Texas's lemon law and your rights as a buyer

What the lemon law protects, what it doesn't, and what rights you keep when you buy used. With the state's exact deadlines.

This guide summarizes the recorded scope for Texas (Tex. Occ. Code cap. 2301, subchapter M (§§ 2301.601–2301.613)). Eligibility, deadlines and notice requirements depend on the law and applicable coverage; read the state conditions below, including used-vehicle conditions where relevant.

What it covers

New vehicles with a defect covered by the manufacturer's written warranty that substantially impairs use or market value, or creates a serious safety hazard. TxDMV lists: cars, trucks, vans, MOTORCYCLES, all-terrain vehicles (ATVs), motor homes, towable recreational vehicles (TRVs) and neighborhood electric vehicles. A demonstrator that was never titled counts as new. The basis is the definition of "motor vehicle" in Tex. Occ. Code § 2301.002: any self-propelled vehicle with two or more wheels whose primary purpose is transporting persons or property (which is why motorcycles are in), self-propelled vehicles not made for the road but that do get a title, and towable recreational vehicles.

Rights period: You must file the complaint no later than 6 months after the EARLIEST of: the written warranty expires, 24 months pass since the purchase, or 24,000 miles pass since original delivery (Tex. Occ. Code § 2301.606(d); the mileage limit does not apply to a towable recreational vehicle). A used car can qualify if it is still under the manufacturer's original warranty (not an extended service contract) or the defect started and was reported to the dealer while that original warranty applied and continues to exist. But mind the limit on the remedy: TxDMV says "only new vehicles can qualify for a refund or replacement". On a used car what you can get is the REPAIR and reimbursement of out-of-pocket costs the warranty should have covered, not a buyback or a replacement.

When it is presumed a lemon

Four unsuccessful repair attempts for the same defect; or two if it is a serious safety hazard; or 30 cumulative days out of service (Tex. Occ. Code § 2301.605(a)). All three tests require the same thing: the attempts must have been made before the EARLIEST of the written warranty expiring and 24 months or 24,000 miles passing since original delivery. It is not one or the other: whichever ceiling comes first governs. Two details that decide cases: days when the manufacturer or distributor lent you a comparable car do NOT count toward the 30 days (§ 2301.605(c)), and the periods are extended for any time repair service was unavailable because of war, invasion, strike, fire, flood or other natural disaster (§ 2301.605(b)). Written notice to the manufacturer (preferably by certified mail) and at least one final chance to fix it are required (§ 2301.606(c)).

The presumption does not replace the other requirements. Check the official conditions and procedure for your situation.

The process

A state program, not the manufacturer's: you file the complaint with TxDMV with $35 (online is fastest) and notify the manufacturer, giving it a last chance to repair; TxDMV reviews, tries mediation and, if no agreement, an independent hearing examiner holds a hearing and issues the final written decision within 60 days after the CLOSE of the hearing. You can move for rehearing and then appeal to a Travis County district court. In principle you must exhaust this process before suing for a refund or replacement (§ 2301.607(a)), but there is a way out almost nobody mentions: if no final order issues before the 151st day after you filed, TxDMV must notify you by certified mail, and from then on you may sue in court any person named in the complaint (§ 2301.607(c)–(d)). And any contract clause that removes or trims these remedies is void (§ 2301.607(g)).

Who handles it: Texas Department of Motor Vehicles — Lemon Law Section (Enforcement Division).

Hotline: (888) 368-4689.

What you get if you win

Repurchase at the price paid, including taxes, title and plates, minus a usage offset; or replacement with a comparable vehicle; or repair with reimbursement of costs. The maker also reimburses reasonable incidental costs from loss of use (§ 2301.604).

What it does not cover

TxDMV puts it this way: the law "does not cover repossessed vehicles, non-travel trailers, boats, or farm equipment", nor minor defects that do not substantially impair use or value (rattles, radio static). Also out is anything outside the "motor vehicle" definition in § 2301.002: a trailer that is not a recreational one (cargo, horse, boat) and anything that is not self-propelled. And at the hearing the manufacturer can plead as a defense that the defect comes from abuse, neglect or unauthorized modification, or that it does not substantially impair use or market value (§ 2301.606(b)). Worth knowing, because many states go the other way: Texas does NOT exclude motorcycles — TxDMV in fact lists them as covered. Mopeds are named neither as included nor as excluded; if your case is a moped, talk to a lawyer before relying on the lemon law. The statute also sets no vehicle-weight exclusion.

I bought used: what do I have left

More than it seems, even if it isn't the lemon law:

• The Buyers Guide (FTC). The guide states the dealer warranty. "As Is" describes that warranty; it does not by itself resolve other state-law rights or remaining manufacturer coverage. The federal rule applies in 48 states (Maine and Wisconsin have their own equivalent rules). If the sale is conducted in Spanish, the dealer must post a Spanish-language Buyers Guide.
• Remaining manufacturer warranty. Check the warranty contract and its duration and transfer conditions; vehicle age does not guarantee coverage.
• In Texas: A used vehicle may qualify for warranty-repair assistance if the manufacturer’s original warranty still applies, or the defect started and was reported to the dealer while that original warranty applied and continues to exist. TxDMV says refund or replacement is limited to new vehicles; confirm eligibility and timing rather than assume all used-car relief is excluded. You are protected by: the deceptive trade practices act (Tex. Bus. & Com. Code § 17.46 and § 17.50: economic damages, up to treble if knowing, and attorney's fees), which covers "failing to disclose information concerning goods or services which was known at the time of the transaction" when the silence was meant to get you into a deal you would not have entered (§ 17.46(b)(24)); the dealer's duty to title the car in your name and remit the tax (Tex. Transp. Code § 501.0234); odometer disclosure (§ 501.072); and the implied warranty under the Business & Commerce Code unless the dealer excludes it in writing with "As Is" on the federal Buyers Guide. TWO DEADLINES YOU CAN MISS: you have two years to sue, counted from the deceptive act or from when you discovered it or reasonably should have (§ 17.565), and before suing for damages you must send written notice setting out your specific complaint and the amount you claim, at least 60 days before filing (§ 17.505(a)); during those 60 days they may ask to inspect the car. The list of deceptive practices binds any person, not only dealers. Dealer complaints: TxDMV (txdmv.gov/complaints).