Lemon Law Buybacks
What are Lemon Law Buybacks? A Lemon Law Buyback Vehicle is a vehicle that has been reacquired by the vehicle manufacturer because of specified warranty defect(s). The vehicle must be registered in the manufacturer’s name prior to resale to a member of the public.
Upon reacquiring a vehicle because of specified warranty defect(s), the manufacturer must:
- Request that the Certificate of Title and Registration Certificate be marked “Lemon Law Buyback”.
- Title the vehicle in the manufacturer’s name.
- Attach a decal to the vehicle, which reads, “Lemon Law Buyback”. The decal will be affixed to the:
- Left door frame, or
- Frame of the major entry into the vehicle, such as the front right door frame of a motorhome, or
- Left side of a vehicle without doors, such as a motorcycle.
When a warranty return vehicle is sold, the seller must notify the buyer/transferee on letter size paper of the following:
- The year, make, model, and vehicle identification number.
- The fact that the vehicle title is marked, “Lemon Law Buyback”.
- The nature of each non-conformity reported by the vehicle’s original buyer or lessee.
- Any repairs made to the vehicle in an attempt to correct each non-conformity.
How to determine if a vehicle was a Lemon Law Buyback:
- Check for display of the decal described in the previous section.
- Look at the vehicle’s Certificate of Title and registration to see if it contains the notation, “Lemon Law Buyback”.
- Ask the dealer/seller if the vehicle was a Lemon Law Buyback. Law requires the dealer to disclose if it was.
What you need if you purchase a Lemon Law Buyback Vehicle:
Prior to buying a Lemon Law Buyback Vehicle, you must be notified in writing by the seller of the non- conformities stated by the original owner.
If you decide to purchase the vehicle, the usual transfer documents and associated fees will be required. This includes the:
- Certificate of Title properly endorsed for transfer.
- Transfer fee.
- Sales/use tax, if applicable.
- Smog certification, if applicable.
- Odometer Disclosure Statement.