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What the new California lemon law change actually did

AB 1755 and SB 26 created a faster opt-in track for refund or replacement. For owners whose manufacturer opted in, a timely cure waives the civil penalty. Here's what changed, for whom, and what to do about it.

Lemon.Law7 min read
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Editorial illustration of two diverging paths — a fast track and a traditional track

California updated its lemon law framework to create a faster opt-in track for manufacturers who agree to a structured buyback-or-replace process. For owners of those manufacturers, the shape of a claim looks very different than it did under the old pure-Song-Beverly process.

What changed, in one sentence

California added an opt-in procedural track for lemon law claims: if your manufacturer has opted in, you must send a 30-day pre-suit notice and the manufacturer gets a 60-day window to buy back or replace your vehicle before you can sue for civil penalties.

The two bills

The change is really two pieces of legislation:

  • AB 1755 (Kalra, 2024) — Chapter 938 of the 2024 Statutes, signed September 29, 2024. The pre-suit notice requirement is effective April 1, 2025; the sanctions provisions were effective January 1, 2025.
  • SB 26 (Umberg, 2025) — Signed April 2, 2025. Creates the voluntary opt-in framework and the published manufacturer list.

Technically, neither bill amended the Song-Beverly Consumer Warranty Act (Cal. Civ. Code §§ 1790–1795.7). They added a new procedural chapter — Code of Civil Procedure Chapter 12, sections 871.20 through 871.28 — that sits alongside Song-Beverly as an opt-in overlay.

What the fast track looks like for opted-in manufacturers

For manufacturers that have opted in, a California claim follows a compressed procedural clock:

  • 30-day pre-suit notice. You send a written notice to the manufacturer requesting buyback or replacement.
  • 30-day offer window. The manufacturer must offer restitution or replacement within 30 days of your notice.
  • 60-day cure window. Restitution or replacement must be completed within 60 days of the manufacturer's receipt of notice.
  • Mandatory mediation. If the case goes to suit, mediation must be scheduled within 90 days and held within 150 days of the manufacturer's answer.
  • Compressed discovery. Most discovery is stayed until mediation concludes; initial disclosures are due within 60 days of the answer.

The opt-in is an irrevocable 5-year election. The California Department of Consumer Affairs publishes the opted-in list annually by December 15.

What did NOT change

  • The core definition of a "lemon" is still Song-Beverly's. Two or more safety-related repair attempts, four or more non-safety, or 30+ cumulative days out of service within 18 months or 18,000 miles.
  • Warranty coverage requirements are unchanged.
  • Your right to use the traditional Song-Beverly track is still there if the manufacturer hasn't opted in.

The damages tradeoff

The civil penalty under Song-Beverly § 1794(c) — up to 2x actual damages when the manufacturer's failure to comply was willful — is unchanged in statute. What the new framework changes is the path to earning it.

For opted-in manufacturers, a timely cure inside the 60-day window effectively waives the civil penalty. Your recovery is capped at actual damages: buyback or replacement, no 2x bonus.

That sounds like a giveback, but it usually isn't. The bonus damages under the traditional track require proving a "willful" violation, which typically means 12–24 months of litigation, discovery, depositions, and attorney time. Most owners would rather get their money back in weeks than gamble on bonus damages that require two years of legal process.

If your manufacturer's conduct was egregious — ignored written complaints, dealer retaliation, destroyed records — the traditional track may still be worth considering. Otherwise, the fast track usually wins.

What this means for common manufacturers

The asymmetry matters, because not every manufacturer opted in:

  • Tesla has NOT opted in. California Tesla owners stay on the full traditional Song-Beverly track, including the up-to-2x civil penalty for willful dismissals. The 60-day cure window does not apply.
  • Hyundai, Kia, and GM all opted in (April 23, April 28, and May 1, 2025, respectively). California owners of these vehicles are on the fast track, with the 30-day pre-suit notice and 60-day cure window.
  • Most major manufacturers have opted in — Ford, Stellantis (Jeep, Dodge, Ram, Chrysler), Mercedes-Benz, Nissan, Subaru, Jaguar Land Rover, and others. The full list is maintained on our opted-in manufacturers page.
  • Toyota, Honda, BMW, Volkswagen, Audi, Porsche, Volvo, Lexus, Rivian, and Lucid are not on the opt-in list as of the last check.

What to do next

If your manufacturer is opted in and you have two or more documented repair attempts on the same defect, the fast track is available to you. The first step is a written pre-suit notice that meets the statutory requirements — miss a detail and you can lose the 60-day clock.

If your manufacturer is not opted in, Song-Beverly still applies. You're on the traditional timeline, but the civil-penalty path is fully available.

Where are you in this?

Two honest paths. Pick the one that actually matches your situation.