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What Qualifies a Car as a Lemon in Texas

In Texas, a vehicle is considered a lemon when a defect covered by the manufacturer’s warranty substantially impairs its use or market value—or creates a serious safety hazard—and the problem persists after a reasonable number of repair attempts within the first 24 months or 24,000 miles (whichever comes first). Administered by the Texas Department of Motor Vehicles (TxDMV), the Lemon Law offers repurchase or replacement if these criteria are met. Below is a clear breakdown of what counts, how the “reasonable attempts” rule works, what vehicles are covered, and what to do if you think your car qualifies.

The Core Standard Under Texas Lemon Law

Texas Occupations Code Chapter 2301, Subchapter M, sets the standard: the defect must be covered by the manufacturer’s express warranty and must substantially impair the vehicle’s use or market value, or create a serious safety hazard. The issue must not be caused by abuse, neglect, or unauthorized modification, and it must continue to exist after the manufacturer and authorized dealer have had a reasonable number of chances to fix it.

How Texas Defines a “Reasonable Number” of Repair Attempts

Texas uses specific tests to presume that the manufacturer has had a reasonable number of attempts. If any one of these thresholds is met during the first 24 months or 24,000 miles (whichever comes first), and the problem still exists, the presumption applies.

  • Four-times test: The dealer attempted to repair the same defect four or more times and the defect persists.
  • Serious safety hazard test: A life‑threatening malfunction or a defect that substantially impedes the driver’s ability to control or operate the vehicle—or creates a substantial risk of fire or explosion—has been subject to at least two repair attempts and the defect persists.
  • 30‑day test: The vehicle has been out of service for repair of one or more defects covered by warranty for a total of 30 or more days. Days generally must occur within the first 24 months/24,000 miles; days when a comparable loaner was provided may not count. The problem must still be unresolved.

These tests are presumptions that help you prove your case, but you can still win without them if evidence shows the manufacturer had enough opportunities and the defect remains.

Which Vehicles Are Covered

The Texas Lemon Law primarily covers new vehicles purchased or leased in Texas, including many categories that are sold with a manufacturer’s warranty.

  • Passenger cars, trucks, SUVs, and vans sold or leased new in Texas.
  • Motorcycles and neighborhood electric vehicles.
  • Motor homes (coverage typically focuses on the chassis and drivetrain; certain “house” components may be handled differently).
  • Demonstrators and dealer-owned vehicles that are still considered “new” at sale.
  • Leased vehicles with manufacturer warranty coverage.

Boats, farm equipment, and most trailers are not covered. Used vehicles are generally not covered unless the defect and repair attempts occurred while the vehicle was still within the original manufacturer’s warranty and within the 24‑month/24,000‑mile window.

What Usually Does Not Qualify

Not every problem rises to the level of a lemon. The law excludes issues that fall outside its core standards.

  • Problems resulting from owner abuse, neglect, accidents, or unauthorized modifications.
  • Minor annoyances or cosmetic issues that do not substantially impair use or market value.
  • Normal wear-and-tear items (e.g., tires, brake pads) unless tied to a covered defect.
  • Defects that were fully repaired within a reasonable number of attempts.
  • Aftermarket parts or add-ons not installed or warranted by the manufacturer.

If a defect does not substantially impair the vehicle or create a serious safety hazard—or was fixed promptly—the vehicle likely will not meet Texas’s lemon threshold.

Timing and Filing Requirements

Texas imposes firm deadlines and procedural steps. Missing them can jeopardize your claim.

  • Deadline to file: You must file a complaint with the TxDMV within six months of the earlier of (a) the expiration of the express warranty, or (b) 24 months or 24,000 miles from delivery (whichever comes first).
  • Notice and final repair attempt: Give the manufacturer written notice of the defect and an opportunity for a final repair attempt (check your warranty booklet for the address and process).
  • Records: Keep all repair orders, dates in shop, mileage at each visit, and correspondence.
  • Fee: The TxDMV Lemon Law complaint filing fee is currently $35.
  • Dispute programs: If the manufacturer has a state-certified dispute resolution program, you may be required to use it before or along with the TxDMV process.

The TxDMV typically offers mediation and then a hearing before a hearing examiner, who can order repair, repurchase, or replacement if the law’s standards are met.

Remedies if Your Car Is a Lemon

If your vehicle qualifies, Texas provides specific remedies aimed at making you whole.

  • Replacement: A comparable new vehicle, with adjustments for model differences and a reasonable allowance for your use.
  • Repurchase (refund): A buyback of the purchase price (or lease payments), less a reasonable allowance for use. Texas commonly calculates this deduction using a formula: purchase price × (miles driven before the first report of the defect ÷ 120,000). Different calculations may apply to certain vehicle types.
  • Incidental costs: Reimbursement for eligible out-of-pocket expenses such as towing and rental related to the defect.

The exact remedy and deductions are determined in the final order and depend on your documentation and the hearing examiner’s findings.

Practical Steps if You Suspect a Lemon

Good documentation and timely action can make the difference between success and frustration.

  1. Report the issue to the dealer immediately and ensure repair orders accurately describe your complaint.
  2. Track every visit: dates in/out, mileage, work performed, and days out of service.
  3. Send the manufacturer a written notice and request a final repair attempt as your warranty instructs.
  4. Assess whether you meet one of the Texas presumptions (four attempts, two for serious safety hazard, or 30 days out of service).
  5. File a TxDMV Lemon Law complaint within the statutory deadline; include copies of all records.
  6. Participate in mediation and prepare for a hearing; be ready to explain how the defect impairs use/value or poses a serious safety hazard.

Following these steps helps create a clear record that aligns with Texas’s legal standards and improves your chances of obtaining relief.

Summary

In Texas, a car qualifies as a lemon if a warranty-covered defect substantially impairs its use or market value—or creates a serious safety hazard—and persists after a reasonable number of repair attempts within the first 24 months or 24,000 miles. Meeting any of the state’s presumptions (four repair attempts, two for a serious safety hazard, or 30 days in the shop) strongly supports your case. Covered vehicles are primarily new Texas-purchased or leased vehicles, and strict deadlines apply—generally, filing within six months after the earlier of warranty expiration or the 24‑month/24,000‑mile mark. Remedies include replacement or repurchase, with a mileage-based deduction for use.

How long do I have to return a car in Texas?

In Texas, there is no automatic cooling-off period to return a car after purchase; the sale is generally final once you sign the contract. However, you may be able to return a vehicle if the dealership engaged in deceptive trade practices or misrepresented the car, or if the car has a major defect covered by a warranty that the dealer is unable to fix. 
Why you typically can’t return a car

  • Buyer’s Remorse isn’t a valid reason: for returning a vehicle. 
  • No Legal Grace Period: Texas does not mandate a specific timeframe for returning a car after a purchase. 
  • Binding Contract: Once you sign the purchase agreement, the sale is binding. 

Exceptions to consider

  • Deceptive Practices: If the dealership misrepresented the vehicle’s condition or engaged in other deceptive trade practices, you might have grounds for a return. 
  • Major Mechanical Issues: If a new car has a significant mechanical issue that is covered by a warranty and the dealership cannot repair it, you may have options under the lemon law. 
  • Dealership Return Policy: Some dealerships may offer their own written return policy. Always check your purchase agreement and any promotional materials carefully for such policies. 

What to do if you have a problem

  1. Contact the Dealership: Opens in new tabAllow the dealership an opportunity to repair the car under the terms of the warranty. 
  2. Review Warranties: Opens in new tabCarefully examine any warranties provided at the time of sale for additional protections. 
  3. Consider Legal Counsel: Opens in new tabIf the vehicle is defective and the dealership fails to resolve the issue, you may want to consult with a consumer protection attorney or file a complaint with the Texas Department of Motor Vehicles. 

How does a car qualify for lemon law in Texas?

The vehicle must meet all of the following conditions: It 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.

What evidence do I need for a Texas lemon law claim?

Your lemon law attorney needs two specific document sets from you: your purchase documentation for the vehicle, and repair orders from the dealership showing what repairs, if any, were performed to address the consumer’s complaints.

How hard is it to win a Lemon Law case?

The short answer: not as hard as you think. That is, if you know your rights and work with the right legal team. California’s Lemon Law is considered one of the most consumer-friendly in the country. It protects individuals who’ve purchased or leased a defective vehicle still under the manufacturer’s original warranty.

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