up to $89,800 with 2x penalty)
Civil Penalties - Double Your Damages
One of the most powerful features of California's Lemon Law is the civil penalty provision. If the manufacturer's conduct was "willful," you may be entitled to up to twice your actual damages as an additional penalty.
Civil Code 1794(c)
"If the buyer establishes that the failure to comply was willful, the judgment may include, in addition to the amounts recovered under subdivision (a), a civil penalty which shall not exceed two times the amount of actual damages."
What Constitutes "Willful" Conduct?
Courts have found willful violations when manufacturers:
Refuse buyback despite clear eligibility - Denying a claim when the vehicle obviously qualifies
Excessive delays - Dragging out the process for months or years
Bad faith negotiations - Lowball offers, unreasonable conditions, or refusal to negotiate
Ignoring repair attempts - Not counting valid repair visits toward the threshold
Technical Service Bulletins - Knowing about a defect (via TSB) but not disclosing or fixing it
Pattern of similar complaints - Same defect reported by many owners
Failure to respond - Ignoring demand letters or buyback requests
How Courts Determine Penalty Amount
The penalty can range from 0x to 2x actual damages. Courts consider:
The severity of the manufacturer's conduct
Whether the conduct was intentional vs. negligent
The manufacturer's litigation conduct
Whether similar conduct affected other consumers
The deterrent effect needed
Documenting Willful Conduct
To maximize your chance of a civil penalty, document everything:
Save all emails, letters, and communications with the manufacturer
Note dates and times of all phone calls
Keep records of delays and excuses given
Request your complete repair history from the dealer
Check NHTSA for complaints about the same defect
Search for Technical Service Bulletins (TSBs) related to your issue
Attorney Recommended for Penalty Claims
Pursuing civil penalties typically requires litigation. The good news: lemon law attorneys work on contingency (no upfront cost), and the manufacturer must pay your attorney's fees if you win (Civil Code 1794(d)).
Frequently Asked Questions
Yes, if the used car still has the manufacturer's original warranty or a dealer warranty. California's Song-Beverly Act covers any vehicle sold with a warranty. If you bought a used car "as-is" without any warranty, the lemon law does not apply, but you may have other legal remedies.
The buyback formula still applies. Your refund will first pay off your remaining loan balance, and then you'll receive the difference. You'll also get back your down payment and any loan payments you've already made (minus the mileage offset).
Not necessarily. While some manufacturers have arbitration programs (BBB Auto Line, etc.), using them is generally optional in California. However, you must give the manufacturer a "reasonable number of attempts" to repair the vehicle before pursuing a lemon law claim. Many attorneys recommend sending a demand letter before filing suit.
California's statute of limitations for lemon law claims is 4 years from the date you knew or should have known you had a claim. However, you should act quickly - evidence is fresher, and you want to pursue the claim while still within the warranty period if possible.
No. Under Civil Code 1794(d), if you prevail in a lemon law case, the manufacturer must pay your reasonable attorney's fees. This means most lemon law attorneys work on contingency - you pay nothing unless you win, and even then, the fees come from the manufacturer, not your recovery.
Intermittent defects are still covered. Document every occurrence - keep a log with dates, circumstances, and symptoms. Take videos if possible. The key is showing that the defect substantially impairs the vehicle's use, value, or safety, and that the manufacturer has had reasonable opportunity to fix it.
Yes. Leased vehicles are covered by California's lemon law. The calculation is slightly different - you'll typically get back all lease payments made, plus your down payment/trade-in, plus incidentals, minus a mileage offset. The lease will be terminated and you won't owe any remaining payments.
The 120,000 figure is the divisor used to calculate your offset. It represents the expected useful life of the vehicle. Your mileage offset = (Miles at First Repair / 120,000) x Purchase Price. So if you had 12,000 miles at first repair on a $48,000 car, your offset is (12,000/120,000) x $48,000 = $4,800 (10% of purchase price).
Related Demand Letters
Based on your calculation, you may need a demand letter. Get your free template: