Lemon Law Refund/Buyback Calculator

The Song-Beverly Consumer Warranty Act provides an array of protections for consumers who buy motor vehicles in California. But even if you do purchase what turns out to be a lemon, you may still have to pay what’s known as a usage fee.  Sometimes a vehicle has defects that are not enough to technically qualify as a “lemon” for buyback purposes.  If that is the case, you may still be entitled to cash compensation for diminished value to the vehicle. Manufacturers will often pay the consumer for their trouble.  These settlements are called “cash and keep” settlements.

When it is determined that your vehicle is a “lemon” under the law, the manufacturer may offer a Replacement or a Refund.  As the consumer, you do not have to opt for a Replacement.  You may choose a Refund:

Replacement Vehicle – The replacement will be identical to your vehicle, as it was at the time of purchase or lease. It will also include the same service contract and dealer options that came with the original vehicle, as well as reimbursement for incidental and consequential expenses like towing and/or rental car fees.  However, you will still be responsible for the usage prior to the defect, any bank costs for switching out the collateral and/or getting a new loan if the bank won’t switch the collateral.

Refund/Buyback – You may choose to receive a refund. This option will consist of the following:

  • Down payment
  • Monthly payments
  • Vehicle financing, taxes, first years registration fees, and service contracts (provided by the manufacturer)
  • Remaining loan balance or lease obligation will be paid off

To estimate your potential recovery, take a moment and use our calculator.

    How much did you pay for your vehicle?

    Number of miles your drove before the first repair for the lemon qualifying defect?

    Your Down Payment

    Your Monthly Payment

    Number of Payments

    Registration fees

    Your Mileage Offset Value is:

    Your Estimated Refund