Texas Lemon Law Summary

Covered Vehicles:
Motor vehicles, two or more wheeled, used primarily for transporting persons or property and engine transmissions or rear axles used for the same, having a GVW of 18,000 lbs. or more, whether or not attached to vehicle chassis.

Repair Attempts or Days out of Service:
4 repair attempts or 30 days out of service. 2 repair attempts for a serious safety hazard.

Coverage Period:
Express warranty period or 1 year, whichever occurs first.

 

Pertinent Sections of the Texas Lemon Law:

Title 14.  Regulation of Motor Vehicles and Transportation

Subtitle A.  Regulations Related to Motor Vehicles

Chapter 2301.  Sale or Lease of Motor Vehicles

Subchapter M.  Warranties:  Rights of Vehicle Owners

 

Sec. 2301.603.  CONFORMANCE WITH WARRANTY REQUIRED

(a)  A manufacturer, converter, or distributor shall make repairs necessary to conform a new motor vehicle to an applicable manufacturer's, converter's, or distributor's express warranty.

(b)  Subsection (a) applies after the expiration date of a warranty if:

(1)  during the term of the warranty, the owner or the owner's agent reported the nonconformity to the manufacturer, converter, or distributor, or to a designated agent or franchised dealer of the manufacturer, converter, or distributor;  or

(2)  a rebuttable presumption relating to the vehicle is created under Section 2301.605.

(c)  This subchapter does not limit a remedy available to an owner under a new motor vehicle warranty that extends beyond the provisions of this subchapter.

 

Sec. 2301.604.  REPLACEMENT OF OR REFUND FOR VEHICLE. 

(a)  A manufacturer, converter, or distributor that is unable to conform a motor vehicle to an applicable express warranty by repairing or correcting a defect or condition that creates a serious safety hazard or substantially impairs the use or market value of the motor vehicle after a reasonable number of attempts shall reimburse the owner for reasonable incidental costs resulting from loss of use of the motor vehicle because of the nonconformity or defect and:

(1)  replace the motor vehicle with a comparable motor vehicle;  or

(2)  accept return of the vehicle from the owner and refund to the owner the full purchase price, less a reasonable allowance for the owner's use of the vehicle, and any other allowances or refunds payable to the owner.

(b)  A refund made for a vehicle for which there is a lienholder shall be made to the owner and lienholder in proportion to each person's interest in the vehicle.

(c)  As necessary to promote the public interest, the board by rule:

(1)  shall define the incidental costs that are eligible for reimbursement;

(2)  shall specify other requirements necessary to determine an eligible cost;  and

(3)  may set a maximum amount that is eligible for reimbursement, either by type of eligible cost or by a total for all costs. 

 

Sec. 2301.605.  REBUTTABLE PRESUMPTION--REASONABLE NUMBER OF ATTEMPTS.  

(a)   A rebuttable presumption that a reasonable number of attempts have been undertaken to conform a motor vehicle to an applicable express warranty is established if:

(1)  the same nonconformity continues to exist after being subject to repair four or more times by the manufacturer, converter, or distributor or an authorized agent or franchised dealer of a manufacturer, converter, or distributor and:

(A)  two of the repair attempts were made in the 12 months or 12,000 miles, whichever occurs first, following the date of original delivery to the owner;  and

(B)  the other two repair attempts were made in the 12 months or 12,000 miles, whichever occurs first, immediately following the date of the second repair attempt;

(2)  the same nonconformity creates a serious safety hazard and continues to exist after causing the vehicle to have been subject to repair two or more times by the manufacturer, converter, or distributor or an authorized agent or franchised dealer of a manufacturer, converter, or distributor and:

(A)  at least one attempt to repair the nonconformity was made in the 12 months or 12,000 miles, whichever occurs first, following the date of original delivery to the owner;  and

(B)  at least one other attempt to repair the nonconformity was made in the 12 months or 12,000 miles, whichever occurs first, immediately following the date of the first repair attempt;  or

(3)  a nonconformity still exists that substantially impairs the vehicle's use or market value and:

(A)  the vehicle is out of service for repair for a cumulative total of 30 or more days in the 24 months or 24,000 miles, whichever occurs first, following the date of original delivery to the owner;  and

(B)  at least two repair attempts were made in the 12 months or 12,000 miles following the date of original delivery to an owner.

(b)  A period or a number of days or miles described by Subsection (a) is extended for any period that repair services are not available to the owner because of:

(1)  a war, invasion, or strike;  or

(2)  a fire, flood, or other natural disaster.

(c)  The 30 days described by Subsection (a)(3)(A) do not include any period during which the manufacturer or distributor lends the owner a comparable motor vehicle while the owner's vehicle is being repaired by a franchised dealer.

 

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